MANILA – The national government’s total outstanding debt continued its downward trajectory, declining to P17.46 trillion as of end-September this year, the Bureau of the Treasury (BTr) said.

The BTr said the total debt eased from the P17.47 trillion recorded as of end-August 2025.

“The continued decrease reflects the government’s sound fiscal discipline, strategic borrowing strategy, and proactive liability management, supported by steady market conditions and robust domestic investor confidence,” the BTr said in a statement.

Domestic borrowings continued to account for more than 60 percent of the total debt, consistent with the government’s policy of reducing foreign exchange risk while deepening domestic capital market development.

Domestic debt fell by 0.9 percent to P11.97 trillion as the government paid off more borrowings than it issued new ones.

The BTr said total repayments exceeded new issuances by P117.29 billion, more than offsetting the P3.16 billion upward revaluation from the peso depreciation against the retail dollar bonds.

External debt, meanwhile, went up by 1.9 percent to PHP5.48 trillion as of end-September 2025, largely due to the weaker peso.

The national government’s guaranteed obligations remained broadly stable at P346.63 billion, increasing by 0.05 percent from the previous month.

The BTr said this was attributed to a P1.75 billion upward revaluation of guarantees due to peso depreciation, partially offset by a P1.33 billion in combined net repayments, and a downward adjustment from third-currency movements amounting to P0.25 billion.

“Overall, the September figures affirm the Marcos, Jr. administration’s strong fiscal discipline and proactive debt management, ensuring that government financing remains sustainable, strategic, and supportive of the country’s growth priorities,” the BTr said.