The country’s total outstanding debt spiked to a new record-high of Php 13.52 trillion in end-September, according to the latest data from the Bureau of Treasury (BTr) released on Thursday, Nov. 3.

The end-September outstanding debt has risen by Php 495.54 billion or 3.8 percent from the previous 13.02 trillion at the end of August 2022.

The Treasury said the increase was attributed to “peso depreciation against the US dollar” as well as “the net issuance of government securities to support the budget.”

It also noted that the current debt stock increased by Php 1.79 trillion or 15.2 percent since end-December last year.

Out of total debt in September, BTr said 68 percent were domestic borrowings which is equivalent to Php 9.30 trillion.

It noted that the increase in domestic debt was due to the Php 352.09 billion net issuance of government securities, and the Php 5.18 billion impact of peso depreciation against the US dollar.

“Since the beginning of the year, the domestic debt portfolio has increased by P1.13 trillion or 13.8% due to continued preference for domestic financing to mitigate the effects of currency fluctuations,” the Treasury said.

Meanwhile, 31 percent of the September swelled-debt stock came from foreign loans which amounted to Php 4.22 trillion.

BTr said the impact of peso depreciation against the USD amounting to Php 179.69 billion contributed to the rise in foreign loans.

“Year-to-date, NG external debt increased by P658.30 billion or 18.5% primarily due to local- and third-currency fluctuations that increase the peso value of foreign denominated obligations,” it said.