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Advocates Philippines
National Government Debt Reaches P14.15 Trillion As Of June 2023
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The Philippine National Government (NG) recorded a total outstanding debt of P14.15 trillion as of the end of June 2023, according to recent reports. The NG's debt portfolio increased by P51.31 billion or 0.4% compared to the previous month, primarily driven by the net issuance of domestic securities.
Of the total debt stock, 31.4% was sourced externally, while 68.6% represented domestic borrowings. The NG's domestic debt reached P9.70 trillion, marking a significant P114.32 billion or 1.2% increase from the end of May 2023. This growth was primarily attributed to the net issuance of government bonds, responding to the NG's financing requirements. The Year-to-Date increment in domestic debt stands at P494.44 billion, reflecting a growth rate of 5.4%.
In contrast, the NG's external debt amounted to P4.45 trillion, showing a decline of P63.01 billion or 1.4% from the previous month. This reduction in foreign debt was mainly due to currency adjustments affecting both USD- and third-currency equivalents, leading to a decrease in the peso value of the debt by P69.98 billion and P8.28 billion, respectively. However, it's worth noting that foreign loans amounting to P15.25 billion were availed during the same period. Year-on-Year, NG external debt has increased by P234.55 billion or 5.6% since the end of December 2022.
Total NG guaranteed obligations decreased by P9.98 billion or 2.6% Month-over-Month to P369.73 billion as of end-June 2023. This decline in guaranteed debt can be attributed to the net repayment of both domestic and external guarantees amounting to P4.36 billion and P0.89 billion, respectively. Currency adjustments on USD- and third-currency-denominated guarantees further contributed to the reduction, with amounts totaling P2.78 billion and P1.95 billion, respectively. From the end of December 2022, NG guaranteed debt has decreased by P29.32 billion or 7.3%.
Of the total debt stock, 31.4% was sourced externally, while 68.6% represented domestic borrowings. The NG's domestic debt reached P9.70 trillion, marking a significant P114.32 billion or 1.2% increase from the end of May 2023. This growth was primarily attributed to the net issuance of government bonds, responding to the NG's financing requirements. The Year-to-Date increment in domestic debt stands at P494.44 billion, reflecting a growth rate of 5.4%.
In contrast, the NG's external debt amounted to P4.45 trillion, showing a decline of P63.01 billion or 1.4% from the previous month. This reduction in foreign debt was mainly due to currency adjustments affecting both USD- and third-currency equivalents, leading to a decrease in the peso value of the debt by P69.98 billion and P8.28 billion, respectively. However, it's worth noting that foreign loans amounting to P15.25 billion were availed during the same period. Year-on-Year, NG external debt has increased by P234.55 billion or 5.6% since the end of December 2022.
Total NG guaranteed obligations decreased by P9.98 billion or 2.6% Month-over-Month to P369.73 billion as of end-June 2023. This decline in guaranteed debt can be attributed to the net repayment of both domestic and external guarantees amounting to P4.36 billion and P0.89 billion, respectively. Currency adjustments on USD- and third-currency-denominated guarantees further contributed to the reduction, with amounts totaling P2.78 billion and P1.95 billion, respectively. From the end of December 2022, NG guaranteed debt has decreased by P29.32 billion or 7.3%.
Aug 2, 2023
