Philippines to tap 6 banks for peso bonds

The Philippine government will tap six banks to help sell global peso bonds due in as long as 25 years.

 “We will continue to reduce foreign-currency debt and continue to lengthen maturity. Any transaction that will bring us closer to that goal, we will do,” Finance Secretary Cesar V. Purisima said.

The government is planning to sell $1.5 billion worth of peso denominated bonds this month, according to the Philippine Star.

The government will likely tap HSBC Holdings Plc and Citigroup Incorporated as lead managers, while Credit Suisse Group AG, JPMorgan Chase and Company, UBS and Deutsche Bank AG as the arrangers.

National Treasurer Roberto B. Tan said the issuance of peso-denominated bonds is the preferred route of the government in raising funds to cushion the country from the impact of foreign exchange fluctuations.