The Philippine government debt reached P18.13 trillion as of the end of January 2026, up by 11.16 percent from P16.31 trillion recorded a year earlier as the state frontloaded its borrowing to lock in favorable rates.
The debt stock also rose P426.15 billion or 2.41 percent from December 2025 levels.
The Bureau of the Treasury said the January 2026 level remained sustainable despite domestic and global challenges. It said the month-on-month increase was led by a strategy to secure concessional financing terms ahead of potential market uncertainties that could hike interest costs.
Domestic debt climbed to P12.32 trillion, up P208.52 billion or 1.72 percent from the previous month. Government securities accounted for P208.05 billion of the total, reflecting a policy to prioritize local funding sources to limit exposure to foreign exchange risks.
Domestic obligations now comprise 68 percent of the total debt portfolio.
External debt stood at P5.81 trillion, representing 32 percent of the total. This was an increase of P217.63 billion or 3.89 percent from December 2025, fueled by the issuance of new global bonds and official development assistance.
A weaker peso also added P26.61 billion to the debt stock through upward revaluation of foreign currency-denominated obligations. The Treasury described the recent external borrowing as a strategic move to capitalize on a narrow window of favorable international credit conditions.
“The successful issuance of the triple-tranche global bonds highlighted sustained investor confidence in the Philippines’ creditworthiness and long-term growth prospects,” the Treasury said in a statement.
Guaranteed obligations rose slightly by P0.51 billion to P345.08 billion for the month, largely due to currency adjustments on foreign-denominated guarantees.
