Benchmark interest rates fetched mixed result on Monday, (July 26), amid increasing concerns that the government may impose stricter quarantine controls to manage the threats of the quick-spreading Delta variant in the Philippines.
The yield on the 91-day Treasury bill, which banks use in pricing their loans, went down to 1.050 from 1.082 percent a week ago.
The government accepted P5 billion worth of bids for the three-month IOUs, even as investors were willing to buy as much as P18.327 billion of the debt papers.
The 182-day T-bill rate, meanwhile, inched up to 1.407 percent from 1.401 percent in the previous week, as the government borrowed P5 billion from the sale of the six-month debt papers, even as investors were willing to lend as much as P13.75 billion. The yield on the one-year IOU also rose to 1.638 percent from 1.629 percent last week.
The government sold P5 billion of 364-day T-bills as investors were offering P10.95 billion. National Treasurer Rosalia de Leon said short-term interest rates moved sideways due to growing concerns on possible stricter restriction. The Bureau of the Treasury did not open its tap facility.