The government borrowed ₱135 billion in the first round of sale of fixed-rate Treasury notes (FXTNs) with a 10-year maturity. This investment is peso-based and low-risk, making it perfect for those looking for a safe long-term investment.
The target offer was supposed to be only ₱30 billion, but the total bid from investors reached almost ₱197.3 billion. In the end, ₱135 billion was obtained. The interest rate or coupon rate of the T-notes is 6.375%, higher than the average rate of 6.286%.
The funds will be used for agricultural, education, health, and infrastructure projects. FXTN can be purchased until April 24, unless terminated by the Treasury. Minimum investment is ₱10 million, and must be increased by ₱1 million each.
The extended offer period aims to facilitate investor entry and create a market benchmark for clearer pricing and liquidity. Only one bid per rate up to ₱10 billion can be submitted, but bids can be submitted up to 10 times as long as the interest rate is different.
Interest will be paid every six months, and the settlement date is April 28. This is ideal for investors who want stable and long-term income.
