The Philippines' national government saw a significant decrease in gross borrowings during November, reflecting a conscious effort to reduce debt. While the national debt reached a record high in October due to a weakening peso, November's figures show a positive trend.
Gross borrowings by the national government decreased in November as it significantly reduced its debt, according to data released by the Bureau of the Treasury . The Treasury 's latest cash operations report showed that gross borrowings plunged by 48.16 percent to P65.05 billion last month from P125.46 billion a year ago. This figure was also considerably lower than the P129.26 billion recorded in October. Year-to-date, gross borrowings amounted to P2.49 trillion, 13.
7 percent higher than the P2.19 trillion reported in the same period of 2023. Domestic debt, which represented the majority of November's gross borrowings at P48.88 billion, was 59.6 percent and 27.5 percent lower than the year-earlier P121.02 billion and the previous month's P67.46 billion, respectively. For the first 11 months of the year, domestic debt totaled P1.91 trillion. Foreign borrowings, on the other hand, were significantly higher at P16.17 billion from P4.44 billion a year earlier. However, this figure was still considerably lower than the P61.8 billion recorded in the previous month. As of the end of November, foreign debt totaled P582.41 billion. The majority of domestic borrowings, or P30 billion, came from fixed-rate Treasury bonds, with an additional P18.88 billion raised from T-bills. Project loans accounted for the largest share of foreign borrowings for the month at P8.7 billion, with another P7.47 billion raised from program loans. Financing for the first 11 months of 2024 totaled P1.26 trillion, 37.3 percent lower than the P1.99 trillion in the same period last year. As of the end of October, the national government's (NG) outstanding debt reached a new record high of P16.02 trillion due to a weaker peso. A total of P126.95 billion was added to the debt tally from September's P15.89 trillion, and the count was also P1.54 trillion higher than the year-earlier P14.48 trillion. Of the total debt stock, 32.02 percent was borrowed abroad while 67.98 percent was sourced domestically. Domestic debt hit P10.89 trillion as of the end of October, lower than the P10.91 trillion recorded in the same period last year.
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