MANILA, Philippines - The national government's outstanding debt is seen to reach P5.779 trillion next year, the Department of Finance (DoF) said on Wednesday.
Finance Secretary Cesar V. Purisima, in a presentation to the House of Representatives' appropriations committee, said the government's projected total outstanding debt in 2013 is equivalent to 49.5% of the country's gross domestic product (GDP). In 2012, the programmed outstanding debt is P5.348 trillion, representing 50.3% of GDP.
He attributed the decline in the government's debt-to-GDP ratio to the Aquino administration's better debt management program and fiscal consolidation.
Purisima said the government will continue to favor more domestic borrowings in 2013, with a borrowing mix of 75% domestic and 25% foreign next year.
"We intend to further raise our domestic borrowings to 80 percent... We will continue our debt exchanges and debt swaps in 2013," he said.
Bureau of Treasury data earlier showed the national government debt stood at P5.147 trillion as of May, 7.76% higher than the P4.776 trillion in the same month last year. Of the total, 40.98% is owed to foreign creditors and 59.02% is to domestic lenders.