ADVERTISEMENT
Manila Bulletin devider Business devider BSP bills oversubscribed

BSP bills oversubscribed

Published Dec 19, 2021 10:10 pm

The central bank received P104.56 billion total bids for its offer of P80-billion worth of 28-day securities last Friday, Dec. 17, about 1.31 times oversubscribed as banks considered both liquidity and inflation outlook in their market placements.

54091

Bangko Sentral ng Pilipinas (BSP) Deputy Governor Francisco G. Dakila Jr. said they fully awarded the total volume while yields fell this week.

BSP Governor Benjamin E. Diokno

“The BSP maintained the offering for the 28-day bills at P80 billion which was awarded in full amid oversubscriptions,” said Dakila. This was the second week in a row that the BSP securities facility was offering P80 billion. It was previously offering P100 billion since Nov. 19, and offering P110 billion from Oct. 29 up to Nov. 12.

“Total tenders amounted to P104.56 billion which is equivalent to about 1.31x the auction offer,” said Dakila.

He also noted that the weighted average interest rate continued to decline at 1.8534 percent, 1.192 basis points lower compared to the Dec. 10 auction. The yields accepted “shifted slightly higher but narrowed” to a range of 1.7850-1.9800 percent.

“The results of the BSP bill auction continues to support the view that liquidity in the financial system remains ample amid market participants’ preparations for the holiday cash demand,” Dakila reiterated.

The BSP securities facility is one of its liquidity mopping-up tool to manage inflation.

In a press chat online on Friday. Dec. 17, BSP Governor Benjamin E. Diokno said the inflation path, despite global oil prices, is still target-consistent in the next two years at two-four percent.

“The BSP closely monitors global oil demand and supply conditions in its assessment of the outlook for setting monetary policy, and the latest inflation projections already consider these developments,” said Diokno. “Inflation expectations are likewise well anchored to the target. This gives the BSP room to maintain its accommodative policy stance,” he added.

The Monetary Board met on Thursday, Dec. 16, for its last policy meeting for 2021. It kept the key interest rate steady at two percent, the benchmark rate since November 2020.

Global oil prices have been on an uptrend in 2021 amid recovery in economic activity. However, the emergence of the COVID-19 Omicron variant pushed to fore concerns over weaker demand prospects which led to the recent decline in global crude oil prices, said Diokno.

Dubai crude oil prices for the first week of December averaged below $70 per barrel after peaking at $81.3/bbl earlier in October.

Diokno said global crude oil prices impact key drivers of domestic inflation such as domestic petroleum prices. Energy-related items such as petroleum and fuels contributed about 1.5 percentage points to the 4.2 percent November headline inflation, he noted.

“The BSP’s latest inflation outlook assessment already considers the recent developments in the global oil price path. At the same time, the BSP looks into a range of oil price scenarios to evaluate its impact on inflation,” said Diokno.

The latest oil price assumptions still suggest a target-consistent inflation over the policy horizon.

“Nonetheless, the BSP remains vigilant of any second-round effects. The potential impact of the petition for jeepney fare hikes due to higher oil prices is one of the upside risks to the inflation outlook over the near term. Meanwhile, the proposal for a six-month suspension in the excise taxes of petroleum products could temporarily reduce inflation, but the impact will likely be reversed once the excise tax rates revert to previous levels,” said Diokno.

ADVERTISEMENT
.most-popular .layout-ratio{ padding-bottom: 79.13%; } @media (min-width: 768px) and (max-width: 1024px) { .widget-title { font-size: 15px !important; } }

{{ articles_filter_1561_widget.title }}

{{ item.title }}
.most-popular .layout-ratio{ padding-bottom: 79.13%; } @media (min-width: 768px) and (max-width: 1024px) { .widget-title { font-size: 15px !important; } }

{{ articles_filter_1562_widget.title }}

{{ item.title }}
.most-popular .layout-ratio{ padding-bottom: 79.13%; } @media (min-width: 768px) and (max-width: 1024px) { .widget-title { font-size: 15px !important; } }

