Gov't hikes borrowings to P2.57 T for this year

The Department of Finance (DOF) said the country’s financing requirement for 2024 is now at P2.57 trillion, to be sourced from both domestic and foreign sources.

- LOUISE MAUREEN SIMEON

The amount is 4.47 percent higher than the original borrowing plan of P2.46 trillion for the year. If realized, this will also be 17 percent higher than the P2.19 trillion in total borrowings in 2023.

National Treasurer Sharon Almanza said the higher borrowing program was the result of the adjustment in the budget deficit during the recent Cabinet-level Development Budget Coordination Committee (DBCC).

Finance Secretary Ralph Recto said the government developed a strategic fundraising plan that would continue to adopt a 75:25 domestin external funding split. This means that the govern

ment intends to borrow P1.93 trillion from local lenders and source the remaining P642 billion from foreign creditors.

“Based on the new DBCC forecast, a lower GDP (gross domestic product) will result in lower revenues,” Recto told reporters.