Manila: The Bureau of the Treasury (BTr) fully awarded bids for Treasury bills (T-bills) on Monday. The 90-, 182-, and 364-day T-bills achieved average rates of 4.883 percent, 5.081 percent, and 5.195 percent, respectively, all of which were lower than previous auction levels and the prevailing secondary market rates.

According to Philippines News Agency, last week’s T-bill auction saw higher average rates for the 91-, 182-, and 364-day T-bills at 4.950 percent, 5.148 percent, and 5.272 percent, respectively. Rizal Commercial Banking Corporation’s chief economist, Michael Ricafort, noted that the easing of T-bill average auction yields followed the widely anticipated Federal Reserve rate cut on September 17, 2025, along with signals for an additional two rate cuts by the Fed for the remainder of 2025.

Ricafort explained that recent rate cuts by the Bangko Sentral ng Pilipinas (BSP) and potential further cuts by both the BSP and the Fed have encouraged more investors to secure yields before they potentially decrease further. This trend has resulted in unusually large total bids recently, which could further reduce borrowing costs for the government, businesses, consumers, and the overall economy.

The auction was 4.7 times oversubscribed, drawing PHP117.8 billion in total tenders. In response to this demand, the Committee raised the full program for the auction to PHP25 billion.