DEBT payments by the national government were markedly lower in September compared to a month and a year earlier, latest Bureau of Treasury data showed.
At P93.61 billion, the amount was about half of August’s P186.22 billion and three-fifths of the year-ago P238.99 billion.
Amortization drove the decline, registering at just P19.76 billion in September compared to the previous month’s P133.44 billion and the year-earlier P167.55 billion.
Almost all of the amortization — P19.67 billion — was used to reduce foreign debt.
Interest payments accounted for the remaining P73.85 billion in overall debt payments, rising from August’s P52.78 billion and September 2023’s 71.45 billion.
Local creditors still accounted for almost all interest payments at P55.41 billion. This was slightly lower than the P55.89 billion seen a year ago but higher than the month-earlier P39.36 billion.
Fixed rate Treasury bonds comprised the bulk at P32.99 billion, followed by retail T-bonds (P19.18 billion) and T-bills (P3.20 billion).
Foreign interest payments, meanwhile, rose to P18.45 billion in September from P15.56 billion last year and the month-earlier P13.42 billion.
Year to date, government debt payments were 17.4 percent higher at P1.64 trillion from the comparable 2023 period’s P1.40 trillion.
The national government’s outstanding debt ballooned to a new record of P15.89 trillion in September due to continued borrowings.
As of end-September, domestic debt was 1.3 percent, or P144.65 billion, higher than the P10.79 trillion recorded a month earlier.
External debt, meanwhile, totaled P4.96 trillion, 4.2 percent or P198.46 billion higher month on month, due to P200.89 billion in net foreign borrowings, which included P140.99 billion from new dollar bonds for general budget needs.
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