The rate of the Bangko Sentral ng Pilipinas’ (BSP) 28-day bills declined anew on Friday as demand for the debt paper continued to remain strong.
Data released by the central bank showed that the average rate of the securities slipped to 1.9102 percent from 1.9144 percent during the auction last April 18.
The BSP lowered the offer volume to PHP120 billion from the previous auction’s PHP140 billion. The auction committee made a full award.
Total tenders reached 167.6 billion, resulting in a bid coverage ratio of 1.3967.
In a statement, the BSP said yields accepted during the auction this Friday “shifted lower and narrowed to a range of 1.8850-1.9328 percent.”
It said auction results “remain in line with normal market conditions amid ample supply of liquidity in the financial system.”
“Looking ahead, the BSP’s monetary operations will remain guided by its assessment of the latest liquidity conditions and market developments,” it added.