The peso exchange rate stands at P44.065 to the US dollar, the closing rate on Monday at the Philippine Dealing & Exchange Corp. (PDEx). The weighted average rate stands at P44.153.

GOV’T AUGUST SPENDING 18.5% BELOW PROGRAM

The government’s disbursement in August was below by 18.6 percent of its spending program for month, the Department of Budget and Management announced yesterday. The lower than programmed disbursement last month was a reversal of the overspending registered in July and resulted to an under-spending of P4.6 billion against the program in January to August. The government spent P106.49 billion last month, lower by P24.3 billion against the P130.79 billion program for the month. “This is proof of how the Aquino government is serious in keeping our deficit and debt in check for this year and in the medium-term,” Budget and Management Secretary Florencio B. Abad said. “We are clearly back on track in achieving the fiscal deficit level we set for the whole year,” he added. Abad, however, assured that the lower spending does not mean that the government is sacrificing growth, citing the new administration spent more compared with the same period last year. He cited that disbursements in the eight-month grew by P81.8 billion or 8.6 percent year-on-year to P1.03 trillion. (CSL)

FIRST PACIFIC SELLS US$400-M BONDS TO PAY OFF DEBT

HONG KONG, Sept. 21 (Reuters) – Hong Kong's First Pacific Co. said on Tuesday it had sold $400 million of 10-year bonds to pay debt. The bonds will pay an interest rate of 6.375 percent annually and will be secured by shares in its unit Philippine Long Distance Telephone Co , First Pacific said in a statement to the Hong Kong stock exchange. The conglomerate, involved in telecommunications, consumer food products, infrastructure and energy businesses, had hired Standard Chartered Bank and Credit Agricole CIB to manage the deal. The issue size was raised from a planned $300 million due to strong demand from investors, a source close to the deal said.

B.S.P. REVISES AUG. GIR DATA TO $49.9 B

The Bangko Sentral ng Pilipinas (BSP) has revised up to a new record high $49.91 billion its gross international reserves as of end-August due mainly to an upward revision in the value of its foreign investments, data released yesterday showed. Preliminary data reported earlier this month estimated the reserves at a record high $49.58 billion. The latest data included a $390.2 million upward revision in the value of the central bank's foreign investments, more than offsetting the decline of $55.8 million and $7.0 million in the value of foreign currency and special drawing rights held by the central bank, respectively, in August.