Outstanding gov’t debt hits P5.79T

MANILA, Philippines–The outstanding debt of the national government inched up to P5.787 trillion at the end of the first quarter, mainly on higher domestic borrowing.

Bureau of the Treasury (BTr) data showed that the end-March figure was higher by 0.5 percent than end-February’s P5.757 trillion, as well as 2.8-percent higher than the P5.628 trillion posted at the end of the first quarter last year.

Domestic debt at end-March stood at P3.855 trillion, up 0.7 percent month-on-month and 5.3 percent year-on-year.

In a statement, the BTr explained that the higher domestic liabilities mostly sourced from the auction of government securities were “a result of net issuance of P26.66 billion and upward peso revaluation of foreign currency domestic debt by P470 million.”

Domestic debt composed two-thirds of the debt stock at the end of the first quarter.

Meanwhile, the end-March external debt of P1.933 trillion was 0.2-percent higher than the end-February level but 1.7-percent lower than a year ago.

According to the BTr, the slight month-on-month increase in foreign liabilities came as “the P32.85-billion jump in the peso equivalent of US dollar debt was tempered by net repayments of P23.2 billion and devaluation of third-currency debt by P6.24 billion.”

As for the outstanding guaranteed debt of the national government, it rose by 0.5 percent to P415.7 billion at end-March from P413.6 billion a month ago.

But on a year-on-year basis, the national government’s outstanding guaranteed debt fell by 11.8 percent from P471.4 billion at end-March 2014.

Guaranteed domestic debt at end-March stood at P117.4 billion, lower both month-on-month and year-on-year by 0.3 percent and 10.5 percent, respectively.

External debt guaranteed by the national government as of end-March, meanwhile, grew 0.8 percent month-on-month to P298.3 billion, although lower by 12.3 percent year-on-year.

For 2015, the government’s borrowing mix will be 86 percent domestic and 14 percent external.

In the second quarter, the government plans domestic borrowing of P135 billion through the auction of treasury bills and bonds.