September 23, 2019
DEBT servicing by the national government rose to P92.46 billion in July on the back of higher amortization and interest payments, data released by the Bureau of Treasury (BTr) over the weekend showed.
The July amount was a 95.8-percent increase from P41.21 billion in the same month last year.
Interest payments, which accounted for 55.1 percent of the total, surged by 13.6 percent to P50.96 billion from P44.84 billion a year ago.
Domestic interest payments recorded a 25.9-percent increase during the month. Foreign interest payments eased by 0.95 percent to P20.32 billion.
Amortization expenses, meanwhile, rose by 1,650 percent to P41.49 billion from P2.37 billion a year ago.
Domestic amortization rose to P39.94 billion, while its foreign counterpart fell to P1.54 billion.
Year-to-date, debt payments rose by 3.1 percent to P477.71 billion from P463.10 billion in the same period in 2018.
Interest payments increased by 9.8 percent to P231.03 billion in January to July, while amortization expenses declined by 2.4 percent to P246.67 billion in the same period.
The government’s outstanding debt stood at P7.80 trillion in July, down by over P64 billion from a month ago on the back of the appreciation of the Philippine peso and domestic redemptions.
Last year, the government forwarded P775.589 billion to creditors, a 13.9-percent increase from P680.466 billion in 2017.
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