NG debt payments rise 23% as of July

    Early signs. TMP is back to two-hour shift starting today operating just half its capacity for three months. (File photo)

    The national government’s debt payments as of end-July rose by 27.33 percent as both interest payments and amortization increased versus the previous year’s levels.

    According to the Bureau of the Treasury (BTr), the government spent P608.26 billion for its domestic and international debts in the first seven months of the year.

    Data posted on the BTr’s website showed this is higher than the P477.71 billion paid out in the same period in 2019.

    Interest payments as of July totaled to P247.06 billion, 6.94 percent higher than the P231.04 billion paid out as of the same period last year.

    Of the said amount, P168.88 billion was paid to domestic creditors while P78.18 billion was for international debt.

    Principal payments also rose by 46.42 percent to P361.2 billion, from the P246.68 billion paid out in the same period a year ago.

    Of the total amortization made during the period, P246.21 billion was used to pay local lenders while P114.99 billion was spent to settle foreign obligations.

    For the month of July, however, debt payments fell by 34.12 percent to P60.91 billion from P92.46 billion a year ago.

    Interest payments amounted to P59.38 billion, 16.52 percent up from a year ago, while amortization stood at P1.53 billion, posting a decline of 96.32 percent year-on-year.