MANILA — The Philippine government’s total liabilities climbed 0.61 percent in October 2025, reaching PHP17.56 trillion, the Bureau of the Treasury (BTr) reported Tuesday. This marks an increase of PHP106.78 billion from the end-September 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, domestic liabilities accounted for 68.6 percent, in line with BTr’s strategy to prioritize local currency financing to reduce foreign exchange risks and support the domestic bond market. Domestic obligations rose PHP72.43 billion to PHP12.05 trillion, driven by PHP70.65 billion in net issuance of government securities and the weaker peso’s effect, which added PHP1.78 billion to the valuation of retail dollar bonds (RDBs).

Foreign debt increased by PHP34.35 billion to PHP5.52 trillion, resulting from PHP8.25 billion in net loan availments and PHP26.10 billion in peso-equivalent adjustments for foreign currency debt. The peso’s depreciation against the US dollar added PHP58.64 billion, partially offset by PHP32.54 billion from peso appreciation against other currencies.

Meanwhile, guaranteed liabilities of the national government declined by PHP2.22 billion to PHP344.41 billion, reflecting PHP1.25 billion in repayments and PHP0.97 billion lower valuation of foreign currency guarantees, as most external guarantees are in non-dollar currencies.

The BTr reiterated its commitment to prudent debt and risk management, ensuring borrowings support long-term fiscal sustainability and a stable macroeconomic environment for a prosperous and inclusive future for Filipinos.

(PNA)