T-bills,

that the government is looking at issuing RTBs, even as she described the state’s current cash position as “very healthy.”

“We have to take into consideration other things before we confirm that we’re going to have RTB sale because of that huge maturity,” Ms. De Leon said.

RTBs are issued to the general investing public. Before the public sale of the bonds, the instruments will be first offered to eligible financial institutions at a rate-setting auction.

The government is considering the sale of RTBs in time for the passage of the 2019 national budget and amid speculation of a possible cut in bank reserve requirements.

Asked for the tenor of the possible retail bond issuance, Ms. De Leon said that the BTr is “looking at the belly of the curve.”

“The T-bill rates should be lower by five basis points on lack of news regarding RTB,” another trader said in a text message on Friday, noting that the Treasury will pay P70-billion worth of maturities on Tuesday.

Apart from the retail bond sale, the Treasury is also studying an offer of renminbidenominated or “panda” bonds in the second quarter as well as yen-denominated or “samurai” bonds in the following quarter, in accordance with the government’s 12-month cycle of offshore bond offerings.

For this quarter, the government is planning to borrow P360 billion. Some P240 billion will be borrowed this quarter through 12 weekly T-bill auctions. On the other hand, P120 billion worth of T-bonds will also be issued through six fortnightly auctions. —