The Philippines’ outstanding debt continued to ease in September as the government trimmed domestic borrowings and managed currency movements, according to new data from the Bureau of the Treasury.
Latest figures show the national debt slipped to ₱17.455 trillion at the end of September, down by around ₱13 billion from ₱17.468 trillion in August. The slight improvement reflects sustained repayments and liability management efforts after months of elevated borrowing levels.
While the stock of obligations has begun to soften, total debt remains nearly 10 percent higher than a year earlier when it stood at ₱15.89 trillion.
The Treasury previously noted that domestic borrowing — which accounts for more than 60 percent of the total — declined as the government paid off more local debt than it issued. External borrowings, meanwhile, inched up due to currency adjustments, though a firmer peso toward late quarter helped temper foreign-denominated obligations.
Government data earlier indicated that debt levels breached initial projections for 2025, but fiscal authorities expect gradual easing toward year-end as repayments continue and the borrowing program remains disciplined. Economists also highlight that strengthening revenues and maintaining strong economic growth will be key to keeping obligations sustainable.
The country’s debt-to-GDP ratio is seen settling around 61 percent by December, still above pre-pandemic levels but on a gradual downward path in line with official fiscal consolidation targets.
