The national government’s debt has reached P9.62 trillion as of end-August, posting a double digit growth from its year ago level, as the government tapped various funding sources for its coronavirus disease 2019 (COVID-19) response, data released by the Bureau of the Treasury (BTr) showed.
According to the BTr, the national government’s debt rose by 21.1 percent from end-August 2019’s P7.94 trillion.
The BTr also said yesterday that the total debt stock for the month grew by 4.9 percent from its end-July 2020 level of P9.16 trillion, predominantly due to the net issuance of domestic securities.
From the end-December 2019 level of P7.73 trillion, the national government debt stock has increased by 24.4 percent.
Of the total outstanding debt, 30.2 percent were sourced externally while 69.8 percent are domestic debt.
The national government’s domestic debt amounted to P6.71 trillion, 27.3 percent up from the year ago period, and 7.3 percent higher compared to the end-July level, with the latter due to the net issuance of domestic government securities.
The BTr said the national government’s domestic borrowing for the year amounted to P2.5 trillion as of end-August 2020.
Of the total new issuances, P925.38 billion were in treasury bills, P447.86 billion were in treasury bonds and P827.11 billion in retail treasury bonds.
This also includes the P300 billion short-term borrowing from the Bangko Sentral ng Pilipinas through a repo agreement.
To date, domestic debt has increased by 30.9 percent since the beginning of the year, the BTr said.
Meanwhile, the national government’s external debt of P2.9 trillion rose 8.8 percent from its year ago level, but is 0.2 percent lower from the previous month.
“For August, the decline in external debt was attributed to the P37.36 billion net effect of local currency appreciation. Meanwhile, net availment of external loans added P27.07 billion alongside the P4.64 billion effect of appreciation on third-currency denominated external loans,” the BTr said.
“National government external financing registered an inflow of P509.69 billion for January to August 2020 vis-à-vis debt repayment of P117.04 billion,” it added.
For the period, project loan availment totaled P17.09 billion while program loans amounted to P306.54 billion. Meanwhile, offshore bond issuances totaled P186.06 billion.
From the start of the year, national government external debt has increased by 11.5 percent. (A. Celis)