Thursday, July 12, 2007

Philippine Government Bonds Rise as Central Bank Ends Tiered Rate System

(Bloomberg) -- The Philippine peso and bonds rose
after the central bank allowed higher interest rates on large
deposit accounts, while lowering its key borrowing cost.

Five-year debt gained a second day after Bangko Sentral ng
Pilipinas lowered the reverse repurchase rate by 1.5 percentage
points to 6 percent, the first cut since July 2003. The central
bank also ended so-called tiering, a system that encourages
banks to lend by paying them lower rates for larger deposits.


Read more at Bloomberg Bonds News

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