Taiwan Raises 20-Year Bond Auction to NT$25 Billion as Yield Climbs to 1.579%

Taiwan’s central bank auctions 20-year central government construction bonds on behalf of the Ministry of Finance, providing the government with an important tool for financing long-term infrastructure. The accepted yield also reflects market expectations for future interest rates and long-term funding costs. Compared with the previous auction on September 10, 2025, financial institutions took a more cautious approach to long-dated bonds amid uncertainty over the direction of interest rates.

The central bank auctioned the new bonds on February 25, 2026, with both the announced and actual issuance totaling NT$25 billion, up from NT$20 billion at the previous auction. The highest accepted yield rose 6.2 basis points to 1.579% from 1.517%, while the bid-to-cover ratio was 1.31. Banks remained the largest buyers, securing 59.4%, or about NT$14.85 billion, of the bonds.