 |
 |
|
|
       |
T-bill yields dip, 91-day at 5.767% |
|
The Manila Bulletin 05/31/2005
Treasury bill yields dropped across the for the sixth straight week yesterday’s regular auction, softened by excess liquidity in the financial system. The yield on the benchmark 91-day bill eased to 5.767 percent from 5.920 percent. Yields on sixmonth and one-year t-bills also fell. Total tenders for the P6 billion offer, which was awarded in full, reached P21 billion. The average yield on the 183-day treasury bills eased to 6.817 percent from last week’s 6.966 percent, while that on the 364-day paper declined to 7.934 percent from 7.985 percent in the previous auction. National Treasurer Omar Cruz told reporters after the auction that Fitch Ratings’ decision last week to improve the country’s credit ratings outlook to stable from negative has "really boosted the market’s confidence." "That (Fitch’s action), together with the liquidity in the market, helped bring down yields," he said. Cruz expects yields to decline further in upcoming auctions since the prospects for government finances have improved with the passage of the revisions to the value-added tax last week. The removal of some exemptions to the VAT starting July will raise around P28 billion this year, which will be used to reduce debt. An increase next year in the VAT rate to 12 percent from 10 percent and the corporate income tax rate to 35 percent from 32 percent will raise an additional P97 billion. Cruz said he hoped the recent fiscal reforms would also help the government get good reviews from overseas investors when a team from the Philippines goes on a non-deal roadshow in various cities in the US, Europe and Asia in July. A special focus of the July roadshow will be Europe. "I think the Europeans need to know us more," said Cruz, noting that borrowing more from Europeans would represent a diversification of the country’s debt. The government, he said, will decide whether to access the international debt market anew or prefund in July its borrowing needs for next year, depending on "how they will receive us." Pre-funding next year’s needs would mean that though the funds are borrowed this year, they will be earmarked for spending only next year. |
 |
Circular Letters/Memoranda |
|
Speeches/ Presentations |
|
Photo Gallery |
|
The 2008 RBAP Charter Symposium |
|
2008 CFI Awards |
|
Rural Banking Week Celebration Golf Tournament |
|
Client Satisfaction Survey for Licensing Management System of the Supervision and Examination Sector |
|
Financial Reporting Package 2008 |
|
BSP releases regulations on liquidity, market risk weighting |
