MANILA – The Bangko Sentral ng Pilipinas (BSP) will offer P80 billion under its term deposit facility (TDF) on Wednesday.
Data released by the central bank Monday showed that the seven-day facility will be offered for P20 billion, while both the 14-day and 28-day facilities will be offered for P30 billion.
The shortest-tenor TDF offering this week is twice the P10 billion offered during the auction last Sept. 11.
The offering for the longer-dated TDF are also higher by P10 billion each.
Last week, the rates of the TDF declined across-the-board after the over-subscription in all tenors.
BSP deputy governor Francisco Dakila Jr. traced the increased bids to higher liquidity among banks.
Dakila said they offered higher volume last week compared to the P40-billion offer in the previous week “in anticipation of higher excess liquidity to be siphoned from the financial system as a result of funds released from the deposits of the National Government with the BSP.” (PNA)
