MANILA, Philippines – Each Filipino now effectively owes ₱142,000 due to PH debt, Senator Sherwin Gatchalian warned during budget deliberations on Tuesday, September 2.
The Senate Committee on Finance Chair raised alarm over the country’s rising debt, cautioning that if not properly managed, the Marcos administration could end its term with the highest debt accumulation in Philippine history.
“If we don’t manage debt, the Marcos administration will end its term by accumulating the highest debt accumulation out of all administrations,” Gatchalian said.
Meanwhile, Finance Secretary Ralph Recto sought to temper public concern, explaining that 70% of the national debt is actually owed to local institutions such as GSIS, SSS, and PhilHealth. “One man’s liability is another man’s asset,” Recto noted.
According to the Bureau of the Treasury, the National Government’s outstanding debt had reached ₱16.31 trillion by the end of January 2025, largely due to pandemic-related spending and infrastructure projects.
Lawmakers are now debating how to strike a balance between fiscal sustainability and funding key government programs.
— Noel Ed Richards, The Summit Express