The country’s total outstanding debt slightly declined month-on-month in August due to net repayment of foreign debts and Peso appreciation, the Bureau of Treasury said.
Data from the BTr released on Tuesday, October 1, showed that total state obligations stood at P15.55 trillion in August, a 0.9 percent, or P139.79 billion, decline from P15.68 trillion in July.
But on a year-on-year basis, the country’s debt increased by 8.4 percent or P1.2 trillion from P14.35 trillion last August 2023 due to higher domestic and external loans.
Since December 2023, the government’s domestic debt has increased by 7.7 percent, or P773.68 billion.
Of the overall debt stock, 69.40 percent are domestic securities while 30.60 percent are external obligations.
For the month of August, the domestic debt level was recorded at P10.79 trillion, representing a month-on-month increase of 0.4 percent from P10.75 trillion last July and a 10.2 percent increase from P9.79 trillion last August 2023.
“The increase stemmed from the net issuance of government securities amounting to P45.05 billion, albeit partially offset by the P6.59 billion downward revaluation effect of peso appreciation on US-dollar-denominated domestic securities,” BTr said.
Meanwhile, the country’s external debt amounted to P4.76 trillion, a month-on-month decrease of 3.6 percent from P4.94 trillion in July but a 4.4 percent year-on-year increase from P4.55 trillion last August 2023.
The month-on-month decline was mainly caused by peso appreciation, which trimmed P194.90 billion and net repayments of P4.17 billion, although stronger third-currencies added P20.82 billion in valuation effects.
Since the beginning of the year, the country’s external debt has increased by 3.5 percent or P160.25 billion. (TCSP)
