BTr Launches Inaugural Benchmark Fixed-Rate Treasury Notes Public Offering

​The Bureau of the Treasury (BTr) successfully launched its new 10-year benchmark Fixed-Rate Treasury Note (FXTN) with a coupon rate of 6.375% per annum. The FXTNs will be made available to investors through an extended offer period format to establish a liquid benchmark security through a single issuance – a first for a non-retail bond offering. A total of P135.0 billion was raised during the coupon-setting auction as tenders reached P197.3 billion or 6.6 times the initial offered volume of P30.0 billion.

The 10-year FXTNs will be made available from 15 April to 24 April 2025, unless terminated earlier at the discretion of the BTr. Investors can participate in the offering for a minimum of P10.0 million and in multiples of P1.0 million thereafter. The issue date is scheduled on 28 April 2025.

During the launch, National Treasurer Sharon P. Almanza stated: “The successful launch of our first 10-year benchmark FXTN issuance reaffirms the Republic of the Philippines’ solid reputation and investor confidence in the country’s growth and credit story. This issuance not only ensures financing for the government’s priority programs but also supports our objective of building a resilient and efficient domestic fixed-income market.”

The benchmark issuance seeks to enhance secondary market trading and price discovery, aligning with the Bureau’s capital market development objectives. Furthermore, the longer offer period encourages better participation from the investing public. Proceeds of the issuance will be used for general budget support to help fund the government’s priority projects, including those benefitting agriculture, infrastructure, education, and healthcare sectors.

The Development Bank of the Philippines and the Land Bank of the Philippines are the Joint Lead Issue Managers for the FXTN public offering, and they are joined by BDO Capital & Investment Corporation, BPI Capital Corporation, China Bank Capital Corporation, First Metro Investment Corporation, PNB Capital and Investment Corporation, and Security Bank Capital Investment Corporation as Joint Issue Managers.

Interested investors may visit the BTr’s website at www.treasury.gov.ph for more information on this issuance.