BTr expects lower volume from RTB issue
The Philippines is planning to raise a smaller amount from its planned retail treasury bond sale as it weighs other funding options for the rest of the year, the Bureau of the Treasury said.
The Philippine Bureau of the Treasury (BTr) has announced plans for a reduced retail treasury bond (RTB) sale in 2025 due to the need to explore alternative funding options for the remainder of the year. National Treasurer Sharon Almanza informed reporters that the government is not aiming for the typical volume of the RTB, which will be more than halved compared to last year's issuance.
Almanza emphasized that the planned RTB sale will be significantly smaller, noting that "definitely lower, more than half reduction from last year." The previous RTB offering in August 2025 raised P507.16 billion. The government aims to continue with several auctions throughout the year as it believes the current position does not necessitate a larger volume.
Almanza highlighted that this is a milestone year for RTB and encouraged investors, particularly retail investors, to participate, as they do not need sizable investments. The funds raised from the RTB will be utilized for general government support. Almanza also mentioned potential challenges, such as higher inflation due to the southwest monsoon and El Niño, along with recent increases in oil prices, which could lead to a rate hike and elevated yields.
The Treasury is also examining other funding avenues, including a retail dollar bond, with the previous issuance maturing in October. Although the government has nearly met its domestic borrowing target for the year, which is set at P2.73 trillion, it plans to continue borrowing P1.92 trillion domestically and P815.51 billion externally.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