{{ articles_filter_1563_widget.title }}

{{ item.title }}

{{ articles_filter_1564_widget.title }}

{{ item.title }}
.mb-article-details { position: relative; } .mb-article-details .article-body-preview, .mb-article-details .article-body-summary{ font-size: 17px; line-height: 30px; font-family: "Libre Caslon Text", serif; color: #000; } .mb-article-details .article-body-preview iframe , .mb-article-details .article-body-summary iframe{ width: 100%; margin: auto; } .read-more-background { background: linear-gradient(180deg, color(display-p3 1.000 1.000 1.000 / 0) 13.75%, color(display-p3 1.000 1.000 1.000 / 0.8) 30.79%, color(display-p3 1.000 1.000 1.000) 72.5%); position: absolute; height: 200px; width: 100%; bottom: 0; display: flex; justify-content: center; align-items: center; padding: 0; } .read-more-background a{ color: #000; } .read-more-btn { padding: 17px 45px; font-family: Inter; font-weight: 700; font-size: 18px; line-height: 16px; text-align: center; vertical-align: middle; border: 1px solid black; background-color: white; } .hidden { display: none; }
function initializeAllSwipers() { // Get all hidden inputs with cms_article_id document.querySelectorAll('[id^="cms_article_id_"]').forEach(function (input) { const cmsArticleId = input.value; const articleSelector = '#article-' + cmsArticleId + ' .body_images'; const swiperElement = document.querySelector(articleSelector); if (swiperElement && !swiperElement.classList.contains('swiper-initialized')) { new Swiper(articleSelector, { loop: true, pagination: false, navigation: { nextEl: '#article-' + cmsArticleId + ' .swiper-button-next', prevEl: '#article-' + cmsArticleId + ' .swiper-button-prev', }, }); } }); } setTimeout(initializeAllSwipers, 3000); const intersectionObserver = new IntersectionObserver( (entries) => { entries.forEach((entry) => { if (entry.isIntersecting) { const newUrl = entry.target.getAttribute("data-url"); if (newUrl) { history.pushState(null, null, newUrl); let article = entry.target; // Extract metadata const author = article.querySelector('.author-section').textContent.replace('By', '').trim(); const section = article.querySelector('.section-info ').textContent.replace(' ', ' '); const title = article.querySelector('.article-title h1').textContent; // Parse URL for Chartbeat path format const parsedUrl = new URL(newUrl, window.location.origin); const cleanUrl = parsedUrl.host + parsedUrl.pathname; // Update Chartbeat configuration if (typeof window._sf_async_config !== 'undefined') { window._sf_async_config.path = cleanUrl; window._sf_async_config.sections = section; window._sf_async_config.authors = author; } // Track virtual page view with Chartbeat if (typeof pSUPERFLY !== 'undefined' && typeof pSUPERFLY.virtualPage === 'function') { try { pSUPERFLY.virtualPage({ path: cleanUrl, title: title, sections: section, authors: author }); } catch (error) { console.error('ping error', error); } } // Optional: Update document title if (title && title !== document.title) { document.title = title; } } } }); }, { threshold: 0.1 } ); function showArticleBody(button) { const article = button.closest("article"); const summary = article.querySelector(".article-body-summary"); const body = article.querySelector(".article-body-preview"); const readMoreSection = article.querySelector(".read-more-background"); // Hide summary and read-more section summary.style.display = "none"; readMoreSection.style.display = "none"; // Show the full article body body.classList.remove("hidden"); } document.addEventListener("DOMContentLoaded", () => { let loadCount = 0; // Track how many times articles are loaded const offset = [1, 2, 3, 4, 5, 6, 7, 8, 9, 10]; // Offset values const currentUrl = window.location.pathname.substring(1); let isLoading = false; // Prevent multiple calls if (!currentUrl) { console.log("Current URL is invalid."); return; } const sentinel = document.getElementById("load-more-sentinel"); if (!sentinel) { console.log("Sentinel element not found."); return; } function isSentinelVisible() { const rect = sentinel.getBoundingClientRect(); return ( rect.top < window.innerHeight && rect.bottom >= 0 ); } function onScroll() { if (isLoading) return; if (isSentinelVisible()) { if (loadCount >= offset.length) { console.log("Maximum load attempts reached."); window.removeEventListener("scroll", onScroll); return; } isLoading = true; const currentOffset = offset[loadCount]; window.loadMoreItems().then(() => { let article = document.querySelector('#widget_1690 > div:nth-last-of-type(2) article'); intersectionObserver.observe(article) loadCount++; }).catch(error => { console.error("Error loading more items:", error); }).finally(() => { isLoading = false; }); } } window.addEventListener("scroll", onScroll); });
Join Our Newsletters

Sign up by email to receive news.

© 2025 Manila Bulletin The Nation's Leading Newspaper. All Rights Reserved.