Philippine debt hits P4.42-T as of end-Oct
abs-cbnNEWS.com
Posted at 01/18/2010 6:53 PM | Updated as of 01/18/2010 9:48 PM
MANILA, Philippines - The national government's outstanding debt inched up as of October due to higher local borrowings and a weaker peso, the Bureau of Treasury said Monday.
Total debt reached P4.42 trillion for the first 10 months of 2009, up 2% from the P4.34 trillion recorded as of end-September. Local debt, which accounted for 55% of the total, was slightly up at P2.45 trillion.
The government has secured a large portion of its foreign debt needs this year after it sold $1.5 billion worth of dollar bonds early this month. It was the first sovereign debt issue in Asia for 2010.
The government also plans to use part of a $1-billion global bond sale in October to finance its 2010 budget deficit, which is seen to reach P293 billion or 3.5% of gross domestic product (GDP).
Earlier, the government said the country's budget shortfall likely reached P290 billion or 3.7% of GDP last year. With a report from Reuters
Total debt reached P4.42 trillion for the first 10 months of 2009, up 2% from the P4.34 trillion recorded as of end-September. Local debt, which accounted for 55% of the total, was slightly up at P2.45 trillion.
The government has secured a large portion of its foreign debt needs this year after it sold $1.5 billion worth of dollar bonds early this month. It was the first sovereign debt issue in Asia for 2010.
The government also plans to use part of a $1-billion global bond sale in October to finance its 2010 budget deficit, which is seen to reach P293 billion or 3.5% of gross domestic product (GDP).
Earlier, the government said the country's budget shortfall likely reached P290 billion or 3.7% of GDP last year. With a report from Reuters
If we don't stop borrowing and start cutting spending and start saving, the future for the next generation will be a bleak one. A good economist would know that "you can't borrow your way out of debt and you can't spend your way out of a recession."
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