Banks bid more on 7-day TDF

BSP data showed that tenders for the shorter-dated facility totaled to PHP41.269 billion, slightly higher than the PHP40 billion offering and the PHP37.351 billion bids in the previous week’s auction. The auction committee made a full award.(PNA PHOTO)

MANILA – – Banks on Wednesday submitted higher bids on the Bangko Sentral ng Pilipinas’ (BSP) seven-day Term Deposit Facility (TDF) but tenders remained muted for the 28-day facility.

BSP data showed that tenders for the shorter-dated facility totaled to PHP41.269 billion, slightly higher than the PHP40 billion offering and the PHP37.351 billion bids in the previous week’s auction. The auction committee made a full award.

With the increase in bids, this tenor’s bid coverage ratio improved to 1.0317 from last week’s 0.9338.

Its rate also ticked-up to 3.4171 percent from 3.4005 percent last week.

On the other hand, bids for the longer-tenor facility totaled to PHP32.840 billion, lower than the PHP40 billion offering and the PHP45.376 billion last week.

This led rate to drop to 3.4940 percent from last week’s 3.4920 percent.

Bid coverage ratio, meanwhile, rose to 0.8210 from last week’s 0.5042.

For the auction on Dec. 13, the BSP will still offer both facilities for PHP40 billion. (PNA)