The National Government raised 100 billion yen, or roughly US$1.1 billion, through the sale of Samurai bonds in Tokyo yesterday.

The Philippine 10-year notes were priced at 2.32 percent and was partially guaranteed by Japan Bank for International Cooperation (JBIC), under the Japanese Market Access Support Facility (MASF).

The placement was issued through a framework agreement between the Philippines and JBIC on February 16 this year, which allows the country to issue up to 100 billion yen bonds that will carry JBIC’s guarantee.

“Japanese bond investors showed strong interest for the placement following an extensive marketing effort, including series of one-on-one investor meetings in Tokyo in the first week of February with a delegation headed by National Treasurer Roberto B. Tan and Finance Undersecretary Rosalia V. De Leon,” the Department of Finance said in a statement.

Finance Secretary Margarito B. Teves, said that with this bond issue, the national government completed the programmed $2.5 billion commercial funding this year. The placement, which was structured as private placement format targeting Japanese Qualified Institutional Investors (QIIs), attracted participation from banks, insurance companies, cooperatives and other financial institutions in Japan.

DoF said total investor interest far exceeded the actual issue size of 100 billion yen, which represents by far the largest bond issue by any non-Japan Asian issuers in the Japanese market ever to date.

Daiwa Securities Capital Markets, Mitsubishi UFJ Securities and Nomura Securities acted as joint lead arrangers for the placement. The yen bond sale was also the first by any sovereign issuer this year and the largest by any non-Japan Asian issuer.