GBonds feature launch eyed for second half

THE BUREAU of the Treasury (BTr) plans to launch GBonds, which will let retail investors buy and sell government securities on e-wallet giant GCash, in the second half.

“Definitely within the year, maybe in the second half, early second half of the year,” National Treasurer Sharon P. Almanza told a Filipino community in Milan, Italy at a financial literacy seminar on May 4, according to a video posted by the Philippine Consulate General in Milan on Facebook.

The GBonds feature will be available to more than 94 million registered users of GCash.

The BTr in January said it was working with the Philippine Digital Asset Exchange, Inc. and GCash to integrate government security investments in e-wallets.

“Right now, we are still testing with GCash but hopefully, it will be available soon,” Ms. Almanza said. “Minimum investment will be about P500 for Treasury bills. But if it’s a retail Treasury bond (RTB), you can buy it for as low as P5,000 for GCash.”

RTBs are peso-denominated, low-risk, fixed-income retail investment instruments that earn interest every quarter.

Ms. Almanza said GCash would waive the transaction fee during the primary issuance or in the first two weeks of the offer period.

In the seminar, the national treasurer said retail bonds offer overseas Filipinos workers a safe investment haven, while supporting programs of the National Government.

Other modes of investments for government securities include over-the-counter transactions, BTr’s online ordering facility and app-based channels.

The government plans to borrow P2.545 trillion this year — 80% from local lenders and the rest from overseas.

The National Government’s outstanding debt rose 0.31% year on year to a fresh high of P16.68 trillion at end-March. — A.R.A. Inosante