The national government’s total outstanding debt climbed to a new record high of P19.61 trillion at the end of August 2026, marking a 1.12 percent increase from P19.39 trillion recorded in July, according to data released by the Bureau of the Treasury (BTr).
On a year-to-date basis, the country’s debt stock expanded by 10.72 percent, or P1.90 trillion, from the P17.71 trillion level recorded at the end of December 2025.
Domestic obligations continued to account for the majority of the debt portfolio at 67.53 percent, while external debt made up the remaining 32.47 percent.
Domestic debt increased by 0.99 percent month-on-month to reach P13.24 trillion in August, up from P13.11 trillion in July. The monthly increase was primarily driven by P127.85 billion in net issuances of government securities, alongside a P2.52 billion upward valuation in Onshore Dollar Bonds resulting from the peso’s depreciation against the US dollar.
Since December 2025, domestic debt has risen by 9.27 percent, or P1.12 trillion, from P12.12 trillion, reflecting ongoing national government financing activities and foreign exchange valuation adjustments.
External debt grew at a faster pace, rising 1.39 percent month-on-month to P6.37 trillion in August from P6.28 trillion at the end of July.
The expansion in foreign obligations was largely driven by a P90.32 billion increase in the peso equivalent of foreign-currency debt due to local currency weakness against the US dollar, as well as P2.86 billion in net external loan availments. These additions were partially offset by a P5.93 billion reduction stemming from currency revaluations of non-US dollar foreign holdings.
Compared to the end-December 2025 benchmark of P5.59 trillion, external debt rose 13.87 percent, or P775.74 billion, as of end-August. The year-to-date growth was driven by P452.92 billion in net external borrowings and P322.82 billion in cumulative foreign exchange valuation adjustments.
