Interest rates on the Bangko Sentral ng Pilipinas’ (BSP) 28-day and 56-day bills have continuously eased despite oversubscription, the bank said Friday.
The BSP fully awarded P90 billion worth of short-term securities. This represented another reduction from the initial offer of P100 billion, with P40 billion allotted for the 28-day offering and P50 billion for the 56-day offering.
Both tenors were oversubscribed, with the 28-day offering receiving P76.398 billion in tenders and the 56-day offering getting P85.610 billion in offers.
These increased total week-on-week tenders to P162.008 billion from P153.359 billion at its BSP bill (BSPB) auction on July 25.
Interest rates for the 28-day BSPB declined by 4.32 basis points (bps), with its weighted average settling at 5.3976 percent.
Meanwhile, interest rates for the 56-day BSPB also fell further by 4.87 bps, settling at 5.4053 percent.
The continuous decline widened the range of accepted yields for the 28-day BSPB to between 5.2625 percent and 5.4080 percent. However, it narrowed the range of accepted yields for the 56-day bills to between 5.3950 percent and 5.4200 percent.
