The government wants to raise at least $1.1 billion from the sale of retail Treasury bonds this month and a global peso bond issue later this year to partly fund a record nominal 2010 budget gap, officials said on Wednesday.
Finance Secretary Cesar Purisima said the new government was looking at a minimum size of $500 million for the planned sale of global peso bonds before the end of the year.
Philippines’ six-year peso bonds rose, pushing the yield to a record, after inflation held at a seven-month low in July. The peso was steady.
“Yields, already at record lows, are still dropping, primarily because of inflation and the central bank’s signal that it can delay a rate hike,” said Speedy Delfino, a fixed- income trader at Bank of Commerce in Manila.
