BUSINESS
Advocates Philippines
National Debt Surpasses P14.5 Trillion
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In a financial update, the National Government (NG) reveals that its total outstanding debt reached P14.51 trillion by the end of November 2023, marking a month-over-month increase of P27.92 billion or 0.19%. The rise is primarily attributed to the net issuance of domestic securities, with 69.09% of the total debt stemming from domestic borrowings.
Breaking down the figures, NG's domestic debt stood at P10.02 trillion, experiencing a 1.23% increase compared to the prior month. This growth is driven by the net issuance of government securities, resulting in a net issuance of P125.95 billion. Despite a partial offset from the P3.87 billion effect of peso appreciation on foreign currency-denominated domestic securities, year-to-date figures reveal an 8.86% increment in domestic debt, totaling P816.02 billion.
On the external front, NG's external debt decreased to P4.48 trillion, down by P94.15 billion or 2.06% from the previous month. The decline is attributed to the net repayment of foreign loans and favorable foreign exchange movements, with a significant reduction linked to peso appreciation against the US dollar. Overall, NG's external debt has seen a 6.50% increase from the end of December 2022, totaling P273.84 billion.
Furthermore, total NG guaranteed obligations experienced a 2.18% month-over-month decrease, reaching P353.14 billion by the end of November 2023.
This reduction is attributed to net repayments of both domestic and external guarantees, along with the impact of peso appreciation against the US dollar. Year-to-date, NG guaranteed obligations have decreased by P45.91 billion or 11.50% from their end-December 2022 level.
Breaking down the figures, NG's domestic debt stood at P10.02 trillion, experiencing a 1.23% increase compared to the prior month. This growth is driven by the net issuance of government securities, resulting in a net issuance of P125.95 billion. Despite a partial offset from the P3.87 billion effect of peso appreciation on foreign currency-denominated domestic securities, year-to-date figures reveal an 8.86% increment in domestic debt, totaling P816.02 billion.
On the external front, NG's external debt decreased to P4.48 trillion, down by P94.15 billion or 2.06% from the previous month. The decline is attributed to the net repayment of foreign loans and favorable foreign exchange movements, with a significant reduction linked to peso appreciation against the US dollar. Overall, NG's external debt has seen a 6.50% increase from the end of December 2022, totaling P273.84 billion.
Furthermore, total NG guaranteed obligations experienced a 2.18% month-over-month decrease, reaching P353.14 billion by the end of November 2023.
This reduction is attributed to net repayments of both domestic and external guarantees, along with the impact of peso appreciation against the US dollar. Year-to-date, NG guaranteed obligations have decreased by P45.91 billion or 11.50% from their end-December 2022 level.
Jan 4, 2024
