Gov’t settles debts worth P729.8B


MANILA, Philippines—The government settled debts amounting to P729.8 billion in 2012—up by just one percent from the P722.8 billion it paid the previous year, according to the Bureau of the Treasury.

The amounts spent in 2011 and 2012 to service debts were almost the same as amortization declined while growth in interest payments accelerated by a double-digit pace.

Last year, the government settled a total of P417 billion in principal, including P330.4 billion in domestic debt and P86.6 billion in foreign loans.

Total principal payment in 2012 was 6 percent lower than the P443.8 billion posted the previous year.

Also, the government paid a total of P312.8 billion in interest, covering P201.2 billion in domestic debt and P111.6 billion in foreign borrowings.

Total interest payment for the period was 12 percent higher than the P279 billion recorded in 2011.

Last week, Finance Secretary Cesar V. Purisima said the government would continue efforts to extend the maturity of its debt.

So far, maturity of all foreign debt exceeds 10 years while that for local obligations is “mostly over 10 years.”

Purisima said the government would try to insulate itself from changes outside its control, such as the adverse economic developments abroad that affect the domestic economy.

“Eventuality we will make the job of the central bank easier as opposed to now when it has to use everything in its toolkit to make sure we have stability in our exchange rate,” the finance chief said.

He was reacting to a question about possible bubbles forming due to the domestic economy’s strong performance.

In December alone, the government paid a total of P71.8 billion in financial obligations, including P29.4 billion for domestic debt and P42.4 billion in foreign loans.

The month’s total was 3 percent higher than the P69.4 billion paid out in the same month of 2011.

As for principal payments, the Treasury shelled out P41.3 billion in December, lower by 2 percent than the previous P42 billion.

Interest payments for the month reached P30.5 billion, or 11 percent more than the P27.5 billion settled in the same month the previous year.

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  • mxsclxmxn

    Masons repeatedly are directed to the “Mystery Religion” and the time man found God in nature. Almost none of Masonry’s teachings come from Christianity. This ‘mystery religion’ Masons have joined originated from pagans in ancient Egypt, Chaldea, and in China. The Mystery Religion, Freemasonry and all ‘ancient’ secret societies have one thing in common. They string you along, just to finally tell you that there is no God; and you are a god, because you follow their teachings.

    Freemasonry is a hidden fraternal order, and defined by them as a system of morality. The first three steps are the Blue Lodge. The first degree is called Entered Apprentice. The second degree is called Fellow Craft. The Third degree is called Master Mason. Most men only go to the third degree, but if one chooses, he may advance either through the York Rite or the Scottish Rite. The Scottish Rite has thirty-two degrees. In each degree, the Mason pledges himself to a different Egyptian deity. There is a thirty-third degree that is largely honorary, but the thirty-two degrees give you access to becoming a Shriner. As a Shriner you will place your hand on the pagan Muslim Qur’an (Koran) and pledge yourself to the pagan “god” Allah; who by the way lies that Jesus did not even die on a cross, and that God has no Son. This pagan ‘Allah’ never once shows that it knows the real name of God (Jesus/Yeshua/Yahweh/I am).

  • mxsclxmxn

    Satan’s Synagogue as per Pope Clement XII year 1738

    Grand Conspiracy Free Masonry now in Philippine Bill!

    In the P100 BILL series 2012 Serial # ZK188477 has a logo of the Grand Lodge of Free and Accepted Masons. Freemasonry has its goal of destroying Christendom and replacing it with man-centered government and Satanic religion filled with errors.

    How can this logo of a satanic group be allowed to print in the monetary instrument of the country with the constitution believing in a God asking for HIS Divine Providence?

    In Freemasonry the god of the secret societies is covertly substituted for the One True God. This false god is identified in the Masonic lodges as “the Great Architect.”

    Since Freemasonry has attempted so strenuously to claim that they are just a “good ole boy” fraternity that does good works and has a good time, most people will be shocked to learn the bitter truth behind that facade. Freemasonry certainly isn’t “free”. It could cost you your soul.

