Debts hit $76.6B in Sept.

THE outstanding Philippine external debt stood at $76.6 billion as of end-September, lower by $1.1 billion or 1.4 percent from the end-June level of $77.7 billion, the central bank said.

The decline in the debt levels during the third quarter resulted mainly from negative prior period adjustments due to late reporting of principal payments; and net repayments by both public and private sectors, said Bangko Sentral ng Pilipinas Governor Amando M. Tetangco Jr.

The downward impact of these developments were partially offset by the foreign exchange (FX) revaluation adjustments as the Japanese Yen strengthened against the US Dollar; and transfer of Philippine debt papers from residents to non-residents, he said.

On the other hand, the debt stock rose year-on-year by $1 billion or 1.3 percent from $75.6 billion due to FX revaluation adjustments and increased non-resident investments in Philippine debt papers issued offshore.

The upward impact of these accounts on the debt level was partly mitigated by the net repayments and previous periods’ adjustments due to late reporting.

External debt refers to all types of borrowings by Philippine residents from non-residents, following the residency criterion for international statistics. (Sunnex)