Marcos Administration Cuts Q3 2025 Borrowing Plan to ₱690 Billion

The national government’s planned borrowings for the third quarter of 2025 have been reduced by ₱45 billion to ₱690 billion from ₱735 billion in the previous quarter. This reduction mainly comes from scaling down the sales of long-term debt securities.

Signed by National Treasurer Sharon Almanza, the Bureau of the Treasury (BTr) released two separate announcements on June 26 and 27, revealing a 6.1-percent decrease in the government’s borrowing plan for the upcoming quarter.

For the period from July to September, the government aims to borrow ₱325 billion in Treasury bills (T-bills), which is the same amount planned for the second quarter. T-bills will make up 47.1 percent of the total third-quarter debt offerings.

On the other hand, Treasury bonds (T-bonds), representing long-term government debt, will make up 52.9 percent of the total, with planned borrowings of ₱365 billion. This is ₱45 billion or 12 percent lower than the second quarter, reversing the previous quarter's increase.

Domestic borrowing for the July-to-September period accounts for 27.1 percent of the government’s total planned borrowing of ₱2.55 trillion for 2025.

To maintain the 80:20 domestic-to-external borrowing mix, external debt should be around ₱138 billion, considering the planned ₱690 billion total domestic borrowing and ₱919 billion domestic ceiling.

In the previous year, the Marcos administration's gross borrowings rose to ₱2.56 trillion, exceeding the planned amount by ₱100 billion or over four percent. Domestic debt alone increased by ₱290 billion or almost 18 percent to ₱1.92 trillion in 2024, representing 75 percent of total borrowings.

According to the source: Manila Bulletin.