National Government (Ng) outstanding debt is created P17.562 trillion at the end of October due to the weak peso.
Data from the Bureau of the Treasury (BTR) showed outstanding debt rose by 0.61% to P17.562 trillion in October from P17.46 trillion in late-September.
This was 1.2% higher than the debt level of P17.36.
Year-on-year, NG debt jumps by 9.62% from P166.02 trillion as of October 2024, BTR said.
The End-October level was also a tad lower than the record-high p17.563 trillion in outstanding debt seen in July.
“The increase was driven by the issuance of Net of Domestic and Foreign Debt, as well as by the effect of the recovery of the weak peso against the US dollar,” said BTR.
The peso depreciated to P58.771 per dollar at the end of October from P58.149 in September, it said.
NG debt is the total amount owed by the Philippine government to creditors such as international financial institutions, development partner countries, banks, and international creditors.
In October, the bulk or 68.6% of the debt stock comes from domestic sources, while foreign obligations form others, in line with the government’s plan to prioritize local currency to reduce the risks of foreign exchange and assistance.
Domestic debt rose 0.6% month-on-month to P12.05 trillion at end-October from P11.97 trillion at end-September. This was more than the P122.04-Trillion Youth Brivation Project.
Net issuance of Government Securities added P70.65 billion to the delinquent debt, and the depreciation of the peso also increased the coverage of its marketable obligations by P1.78 billion.
Year-on-year, this was 10.61% higher than the P10.89 Trillion recorded in October 2024.
Meanwhile, external debt increased by 0.63% to P5.52 Trillion End-October from P5.48 Trillion End-September. This exceeded the P5.32-Trillion End-2025 Foreign Exchange Projection by 3.8%.
The month-on-month increase came “after the availability of a loan adjustment of P8.25 billion and a peso-equivalent adjustment of foreign currency debt of P26.1 billion,” BTR said.
“The depreciation of the peso against the US dollar added P588.64 billion to the debt, while the appreciation of the peso in third currencies provided an offset of P32.54 billion.”
Outstanding foreign debt is made up of P2.82 Trillion in Global Bond ASS Recions and P2.7 Trillion in loans. Foreign Debt Security is made up of P2.39 Trillion in Porllar Bonds, P257.61 billion in Euro Bonds, P57.87 billion in Japanese Millions, and P54.77 billion in Peso Global Bonds.
Year-on-year, foreign debt increased by 7.53% from P5.13 Trillion.
Guaranteed loans of NG were included in the month of 0.64% in the month to P344.41 billion in the end – October due to the payment of millions of foreign countries of P0.97 billion.
“Bureau ReafefIrmed its commitment to prudent lending and risk management, to ensure that lending is always aligned with the government’s long-term goals and to support a prosperous and inclusive macroeconomic future for Filipinos,” said the Treasurer.
NG debt as a share of gross domestic product (GDP) rose to 63.1% at the end of September from 60.1% in the same period last year. This is above the 60% threshold considered sustainable for developing countries.
The Ministry of Finance expects the NG debt to GDP ratio to ease to 61.3% by the end of 2025 and finally fall to 58% by 2030. – by entering from ARAINOSANDE
