The Philippines’ outstanding external debt rose by $4.84 billion, or 4.5 percent to $111.268 billion at the end of 2022 due to a strong US dollar which increased the equivalent of borrowings denominated in other currencies amid higher US interest rates.
This is the second consecutive year that the country’s debt stock has been greater than the US dollar reserves maintained by the Bangko Sentral ng Pilipinas (BSP) as gross international reserves (GIR).
The Philippines’ GIR was only $96.149 billion versus the external debt or a gap of $15.119 billion as of end-2022.
Meanwhile, Japan remains the country’s largest creditor with $14.7 billion, followed by the US with $3.5 billion, and the United Kingdom with $3.2 billion.
