MANILA, Philippines — The Philippines’ outstanding national debt has climbed to ₱17.71 trillion as of the end of 2025, according to the Bureau of the Treasury (BTr), marking a significant increase of ₱1.66 trillion or 10.32 percent from the ₱16.05 trillion recorded at the end of 2024. The figures once again place public borrowing at the center of national conversation, raising questions not only about economic management but also about long-term sustainability.

The BTr explained that the rise in debt was largely driven by the government’s more aggressive issuance of debt instruments to finance development programs. These include infrastructure projects, social services, and economic recovery initiatives meant to stimulate growth and cushion vulnerable sectors. Compounding the increase was the weakening of the Philippine peso against the US dollar and other foreign currencies, which inflated the peso value of the country’s external obligations.

Of the total debt stock, ₱12.12 trillion came from domestic sources, while ₱5.59 trillion was sourced externally. On the surface, the higher share of domestic debt may be seen as a buffer against external shocks, as it is less exposed to foreign exchange volatility. However, the growing size of the overall debt still raises concerns about fiscal space, future interest payments, and the burden passed on to the next generation of taxpayers.

From one perspective, debt is not inherently bad. When used wisely, it can be a powerful tool for development—fueling infrastructure, creating jobs, and expanding opportunities. Yet history has shown that unchecked borrowing, especially if not matched by inclusive growth and efficient spending, can limit government flexibility and crowd out essential services in the long run.

The crucial issue, therefore, is not just how much the country owes, but how effectively borrowed funds are translated into tangible improvements in people’s lives. As the debt continues to rise, transparency, accountability, and measurable outcomes become even more important. With ₱17.71 trillion now on the books, the pressing question remains: are Filipinos truly seeing the long-term benefits of this growing debt, or are we quietly accumulating risks that future generations will be forced to repay? (Larawan mula sa: Bongbong Marcos / Facebook)