MANILA — The Philippines' total outstanding debt stood at P16.31 trillion as of end-January 2025, the Bureau of Treasury said on Tuesday.

This was P261.47 billion or 1.63 percent higher compared to December 2024, as the national government borrowed more money and as the peso's depreciation raised the value of the country's dollar debts. Treasury noted that the peso had weakened to P58.375 at the end of January 2025 from P57.847 at the end of 2024.

Domestic borrowings made up almost two-thirds or 67.9 percent of the total debt, while the remaining 32.1 percent was borrowed from foreign creditors.

At the end of January, domestic debt reached P11.08 trillion, reflecting an increase of P153.68 billion or 1.41 percent from its end-December 2024 level, treasury said. The peso's depreciation against the US dollar added P1.51 billion to the January debt total.

Foreign debt meanwhile stood at P5.23 trillion at the end of January, reflecting a P107.79 billion or 2.1 percent increase from the previous month. Fresh borrowing added P59.3 billion to the foreign debt total while the peso's depreciation versus the dollar added P46.74 billion and unfavorable third-currency movements added another P1.75.

"This level remains manageable and in line with the government’s target to support economic development while ensuring fiscal sustainability." the Bureau of Treasury said.

Economic managers have said that the country's growing debt is nothing to worry about as long as the economy continues to grow at a faster pace.

In 2024, the country's debt-to-GDP ratio also stood at 60.7 percent, which was slightly above the 60.6 percent target as the Philippine economy also grew at a slower rate.

The Philippines was aiming for a growth rate of at least 6 percent last year, but GDP expansion slowed to 5.6 percent in 2024, as a series of destructive storms in the third and fourth quarters took their toll on the economy.