Gov't borrows P135 B via fixed-rate T-notes

The government managed to borrow an initial P135 billion via the issuance of fixed-rate Treasury notes (FXTNs) to boost state coffers.

- By LOUISE MAUREEN SIMEON

The Bureau of the Treasury yesterday auctioned off peso-denominated 10-year FXTNs, which are medium to long-term investments that carry minimal risk and are originally issued with tenors of three to 25 years.

With the offering, the Treasury raised an initial P135 billion after total tenders reached P197.305 billion, well above the P30-billion target offer.

The FXTN fetched a coupon rate of 6.375 percent, higher than the average rate of 6.286 percent.