ISSUANCE of government securities, along with weakening of the Philippine peso, resulted in the 0.61 percent jump in government liabilities in October 2025 against the previous month’s level.
Data released by the Bureau of the Treasury (BTr) on December 2 showed that outstanding debt of the government totaled P17.56 trillion as of end-October, up by P106.78 billion compared to the end-September 2025 level.
“The expansion was driven by net issuances of domestic and external liabilities, as well as due to the upward revaluation effects of the weaker peso against the US dollar,” the BTr said.
Of the total, the share of domestic liabilities reached 68.6 percent, “consistent with the Bureau of the Treasury’s debt strategy of prioritizing local currency financing to mitigate foreign exchange risks and foster the development of the domestic bond market.”
Liabilities sourced from domestic sources inched up by P72.43 billion to P12.05 trillion.
This was due to the P70.65 billion net issuance of government securities during the month and the impact of a weaker peso, which “added P1.78 billion to the local currency valuation of retail dollar bonds (RDBs).”
Foreign debt during the said period increased by P34.35 billion to P5.52 trillion compared to the previous month’s level due to “net availment of loans of P8.25 billion and upward net adjustments in the peso equivalent of foreign currency debt of P26.10 billion.”
BTr said that during the same period, guaranteed liabilities of the national government went down by P2.22 billion to P344.41 billion due to “net repayments of P1.25 billion and lower valuation of foreign currency guarantees of PHP0.97 billion, as external guarantees are comprised more of obligations in third currencies than in US dollars.” (PNA)
