Gov’t targets millennials as retail T-bond investors

The Bureau of Treasury (BTr) is targeting millennials in future issuance of retail Treasury bonds (RTBs) to help the government in its nation building initiatives.

National Deputy Treasurer Sharon Almanza said a lot of work has to be done to promote RTBs particularly in encouraging millennials to park their investments in RTBs.

“The number of retail investors has been increasing every year but more work is needed for RTBs to attract not only the adult population but the millennials as well. We really want the investors to invest in this low-risk instrument and discourage them from investing in supposedly high-return but very risky investment that would cause them to lose money,” Almanza said.

A retail investor capable of allotting a minimum amount of P5,000 could positively influence as every peso invested in RTBs is used to fund priority projects aimed at improving the lives of every Filipino and developing the competitiveness of the country.

“The sale of RTBs has been an integral part of the government’s plan to forward the country’s key economic programs but more importantly to create a stronger society,” Almanza said at recently held Investors’ Briefing in Baguio City.

The national government success- fully raised P121.76 billion from the issuance of three-year RTBs with an annual interest of 4.875 percent. This is the 21st issuance of RTBs by the national government since 2001.

“The ability of the national government to raise funds at sizeable amounts reflects investor confidence in the growth story of the Philippines,” she added.

Almanza said local banks have been helping the government in promoting RTBs by acting as selling agents.

BDO Unibank and its investment banking arm BDO Capital and Investment Corp. have played major roles in the sale of RTBs since the maiden launch in 2001.

As a staunch supporter of a progressive Philippines, BDO earlier declared its readiness to provide funding support to the government’s ambitious P7.74-trillion infrastructure projects.

BDO Capital president Eduardo Francisco said that the BDO Group fully supports the government’s infrastructure initiative.

“BDO Capital continues to dialogue with the government as well as the potential proponents of unsolicited proposals on how the BDO Group can best support the success of the projects – whether through advisory or by way of project financing,” Francisco said.