The national government’s outstanding debt continued to ease, settling at P17.46 trillion as of end-September, marking a slight but steady decline from the P17.47 trillion recorded in August, according to the Bureau of the Treasury (BTr).
The BTr attributed the dip to what it called the government’s “sound fiscal discipline, strategic borrowing strategy, and proactive liability management,” backed by favorable market conditions and strong domestic investor confidence.
Domestic borrowings remained the main pillar of the debt portfolio, accounting for over 60 percent of the total—part of the government’s strategy to reduce foreign exchange exposure while deepening local capital markets. Domestic debt dropped by 0.9 percent to P11.97 trillion, as repayments outpaced new borrowings by P117.29 billion. This was enough to offset the P3.16 billion upward revaluation caused by a weaker peso against retail dollar bonds.
External debt, on the other hand, rose by 1.9 percent to P5.48 trillion due to currency movements, particularly the peso’s depreciation. Meanwhile, guaranteed obligations stood at P346.63 billion, nearly unchanged from August, with a minor 0.05 percent uptick attributed to foreign exchange fluctuations.
The Treasury said these figures underscore the Marcos administration’s ongoing efforts to keep government financing “sustainable, strategic, and supportive of the country’s growth priorities.” It added that maintaining this downward trend remains a key focus as the government balances fiscal recovery with investments in infrastructure and social programs.