The country's repurchase agreement market has expanded to P119 billion as of July, reflecting progress in the Bangko Sentral ng Pilipinas' efforts to deepen fixed-income trading and strengthen the transmission of monetary policy, as reported by Philstar Biz.
The growth in the repo market is part of broader financial sector reforms aimed at enhancing liquidity and market-based interest rate benchmarks. The BSP has been pushing for greater participation in the repo market to improve the effectiveness of its monetary policy operations.
The P119 billion figure marks a significant milestone for the Philippine fixed-income market, which has historically been dominated by government securities. The expansion is expected to provide more tools for investors and institutions to manage short-term funding and liquidity needs.