Philippines plans retail dollar bond offer to raise at least US$200 million
Subscriptions will run from November 19 to 24, with the interest rate to be set through a Dutch auction.
The Philippines is seeking at least US$200 million through an offering of three-year retail dollar bonds, according to the Bureau of the Treasury. Investors can subscribe from November 19 to 24, ahead of the scheduled November 27 issuance.
The securities are due in 2029. Government Securities Eligible Dealers will take part in a Dutch auction to determine the final interest rate, the Treasury said. Money raised will help fund the government budget.
Purchase channels include GCash’s GBonds, Philippine Digital Asset Exchange (PDAX) Inc. Bonds and the Treasury’s online ordering facility. Orders placed through the Treasury website can be settled electronically through China Banking Corp., Metrobank via First Metro Securities Brokerage Corp., and Land Bank of the Philippines. The Overseas Filipino Bank and Landbank mobile apps also provide access.
The Treasury permits multiple transactions, with a US$200 minimum for each. Separately, PDAX said purchases during the primary offering would carry no fees on its platform.
The sale will be the government’s third retail dollar bond offering. Earlier sales raised US$1.6 billion in 2021 and US$1.26 billion through 5.5-year bonds in October 2023. The government also plans ₱892 billion in domestic borrowing during the fourth quarter and aims to borrow ₱2.73 trillion in 2026.
