4-mo gross NG borrowings hit ₧1.135T By Reine Juvierre S. Alberto
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TRUMP AND PUTIN WANT TO TALK BUSINESS ONCE THE UKRAINE WAR ENDS, BUT IT WON’T BE EASY
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HE national government raised nearly half of its borrowing program during the first four months of the year, as it front-loaded its borrowings amidst volatility in the global markets. Data from the Bureau of the Treasury (BTr) showed the government’s gross borrowings reached P1.135 trillion from January to April 2025, down by 2.40 percent from P1.163 trillion in the same period in 2024. The latest figure accounts for 44.59 percent of the government’s borrowing program for the year, set at P2.545 trillion.
The bulk of the total gross borrowings, or P835.510 billion, came from domestic lenders, while P299.62 billion was sourced from foreign creditors. Domestic borrowings declined by 19.50 percent from P1.038 trillion in the first four months of 2024. This mostly consisted of P469.4 billion in fixed-rate Treasury bonds, P300 billion in fixed-rate Treasury notes and P66.110 billion in Treasury bills. Meanwhile, external borrowings expanded by 141.494 percent from P124.099 billion in January to April 2024. The increase was mainly driven by the P191.965 billion raised through multi-tranche global
bonds issued in February. To recall, the government raised $1.25 billion and $1 billion from 10-year and 25-year dollar bonds, respectively. It also generated €1 billion from euro-denominated bonds. Also part of the government’s external borrowings during the fourmonth period were program loans amounting to P85.2 billion and P22.527 billion in project loans.
Timing issue, frontloading
ACCORDING to Michael L. Ricafort, chief economist at Rizal Commercial Banking Corporation, the slight drop in the government’s borrowings is “largely a timing issue more than anything else” as lower
local debts offset a more than twofold jump in foreign obligations. This was also the result of the government frontloading its borrowings to finance the budget deficit and hedge against foreign exchange risks entailed in foreign borrowings and due to the volatility in the global markets, Ricafort added. The government’s fiscal deficit expanded to P411.5 billion as of endApril 2025, despite posting a P67.3billion budget surplus in April. For April alone, gross borrowings swelled to P390.060 billion, soaring by 337.27 percent from P89.202 billion in the same month last year. See “4-mo,” A2
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MARCOS SUSPENDS EDSA WORK, EYES ‘BETTER WAY’ n
By Samuel P. Medenilla, Lorenz S. Marasigan and Justine Xyrah Garcia
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MID concerns on the impact of the two-year rehabilitation of Edsa on road traffic and commuters in Metro Manila, President Ferdinand Marcos Jr. on Sunday announced a one-month suspension on the construction works for the 23.8-kilometer road. He also directed relevant agencies to review technology that would allow them to undertake the P8.7-billion project in a “better way” that would spare millions of commuters, especially workers, from massive disruption. In his speech at Metro Rail Transit Line 3 (MRT-3) at the GMA Ka-
muning Station in Edsa on Sunday, the chief executive said he made the decision since the rehabilitation of the major circumferential thoroughfare may add another two to three hours in commute time for those residing in the National Capital Region (NCR). See “Marcos,” A2
WITH 30% BIZ LOSSES FROM SAN JUANICO, PCCI PITCHES PLAN By Andrea E. San Juan
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HE Philippine Chamber of Commerce and Industry (PCCI), the largest business group in the country, urged relevant government agencies to “immediately” implement an Urgent Economic Mitigation Plan as local businesses are already reporting losses as high as 30 percent within the first week of the temporary closure of the San Juanico Bridge, a “critical” infrastructure link between Leyte and Samar. In a statement at the week-
end, PCCI said the closure has resulted in “severe” logistical delays affecting the movement of goods, especially perishable agricultural products and essential supplies like medical and pharmaceutical, construction inputs and consumer supplies and fuel, among others. PCCI said the closure also led to increased transportation costs for both raw materials and finished goods due to reliance on “slower and more expensive” RORO services and ferry alternatives. The closure of the bridge also See “Biz,” A2
Freshly Brewed
FOOD CHOICES UNPACKED DR. MARIO CAPANZANA BREAKS DOWN »A12 PRE-PACKAGED VS ULTRA-PROCESSED FOOD »A16
SMART CHOPPING A vendor at the Baguio City Public Market weighs bags of precut highland and lowland vegetables, sold at only P60 to P70 per kilo. With prices of goods continuing to rise—
especially for transportation and basic food items—many budget-conscious Filipinos are turning to affordable, time-saving market finds. This smart choice helps consumers skip prep time in the kitchen while still enjoying fresh, locally sourced produce. MAU VICTA
3 reform bills on JFC’s enactment wish list
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HREE legislative measures are on the wish list of the Joint Foreign Chambers of Commerce (JFC) for enactment before the end of the 19th Congress. These are the Konektadong Pinoy Act, Enhanced Fiscal Regime for Large-Scale Metallic Mining Act and amendments to the Investor’s Lease Act. In a statement at the weekend, the group of foreign chambers said these major reform bills will help elevate the Philippines’s overall competitiveness in the Asean region. “As the 19th Congress nears its end, the JFC is hopeful that these three major reform bills will be enacted without delay,” the JFC said in a statement.
“We see their passage as key to unlock new economic opportunities and strengthen the Philippines’ overall competitiveness in the Asean region,” the chambers also pointed out. The group of foreign chambers said it sent letters to House and Senate leaders to express their “strong support” for the prompt passage of several long-awaited economic measures before the adjournment of the 19th Congress. In its letters, the JFC said it also commended lawmakers for introducing and moving along various measures recommended by the group to attract more investments and improve job creation. The letter read: “With approval
already secured from both chambers of Congress, a number of important reforms have reached the last step of the legislative process or the Bicameral Conference Committee.” JFC said these include the Konektadong Pinoy Act, which is aimed at modernizing the governing law of the data transmission sector to provide “accessible, affordable and reliable” internet to all Filipinos. Also one of the long-awaited economic measures is the Enhanced Fiscal Regime for Large-Scale Metallic Mining Act, which seeks to introduce a “streamlined and equitable” fiscal regime that provides “clarity, consistency, and stability for investors in critical minerals.”
The group of foreign chambers also stressed the importance of greenlighting the amendments to Republic Act No. 7652 or the Investor’s Lease Act to create a more stable and predictable leasehold system to encourage greater foreign investment. For the past several Congresses, the JFC and Philippine business groups have compiled a “comprehensive” list of policy reforms deemed essential for the Philippines’ sustained economic growth. “The JFC anticipates having its reform agenda for the 20th Congress finalized and available before the President’s State of the Nation Address [Sona] in July,” the group also noted. Andrea San Juan
PESO EXCHANGE RATES n US 55.7030 n JAPAN 0.3865 n UK 75.1823 n HK 7.1034 n CHINA 7.7511 n SINGAPORE 43.2880 n AUSTRALIA 35.8839 n EU 63.3455 n KOREA 0.0407 n SAUDI ARABIA 14.8521 Source: BSP (May 30, 2025)