MANILA--The Philippines’ debt hit P9.16 trillion at the end of July, the Bureau of Treasury said on Wednesday.
This was higher by P1.36 trillion or 17.4 percent compared to the same month last year, and P1.43 trillion or 18.5 percent higher than at the end of December 2019.
Treasury said the total debt stock for the month increased by P110.09 billion from its end-June 2020 level as the government continued to borrow from both domestic and foreign creditors to finance its response to the COVID-19 pandemic.
Of the total outstanding debt stock, 31.7 percent was foreign debt while 68.3 percent was domestic debt.
Since the start of the year, the national government’s domestic debt has increased by P1.12 trillion, while foreign debt rose P303.9 billion.
Treasury data showed that in the first 7 months of the year, the government borrowed a total of P157 billion from the Asian Development Bank, of which P76.27 billion was under the COVID-19 Active Response and Expenditure Support Program or CARES.
The government also borrowed P85.78 billion from the World Bank and P37.13 billion from China’s Asian Infrastructure Investment Bank.
The Philippine economy shrank a record 16.5 percent in the second quarter plunging the country into recession, following one of the longest and strictest lockdowns in the world to curb the spread of COVID-19.
An independent survey also showed adult unemployment hitting a record 45.5 percent in July.
Official unemployment statistics will be released on Thursday Sept. 3.
Despite the country's record debt, government economic managers have said that the country's debt situation remains manageable.