BTr raises PHP30B from seven-year bond auction at lower yield

The Bureau of the Treasury (BTr) fully awarded its reissued seven-year Treasury bond, raising PHP30 billion at an average yield of 5.939 percent.

This average yield is lower compared to the 6.128 percent recorded during its previous reissue in July.

The lower yield is attributed to the Bangko Sentral ng Pilipinas' (BSP) recent policy rate cut and expectations of further easing.

The auction saw significant interest, with tenders amounting to PHP66.69 billion, making it 2.22 times oversubscribed.

The BTr awarded the full program of PHP30 billion, increasing the total outstanding volume for this bond series to approximately PHP485.6 billion.

The accepted yields ranged from 5.9 percent to 5.95 percent, though the average rate was slightly higher than secondary market levels.