Interest rates on Treasury bills rose across the board on Monday, (March 8), amid worries on accelerating inflation. But the Bureau of the Treasury made a full-award at an auction despite higher interest rates being sought by investors.
The 91-day Treasury bills (T-bills) fetched an average rate of 1.139 percent, up from 1.040 percent last week, while the yield of 182-day T-bills increased to 1.316 percent from 1.226 percent.
Interest rate of 364-day T-bills also rose from 1.680 percent to 1.852 percent.
National Treasurer Rosalia de Leon said investors are having a “hangover” due to the elevated inflation rate in February. But de Leon also said the increase in yields is moving alongside with the US Treasury rates.
Monday’s auction was oversubscribed with total bids reaching P41 billion, more than twice the P20 billion offer.