Gov’t issues new bond float

The Philippines returned to the international bond market for the second time this year through a three-tranche US dollar-denominated bond offering.

“[It will be] benchmark size and it’s a multi-tranche USD issuance,” national treasurer Sharon Almanza said in a Viber message on Wednesday.

In a separate report on Wednesday, Moody’s Ratings said the bonds include tranches maturing in 2030, 2035, and 2049.

According to Moody’s, the proceeds of the issuance will be used for general purposes including budgetary support.

Fitch and Standard and Poor’s also issued similar affirmations.

A portion of the tranche maturing in 2049, meanwhile, will be used for eligible projects under the Philippines’ Sustainable Finance Framework.

In May, the Philippine government successfully raised USD2 billion from the issuance of the 10- and 25-year global bonds.

Treasury bonds floated

The BTr, meanwhile, fully awarded on Wednesday the re-issued 20-year Treasury bonds (T-bonds).

With a remaining term of 19 years and nine months, the re-issued T-bonds fetched an average rate of 6.198 percent.

The auction was 1.8 times oversubscribed with total tenders reaching P45.1 billion.

With its decision, the BTr raised the full program of P25 billion, bringing the total outstanding volume for the series to P102.7 billion.