DEBT servicing by the national government rose in August from a year earlier as Manila made higher amortizations and interest payments, data from the Bureau of the Treasury (BTr) showed.
Debt payments amounted to P46.76 billion in August, 89 percent higher than the P24.63 billion posted a year ago. Month on month, national government debt servicing in August fell 59 percent from P66.57 billion in July.
Of the total debt servicing, government interest payments rose 42 percent to P23.44 billion from P16.45 billion a year ago, but was down 70 percent from July’s P40.02 billion.
Domestic interest payments rose 2.3 percent from a year ago to P16.33 billion in August while servicing of foreign debt rose to P7.11 billion.
Amortization expense climbed 185 percent year-on-year to P23.32 billion from P8.18 billion and was up 10 percent from July’s P21.03 billion.
Domestic amortization rose to P19.35 billion from P4.45 billion a year ago, while foreign amortization hit P3.96 billion, up 6.2 percent from P3.73 billion in the same month last year.
For the first eight months of 2016, debt payments were down 4.21 percent from a year ago at P400.54 billion.
In August, the BTr reported that the outstanding debt of the national government rose to P5.98 trillion in August, up 1.4 percent or P82.49 billion from a year earlier, due to new domestic and foreign borrowings.