By Joann Villanueva/PNA
MANILA — The rates of Bangko Sentral ng Pilipinas’ (BSP) Term Deposit Facility (TDF) continued to rise even while apprehensions generated by recent developments in the economic front, particularly overseas, led to undersubscription.
Data released by the central bank showed that the rate of the 7-day facility improved to 4.8291 percent from 4.7442 percent during the auction last November 7.
BSP offered this facility for PHP50 billion but banks submitted PHP35.409 billion only. The auction committee accepted all the bids.
The bid coverage ratio of the 7-day facility fell to 0.7082, lower than the 1.0034 last week.
The rate of the 14-day facility on the other hand rose to 4.8642 percent, higher than last week’s 4.7890 percent.
Tenders reached PHP19.32 billion, which the auction committee fully accepted, lower than the PHP20 billion offering.
Its bid coverage ratio fell to 0.9660 from 0.9854.
The offering for this tenor was higher last week at PHP30 billion but tenders were also lower at PHP29.563 billion.
The average rate of the 28-day facility increased to 4.9162 percent, up from last week’s 4.9010 percent.
This tenor also posted undersubscription after bids reached PHP10.897 billion, more than half of the PHP20 billion offering. The auction committee accepted all the tenders.
The bid coverage ratio for the 28-day facility went down to 0.5449 from last week’s 0.8084.
