Weak peso pads NG debt to hit P6.5 trillion
Exchange rate adjustments meant the Philippines owes more.
Total outstanding debt held by the national government hit P6.5 trillion as of end-October, up by 0.9% from September’s level, the Bureau of the Treasury said in a statement.
“The effect of local currency depreciation on foreign currency debt considerably affected the end-month level of NG debt,” the bureau said.
Loans from domestic sources rose by 0.7% to hit P4.2 trillion as the government issued fresh peso-denominated debt papers.
External debt also climbed 1.3% to P2.3 trillion, with foreign exchange fluctuations adding P38 billion to the outstanding liabilities. This cancelled out repayments made by the government during the period, the Treasury said.
The peso depreciated from P50.83 in September to P51.686 per dollar as of end-October.