Manila: The government has successfully raised USD2.5 billion through a triple-tranche dollar bond offering, marking the Philippines' second foray into the international capital markets this year.

According to Philippines News Agency, the Bureau of the Treasury (BTr) announced that it secured USD550 million from a 5.5-year bond at a reoffer yield of 4.699 percent, USD1.65 billion from a 10-year bond at a reoffer yield of 5.355 percent, and USD300 million from a tap of its 2051 Global Bonds at a reoffer yield of 5.850 percent.

The bond offering attracted significant international investor interest, with the order book reaching 4.4 times the amount offered. This robust demand enabled the BTr to increase the transaction size to USD2.5 billion from the initial target of USD2 billion.

Finance Secretary Frederick Go emphasized the positive reception from global investors, stating, "The strong demand signifies strong confidence in the Philippines' economic resilience and foundational stability, even amidst prevailing challenging market conditions and short-lived execution windows."

The proceeds from the bond sale are intended for general budget financing, with the transaction set to settle on June 24.

National Treasurer Sharon Almanza highlighted the timely opportunity presented by recent favorable market conditions, stating, "Our aim is to harness this market momentum in order to secure the most efficient cost dynamics in anticipation of potential future market uncertainties."

BNP Paribas, Citigroup, HSBC, J.P. Morgan, MUFG, and Standard Chartered Bank acted as joint lead managers and bookrunners for the transaction.