National government debt reaches P11 billion as of end-May 2021

The National Government’s (NG) total outstanding debt stood at P11,071.13 billion as of end-May 2021. For May, the NG’s total debt stock slightly increased by P79.81 billion or 0.73% from its end-April 2021 level with the string peso tempering further increases. Of the total debt stock, 28.5% was sourced externally while 71.5% are domestic borrowings.

National Government domestic debt stock amounted to P7,915.76 billion, which is P103.37 billion or 1.3% higher compared to end-April 2021 level as a result of the net issuance of government securities.

NG external debt of P3,155.37 billion was P23.56 billion or 0.74% lower from the previous month. The lower external debt figure was due to the P28.58 billion impact of local-currency appreciation against the US Dollar and the net repayment of foreign loans amounting to P0.22 billion. These more than offset the P5.24 billion revaluation in the peso value of debt denominated in other currencies such as EUR and JPY.

Total NG guaranteed obligations decreased by P8.15 billion or 1.9% month-over-month to P426.59 billion in May. The lower level of guaranteed debt was duet to the net redemption of both local and foreign guaranteed obligations amounting to P5.52 billion and P0.69 billion, respectively.

While, the impact of local- and third-currency exchange rate fluctuations further lowered the peso value of external guaranteed debt by P1.76 billion and P0.18 billion, respectively.

National government debt reaches P11 billion as of end-May 2021

The National Government’s (NG) total outstanding debt stood at P10,991.32 billion as of end-April 2021.

In April, the national government’s fiscal balance yielded a narrower deficit of P44.4 billion on the back of increase in tax collection during the period.

“The need to finance the purchase of more COVID-19 vaccines would also lead to some pick up in government borrowings/debt; as the commercial purchases for COVID-19 vaccines would be recurring in nature in the foreseeable future,” Ricafort said.

In particular, domestic debt totaled P7.812 trillion, 0.9% higher than end-March’s P7.744 trillion “primarily due to the net issuance of government securities.”