Philippine Government Bonds Attracting Multiple Online Investors
Due to more Filipinos utilizing digital investment platforms, Landbank of the Philippines declared that it distinguished an increasing number of online investors in the country. Landbank stated that the command for investing through online platforms is increasing, particularly for state-run government securities.
The bank cited that the result was visible in the latest offering of Retail Treasury Bonds (RTBs), where it was sold more through online placements. Last February, data revealed that Landbank sold ₱438 million, or almost half a billion, in RTB investments through online channels.
In comparison to roughly ₱140 million previous offering last year, this represented a remarkable threefold increase.Moreover, investments were sold via mobile banking platforms and Overseas Filipino Bank. Two-thirds of total online sales worth ₱664 million of RTB appear to be Landbank’s online sales.
Lynette Ortiz, the Landbank president and CEO stated, “The significant increase in online placements for RTB reflects the growing confidence of retail investors in using our digital solutions.”
For the issuance, the government raised the largest domestic fund-raising amounting to ₱585 billion issue to date. Landbank, as the lead issue manager, put up nearly 30 percent of total sales.
The RTB-30 had a coupon amount of 6.25 percent yearly, with interest rates to be paid quarterly within approximately five years. Furthermore, the issuance proceeds will be used to develop infrastructure, strengthen agriculture and other essential sectors, and enhance the healthcare system in the Philippines.
