MANILA – The rate of the Bangko Sentral ng Pilipinas’ (BSP) seven-day term facility slipped anew on Wednesday.
Data released by the central bank showed the weighted average accepted yield of this tenor declined to 2.2543 percent from 2.2578 percent last week.
The BSP offered this tenor of term deposit facility (TDF) for PHP120 billion and tenders more than doubled at PHP242.052 billion.
The auction committee made a full award.
The bid coverage ratio declined to 2.0171 from last week’s 2.3135 when the PHP100-billion offer was met by PHP231.351 billion worth of tenders.
In a statement, BSP Deputy Governor Francisco Dakila Jr. said the average rate of the facility went down by 0.354 basis points this week.
“Today’s auction results show that the domestic financial market remains calm amid ample liquidity even as the enhanced community quarantine measures in NCR (National Capital Region) was eased slightly on 16 May 2020,” Dakila said.
He added that the BSP would continue its assessment of prevailing liquidity conditions in the financial system in determining the appropriate size and tenors of its TDF auction.