PH debt remains manageable: Dominguez

Finance Secretary Carlos Dominguez III said the government's debt remains manageable due to prudent fiscal management despite increased borrowing needs during the pandemic.

Government borrowings are set at PHP3.07 trillion for 2021 and proposed to be PHP2.47 trillion for 2022.

Dominguez attributed the ease of accessing funds at low cost to the country's investment-grade credit rating, which has not been downgraded.

The debt-to-GDP ratio rose to 60.4% as of end-June 2021 but is still considered manageable by credit raters.

He emphasized that productive spending rather than debt servicing uses most fiscal resources and additional loans are beneficial for economic development.