GOVERNMENT borrowing fell 2.44% in the first quarter, after domestic borrowing declined while foreign loans increased, the Bureau of the Treasury (BTr) said.
According to Treasury data, the government borrowed a total of P207.92 billion in the first three months of the year, slightly behind the pace for the annual borrowing target. The total for the quarter is equivalent to 23.41% of the P888.23-billion borrowing plan for 2018.
During the quarter the government borrowed P146.14 billion from external creditors, up 16.97% from a year earlier, after a dollar bond issue amounting to P102.68 billion.
The government also held its maiden renminbi bond float equivalent to P12.01 billion.
Domestic borrowing during the quarter declined 29.94% to P61.78 billion after a series of rejected bids at the Treasury auctions,
As a result, the BTr raised P43.77 billion from Treasuries, sharply lower than the P90 billion raised a year earlier.
The government has revised its borrowing mix to 65-35 in favor of domestic lenders, from 74-26 earlier this year and 80-20 in 2017.
In March, overall borrowing grew 23.05% year on year to P51.39 billion, with 69% from domestic sources.
The government hopes to finance a budget deficit of up to 3% of gross domestic product (GDP). — Elijah Joseph C. Tubayan
