Photo credit: Bureau of the Treasury

The National Government's debt is on the rise, hitting a record P15.48 trillion as of the end of June 2024. This marks an increase of P135.90 billion, or 0.9%, from the previous month, mainly due to new borrowings and the peso's depreciation against other currencies.

Of the total debt, 68.29% is domestic, amounting to P10.57 trillion. This is up by P130.28 billion, or 1.2%, compared to May 2024, driven by government securities and the peso's weakening impact on foreign-currency-denominated domestic debt. Since December 2023, domestic debt has climbed by P555.19 billion, or 5.5%, with a year-on-year growth of 9.0%.

External debt stands at P4.91 trillion, slightly up by P5.62 billion from May 2024. This uptick is due to new loans and the peso's depreciation, though some of this was offset by favorable currency adjustments. Compared to December 2023, external debt has grown by P312.05 billion, or 6.8%, and by 10.5% year-on-year.

Interestingly, the government's guaranteed obligations have decreased by P6.56 billion, or 1.9%, from May 2024, now totaling P343.65 billion. This reduction is thanks to net repayments and favorable currency movements.