The Central Bank of the Philippines published first-quarter 2025 external debt statistics showing outstanding external debt rose to USD 146.74 billion at end-March 2025, driven by increased borrowings by the national government and the banking sector. External debt was up 6.6% quarter-on-quarter and 14.0% year-on-year. External debt stood at 31.5% of gross domestic product, compared with 29.8% in the previous quarter. Short-term external debt on a remaining-maturity basis totalled USD 32.67 billion and was covered 3.27 times by gross international reserves of USD 106.67 billion, while the debt service ratio declined to 8.4% from 9.0% a year earlier due to lower principal and interest payments in the quarter. The quarter-on-quarter rise was mainly attributed to national government fund-raising of USD 5.06 billion via global bonds and loans from foreign development institutions, alongside local banks’ short-term offshore financing for trading operations and liquidity needs; year-on-year, the increase was also linked to USD 7.83 billion in national government bond issuance and USD 6.14 billion in local bank borrowings.
Central Bank of the Philippines reports external debt rises to USD 146.74 billion at end-March 2025 on government and bank borrowing
The Central Bank of the Philippines reported a rise in external debt to USD 146.74 billion at the end of March 2025, marking a 6.6% increase quarter-on-quarter and 14.0% year-on-year. The debt accounted for 31.5% of GDP, up from 29.8% in the previous quarter, with short-term debt covered 3.27 times by gross international reserves. The increase was driven by national government bond issuance and local banks' offshore financing.