BOT invites Dabawenyos to invest in RTBs

WHEN Filipinos invest in Retail Treasury Bonds (RTBs), they actually help the country with its economic development, says a Bureau of the Treasury (BOT) official.

Dabawenyos are urged to invest on the 21st trance of the RTB which started last Wednesday, May 30 and will last until Friday, June 8. As the accumulated funds from the RTBs are to be used to fund economic infrastructure projects in the country, Treasurer Rosalia V. de Leon said the role of the Filipino investors is very crucial.

The minimum investment for this 3-year RTB is P5,000 with allowable additional amounts in multiples of P5,000. With the public offer schedule to last until June 8, the issue date of the offer will be on June 13. The interest rate is at 4.875 percent per annum with quarterly interest payment schedules. The interest payments are subject to 20 percent final withholding tax except for tax-exempt institutions.

“The RTBs seek to enhance the potential of investors by providing steady and stable cash flow. Aside from that, it also serves as a gateway of opportunities to prepare them for future financial needs,” said De Leon during the Investors’ Briefing done last Thursday, May 31, at Seda Abreeza Hotel.

In order to purchase RTBs, interested investors will be required to open a peso account or designate an existing peso account with the Selling Agent where interest and principal payments will be made.

There are about 16 available Selling Agents nationwide including Land Bank of the Philippines (LBP), BDO Capital & Investment Corp., Development Bank of the Philippines, and BPI Capital Corporation among others.

After opening an account or using an existing peso account with the Selling Agent, the investors are then to submit RTB purchase requirements which would be available with the Selling Agents. They will then be instructed to pay the amount due for the RTB purchase after which they will be issued the acknowledgement receipt. Investors will then receive confirmation advice issued by the Selling Agents after the issue date.

De Leon added they urge more Filipinos to invest even with a minimum amount of P5,000. As this is a government public offering, investors will be assured of the maturity of their investments and that they will be returned with the promised amount.

The average collection of BOT for every RTB public offering they do reaches around P100 billion. For their April 2018 revenue alone, De Leon said the collection had exceeded the average by P60 billion.

According to LBP President Alex V. Buenaventura, RTB being on its 21st tranche now and its 18th year is a testament that RTBs remain to be relevant and crucial in the support of the development of the country.