PH debt balloons to record P18.16 trillion in February 2026 —Treasury

The Philippines’ total sovereign debt reached a new record-high of more than P18 trillion as of the end of February 2026, as the government continued with its fundraising efforts to boost the state coffers.

Data released by the Bureau of the Treasury on Wednesday showed the national government has incurred a total outstanding debt of P18.158 trillion, up 0.14% from P18.133 trillion as of end-January 2026.

The Treasury said the slight increase indicates a “stable” and “well-managed” debt position despite shifts in the global financial environment. 

The BTr, in particular, said the government continued to prioritize borrowing from local sources to protect itself from international financial risks, with domestic borrowing making up the lion’s share or 68.7% of the total sovereign debt.

It said the strategy shields the country from risks arising from foreign exchange fluctuations.

Broken down, domestic debt grew by P154.39 billion or 1.25% to reach P12.48 trillion as the government issued P158.14 billion in new securities to fund national development projects. 

Moreover, the Treasury noted that the impact of currency changes on local foreign-denominated debts was minimal, reducing valuations by P3.75 billion.

Meanwhile, foreign debt decreased to P5.68 trillion, down by P128.65 billion month-on-month, mainly due to “favorable exchange rates” that lowered the value of debts held in US dollars and other foreign currencies by P136.43 billion. 

These gains were large enough to cancel out the P7.78 billion in new foreign loans taken out during the month, according to the BTr.

Despite the overall drop in foreign debt for February, the Treasury said the government still strategically accessed international markets with total foreign financing for the year reaching P203.10 billion on the back of the successful sale of $2.75 billion in global bonds with payment terms ranging from five to 25 years. 

“This reflects sustained investor confidence in the country’s credit profile and the national government’s ability to tap international markets on reasonable terms,” it said. —LDF, GMA News