BSP Deputy Governor Nestor A. Espenilla Jr. said the Monetary Board gave its final nod on the certificates of deposits for the 10-year and 5.5-year tenors are exclusively for OFWs.

In a previous statement, Finance Secretary Margarito B. Teves said the LTNCDs will help OFWs and their families to participate in the government’s savings mobilization program. "(It will also) help soften the adverse impact of the sharp peso appreciation on our OFWs as the LTNCD carries a higher yield compared to existing peso savings and time deposits," he added.

The LTNCDs will be issued in P20,000 denomination in 5.5-year and 10-year tenors. It is covered by PDIC insurance up to P250,000 per depositor, and is withholding tax-exempt if held up to maturity.

The instrument carries an indicative yield of 6.25 percent for a 5.5-year term, and 6.88 percent if held for 10 years. The final interest rates, however, will depend on the prevailing market rates at the time of issuance.