february

Philippines sells $1.8 bln retail bonds, more seen-underwriter

MANILA, March 1 - The Philippines has sold nearly 80 billion pesos of retail Treasury bonds as it ended the offer on Tuesday, but the final amount could exceed 100 billion pesos if state agency orders are accepted, an underwriter said on Tuesday.

Total sale of over 100 billion pesos would give Manila flexibility in its financing plans for the rest of the year, with interest rates widely expected to climb in the second half as policymakers combat rising domestic consumer prices.

"This can reduce the government's auction offering in the near term, even up to the medium term, therefore insulating them from rising interest rates," Roberto Juanchito Dispo, executive vice president at First Metro Investment Corp , told Reuters.

Although the six-day public offer ended on Tuesday, Dispo said the Bureau of Treasury could still sell the bonds to the public sector until the March 3 issue date. The government sold 20 billion pesos of the bonds at a state auction last week.

"There are pending orders from the GOCCs (government-owned and -controlled corporations) ... of 25 billion pesos," he said, adding Manila was keen to accept the orders. State agencies have so far bought 10 billion pesos of the bonds.

As of Tuesday, Manila sold 23 billion pesos of the 5-year retail bonds and 56 billion pesos of the 10-year paper.

The Philippines, which relies heavily on local and foreign borrowings to fund its budget deficit, has nearly 28 billion pesos of retail T-bonds falling due in two tranches in the second half of 2011.

For 2011, Manila is targeting gross borrowing of 772.9 billion pesos, of which 73 percent, or 563.3 billion pesos, will be raised from the local bond market.

It last sold retail T-bonds in August, when it raised 97 billion pesos in an issue that attracted orders almost five times the offer size.

The retail bond sale was aimed at refinancing maturing debt and providing small investors with investment opportunities.

Along with First Metro, state lenders Development Bank of the Philippines and Land Bank of the Philippines, BPI Capital of the Bank of the Philippine Islands , and Metropolitan Bank & Trust Co are issue managers.



REACTION


In this article, i can say that. it was a good idea because it really helps to improve our economy and it gives opportunities to the small investor to invest.

i am happy to say that in this small action of our government it result to a more jobs, because it helps to an investor to invest..and because of that more it increase the population of Filipino people that are employed.

if the government will continue this kind of activities, im sure it really helps more to improve our country.

econ,january .

Aquino promises at stake as Philippines slips in economic freedom index
By Lala Rimando, abs-cbnNEWS.com

Corruption, weak judiciary

In terms of “business freedom,” the Philippines’ score was lower by 4.7 points due to “severe challenges” that potential entrepreneurs face.

“The overall regulatory framework is burdensome, and the legal framework is ineffective, holding back more dynamic and broad-based expansion of the private sector,” it noted.

It said “deeper institutional reforms” are needed in four interrelated areas: business freedom, investment freedom, property rights, and freedom from corruption.

While the Philippines had modest gains in “freedom from corruption,” it noted that “corruption is perceived as pervasive” and that “a culture of corruption is long-standing.”

“The government has worked to reinvigorate its anti-corruption drive, but these efforts have been inconsistent. Reforms have not improved public perception and are overshadowed by high-profile cases frequently reported in the Philippine media.”

The Aquino government has vowed to go after wrongdoings by its predecessor through a Truth Commission, but the Supreme Court questioned the commission’s constitutionality.

However, even the judiciary is in question. “The judicial system remains weak and vulnerable to political influence and corruption,” the index noted.

A week judiciary impacts other “freedoms,” Heritage explained.

“Although the Philippines has procedures and systems for registering claims on property, including intellectual property and chattel/mortgages, delays and uncertainty associated with a cumbersome court system continue to concern investors,” it said when explaining the Philippines’ score for “property rights.”



REACTION



In this article it showed how our government now make ways for our country to development our economy. although it was hard to deal with it but our President are trying to post a rules that can helped us to minimize all the corruption that we experienced. Corruption in our country is one of the major reasons that make us poor and poor. The money that must give or use to help the poor people is not use for them but instead the person that has a higher position in the government are the one can used to it.
I noticed in some of the institution of our government like BIR. They are the one that collecting money from the people and the money that collect is use for improving in our country but their are no money that give to the poor people. The people responsible for helping us are the one who putting us to much in to a poor.
Corruption weak judiciary, that is true. In every person that had a position in our government, if their is a issue that personality corrupt in our country their is no justice for us.
But i am happy that our government make ways to prevent the corruption of our country.. If their is no corruption our country were growth.