Philippines to Adopt International Bond Pricing to Woo Investors

Bonds Philippines to Adopt International Bond Pricing to Woo Investors The Philippines will adopt international pricing conventions for peso-denominated government bonds effective next year, a shift it says should attract more participants and help lower its borrowing costs. Starting Jan. 4, the government will exclude the impact of withholding tax in the way it prices local-currency bonds. Excluding the impact of withholding tax allows bond yields to better reflect underlying market conditions and makes pricing more comparable with international benchmarks, where yields are typically quoted before investor-specific taxes.