LandBank retail bond sales reach P124.39B

State-run Land Bank of the Philippines generated P124.39 billion in sales from the Retail Treasury Bonds offering concluded earlier this month, the lender announced over the weekend.

LandBank said sales accounted for 27% of the total P463.32 billion raised by the Bureau of the Treasury (BTr) from the issuances closed on March 4, at a coupon rate of 2.375% per annum.

Broken down, LandBank sales were composed of P78.82 billion in new money, and P45.57 billion through the switch offer where holders of previously issued bonds exchanged their holdings.

A total of P78.80 billion from the new sales were facilitated over the country, while P20.17 million was transacted through the lender's online channels.

"Despite being a universal bank, LandBank is a also a retail bank that serves the diverse needs of retail investors for affordable and low-risk investment instruments," said LandBank President and Chief Executive Officer Cecilia Borromeo.

"We will continue to support the national government's financing strategy by making government securities more accessible, including to Filipinos abroad," she added.

The recent bond offer's proceeds of P463.32 is over 15 times oversubscribed from the initial size of P30 billion. This will be used to partially fund the 2021 national budget.

LandBank is mandated to promote countryside development while remaining financially viable. It implements the comprehensive agrarian reform program (CARP), provides assistance to small farmers and fisherfolk, and serves as an official depository of government funds. — BM, GMA News