RTB offering raised, strong demand cited


The government has expanded its latest retail treasury bond (RTB) offering to P130 billion from P30 billion with officials citing market demand and desire to tap consumer funds ahead of the Christmas spending seasion.

“For the 20th offering of retail treasury bonds, we are taking advantage of the added liquidity in the market leading up to the Christmas season. We also know that many Filipinos will have a ‘spend’ mindset during these times, so we want to present them with an investment option that will have multiple returns to them,” National Treasurer Rosalia de Leon said in a statement on Monday.

“The best gift that Filipinos could give to themselves or their loved ones is financial stability, and by investing in retail treasury bonds, they are opening up more economic opportunities for themselves and their families, enabling themselves to rely beyond a single source of income,” she added.

Five-year RTBs with a coupon of 4.625 percent were made available starting Monday to small investors, who can purchase the securities in minimum denominations of P5.000 up to Wednesday next week.

Total offers reached P191.8 billion for the debt papers that will mature in 2022, the Treasury bureau said.

The last RTB offering in April ended with the government raising P180 billion, six times more than the P30 billion initially announced, from the sale of three-year papers with a coupon of 4.25 percent.
Around P100 billion was raised in a similar offering in September last year.

A series of roadshows have been scheduled to promote the latest RTB offering, starting with one at the Development Bank of Philippines office in Makati on Monday. Seven more roadshows will be held in the next three days in Pampanga, Davao, Baguio, Malvar, Cebu, Iloilo and Cagayan de Oro.

The Development Bank of the Philippines and Land Bank of the Philippines have been appointed joint lead issue managers with China Bank Capital Corp., BDO Capital & Investment Corp., BPI Capital Corp. and SB Capital Corp. tapped as joint issue managers.


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