    Once Masons progress to the higher degrees and they finally believe the ‘Masonic lie”; and they will ‘understand’ that the Grand Architect of the Universe is not the God of the Old or New Testaments, but instead is the perfect dues paying Mason in good standing, who like the statue example above, they chipped away at, and finally shed needless ‘layers’ from both their old useless religion, and from loyalties outside of Masonry, which all along were what concealed them from their own personal true image, as the one and only real God.

    Freemasonry is one of many apostate religions dedicated to the destruction of traditional Judaism and Christianity. Those who aspire to grow in their closeness to Jesus Christ, and to increase their discernment in these days, would do well to stay very clear of Freemasonry. Are your loyalties with Jesus Christ or are they with the lodge? Both are diametrically opposed to one another as you will see below.

    Masons have mixed idolatry, paganism, the occult, Gnosticism, Kabala, fertility cults, Satanism, spiritualism, demonology, and put it into a blender and come up with the Masonic religion. It is not of God! It is a false religion; the Harlot of Babylon. Masons say they offer new candidates “the light”. The light they are actually giving is: Lucifer. The Christian Bible says that Satan walks to and fro on this earth masquerading as an “angel of light”, that many might be deceived.

    An insidious byproduct of Freemasonry is to keep husbands and wives out of churches & away from their children and their homes…

    Satan does not need to receive worship to achieve his goals. All he has to do is to keep a man from following Jesus. Satan knows that anyone who does not follow in the teachings of Jesus does not have God. (2 John 9)

  • muddygoose

    Sana lumiit na to para we can invest this money on ourselves. I hope we can take advantage of the strong peso to pay off foreign debt.

  • Barak_O

    kung pag aari lang sana ng pilipinas ang sabah
    wala sanang utang kasi maraming oil doon
    cooking oil for picnic
    he he he he

  • ern

    You will not have the amenities of today if they, all of them, did not borrow. Aanhin mo ang walang utang kung sira-sira naman at masisikip lahat ng karsada. We will not have the expressways if they did not borrow. Also hospitals, schools and electricity.

    And without infrastructure, investors will not come….and therefore no jobs for filipinos. It is without doubt that much went to corruption. Only good governance can cure the malady.

    • Udreon Raz

      Its not on the issue of borrowing you mor-ron…. your analogy i defective!

  • NoWorryBHappy

    O ayan ha.
    Kumokonti na ang ating utang ng Pinas.
    Please lang. Huwag iboto ang katulad ng Binay na may political dynasty dahil
    kaliwa’t kanan uutang sa IMF at World Bank para kurakutin. Maya’t maya ay may
    sariling multi-billion business na pati ang kani-kanilang hair dresser at katulong na katulad ni GMA.

  • Udreon Raz

    50% of that went to corruption and my taxes is paid to that. bhew!!!

    • ern

      it’s water under the bridge….move on!

      • Udreon Raz

        Its not water under the bridge, the corrupt politician made bridges without water and worst without a bridge. History is a good teacher if our character is like what you said then we will not improve. You only see the trees but not the forest.

      • dodong1

        ERN is a freakin idwat..this individual does not know what he is talking about..he must not probably ever work all his life and has never paid taxes at all..

      • Udreon Raz

        Your very correct with that dong, ern is a lazy person who doesn’t know that when he drink a bottle of beer or smoke a stick of cigarette he also contributed to the pockets of the corrupt politicians, we all contributed to this corrupt system.

      • dodong1

        this crap goes on everyday I AM TALKING ABOUT are you talking about water under the bridge…OPEN YOUR EYES MY FRIEND!!!

      • George Lapulapu

        hahah parang si Mifgs Zubirri.. magnakaw ng boto pag nahuli..let’s move on.
        nope..ang utang na binabayaran ng bayan ay di dapat kalimutan. baka ang apo mo sa tuhod ay magbabayad pa ng utang ni Marcos, et al.

  • kismaytami

    Therefore, it is not education that receives the largest chunk of budget, but debt payments.

    • Tyril

      Debt created by the previous administrations. Especially Estrada and Arroyo.

      • Sandy Bulet

        and also marcos, aquino and ramos dont forget..

      • CookieMonsterX

        The bulk of which, came from the dictator Ferdinand Marcos. The debt just snowballed overtime.

    • joshmale2004

      That has been a decade old problem. Relying on heavy borrowings and pocket 30%.

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