Gov’t sells RTBs to Central Luzon investors

CITY OF SAN FERNANDO, Pampanga (PIA) — Retail investors in Central Luzon may now purchase the 30^th tranche of retail treasury bonds (RTBs) until February 23.

The RTBs are medium to long-term debt securities issued by the Republic of the Philippines through the Bureau of the Treasury (BTr).

Bureau of the Treasury (BTr) Regional Director Yvette Christine Herrera said that RTBs form part of the national government’s program to make government securities available to retail investors, especially to individuals.

“Through the RTBs, investors are not only able to safely grow their investments, but are also able to support the country as proceeds from RTB 30 will finance the government’s various expenditures focused on promoting the agriculture, education, infrastructure, and healthcare sectors, and various priority projects nationwide,” she said.

With the theme “Kaagapay Mo sa Buhay”, the director highlighted that RTBs are low-risk investment instruments as they are direct, unconditional, and general obligations of the Republic.

Only a minimum of P5,000, and in multiples of P5,000 thereafter, is required for an individual to start investing. This provides an annual interest rate of 6.25% and are paid quarterly during its five year maturity period.

Herrera added that RTBs offer higher yields than term deposit instruments and they provide frequent cash flow via quarterly interest payments over the life of the bond.

BTr shared that throughout the offer period, individuals, corporations, financial institutions, and other institutional investors can purchase RTBs through its Online Ordering Facility at www.treasury.gov.ph.

The bonds can also be bought via the Bonds.PH Mobile Application at Bonds.PH, Overseas Filipino Bank Mobile Banking Application at OFBank, LandBank of the Philippines Mobile Banking Application at LBP MBA.

Transactions may also be done over the counter through any of the selling agents.

As an additional feature, Herrera that BTr is also introducing an exchange offer program where bond holders of RTB 03-11 and RTB 05-12 which will mature on March 9 and March 12, 2022, respectively will be allowed to exchange their holdings for the latest RTB offering.

The bonds will mature in 2029, while the issue date is on February 28, 2024. (CLJD/MJSC-PIA 3)