As economic sanctions loom over the Philippines as a result of the increasing tension between the Philippines and Taiwan what kind of effect will it have on the two countries?
MANILA, Philippines (UPDATED) - Each of the 94 million Filipinos owed foreign and domestic creditors P57,840 at end-2012.
This as the national government announced a P5.437 trillion outstanding debt at yearend, or below 2012's debt program of P5.52 trillion.
The yearend figure reflected a 9.8% increase from the 2011 level of P4.951 trillion.
On Wednesday, February 20, the Bureau of Treasury provided the following breakdown:
Domestic debt comprised mostly of Treasury bills and bonds while external debt comprised mostly of sovereign bonds and direct loans availed by government agencies.
The government’s outstanding debt represents direct and assumed loans to various foreign and local lenders, incurred mainly to plug the gap between revenues raised and government spending for social services, education, public health, military, among others.
It comes from debt securities sold to local investors, foreign bonds issued by the government and direct loans availed by government agencies and relent to government-owned and controlled corporations (GOCCs).
The government's external debts were sourced from the following:
The debt stock is projected to climb to P5.91 trillion this 2013.
The Aquino administration is aiming to slash the budget deficit to P241 billion this 2013 from the emerging deficit of P235.3 billion in 2012. - Rappler.com
The PSEi continues its post-election rally as it nears the 7,400 mark