Gov't debt hits P5.954 trillion in 2015
MANILA, Philippines - Debt held by the national government rose last year to nearly P6 trillion, the Bureau of the Treasury reported on Thursday.
Liabilities rose 3.8 percent from 2014 to P5.954 trillion in 2015. Both domestic and foreign obligations increased.
Domestic debts, which accounted for the bulk of the debt pile, went up 1.7 percent to P3.884 trillion.
Their foreign counterparts rose by a faster 8.1 percent to P2.07 trillion.
As a proportion of gross domestic product (GDP) however, debt accounted for 44.8 percent.
This was lower than the 45.4 percent in 2014, Treasury said.
Debt to GDP is a measure closely watched by credit raters. It indicates the capacity of the government to pay for its debts.
While there is no ideal measure, governments usually try to limit debt-to-GDP at 50 percent or lower.
"The Philippines is fully committed to a proactive liability management strategy to keep our debt structure resilient," Finance Secretary Cesar Purisima said in a statement.
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