External debt inches up to $149B in Q2

Citing the depreciation of the United States (US) dollar, coupled with the government’s offshore borrowings, the Bangko Sentral ng Pilipinas (BSP) revealed that the Philippines’ foreign debt climbed to $148.87 billion by the end of the second quarter.

- 

The latest data from the BSP showed that external debt increased by 1.5 percent from $146.74 billion in the first quarter.

This higher debt from foreign lenders in the second quarter was mainly attributed to the weaker US dollar, making borrowings costlier in dollar terms. As such, the dollar value of foreign currency borrowings was pushed up by $1.49 billion.

Adding to this pile were the country’s increased borrowings from foreign investors, amounting to $660.96 million, the BSP said. But these were partly offset by net repayments of $315.67 million.