RP settles more debts in first 10 months

MANILA, Philippines - The government settled 1.4% more debts in the 10 months to October at P570.37 billion from the P562.31 billion paid in same period last year, data from the Bureau of the Treasury showed. The amount recorded in that 10-month period accounts for 89.67% of the P636.1 billion projected to be paid this year. In that period, principal payments amounted to P318.08 billion, accounting for 55.77% of the total, while the balance of P252.29 billion was used to pay interest. Principal payments actually dipped 0.91% to P318.08 billion from P321 billion in the comparative periods, with P247.61 billion — or more than three-fourths — going to domestic creditors, and P70.46 billion to foreign creditors. Principal payments on domestic debt declined 6.88% from P265.92 billion, while those on foreign debt rose by 27.92% from P55.08 billion. Interest payments inched up 4.55% from P241.31 billion from last year. Of this amount, 61.56% went to domestic debt at P155.32 billion, and the balance of P96.98 billion to foreign debt. In October alone, the government paid off P33.02 billion in debts, up 5.45% from P31.31 billion the previous year. — BusinessWorld