NATIONAL government financing data contracted in September on the back of a decline in domestic borrowings, according to the Bureau of the Treasury (BTr).
The data showed national government borrowings declined to P84.578 billion in September 2023, the lowest since the P51.601 billion posted in December 2022.
Compared to September last year, national government borrowings contracted 76.59 percent from P361.354 billion in 2022.
The BTr data showed domestic net borrowings contracted 75.248 percent to P92.067 billion in September from the P371.96 billion in the same period last year.
Under domestic borrowings for September, the largest was Fixed Rate Treasury Bonds at P61.064 billion. It can be noted that net amortization during the period reached P148.88 billion.
In September, net External borrowings also contracted 29.4 percent to -P7.489 billion in 2023 from -P10.61 billion in the same period last year.
Based on BTr data, the government’s borrowings reached P1.66 trillion in the nine-month period. This was a contraction of 0.849 percent from the P1.68 trillion in the same period last year.
Domestic net borrowings in the January to September period in 2023 reached P1.34 trillion. This was a contraction of 1.01 percent from the P1.36 trillion posted in the same period in 2022.
Under Domestic borrowing, the largest was Fixed Rate Treasury Bonds at P965.83 billion. It can be noted that amortizations during the period reached P852 billion.
In the nine-month period, net External borrowings grew 20.27 percent to P317.56 billion in 2023 from P264.03 billion in 2022.
Last week, the BTr said the national government plans to borrow as much as P225 billion next month from the tender of various government securities.
The borrowing plan set by the Treasury for Treasury bills (T-bills) and Treasury bonds (T-bonds) is P75 billion higher than the P150 billion programmed amount for October. In November, the national government aims to raise P75 billion from five auctions of T-bills with a volume of offering of P15 billion per tender.
The Treasury is also scheduled to hold next month five auctions of T-bonds with varying tenors with a total value of P150 billion. Each T-bonds auction would have a volume of offering of P30 billion.
Image credits: Aquafina2015 | Dreamstime.com