T-bill rates mixed, 91-day at 1.050%

Published July 26, 2021, 5:00 PM

by Chino S. Leyco

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.