BSP Approves $6.29B in Public Sector Foreign Borrowings for Q1 2025

The Bangko Sentral ng Pilipinas (BSP) announced that its Monetary Board has approved $6.29 billion worth of public sector foreign borrowings during the first quarter of 2025.

In a statement, the BSP said this amount marks a 118.91% increase compared to $2.87 billion approved during the same period last year.

All approved loans are classified as medium- to long-term, and include:

• Several bond issuances totaling $3.33 billion

• Five project loans amounting to $1.46 billion

• Three program loans worth $1.50 billion

According to the central bank, 91% of the bond issuance proceeds will go toward funding the national government’s budget requirements, including socio-economic projects and settling maturing financial obligations.

The project loans are designated for transportation and infrastructure developments, while the program loans aim to support economic development and finance sector initiatives.

The BSP reiterated that under Philippine law, any foreign borrowing proposals by the national government, its agencies, and government financial institutions, or loans to be guaranteed by the national government, must first receive the Monetary Board’s approval. This process ensures that the country’s external debt remains sustainable and manageable.