DOF Chief: No Plans to Borrow More Than Programmed

The Department of Finance sees no need to borrow more than programmed as it expects the economy to bounce back next year, according to DOF Secretary Carlos Dominguez.

In an interview with Bloomberg Television, Dominguez said there is no need to tap additional sources of financing outside of the regular program of the government.

He added that it is not necessary, “at this point in time” to borrow more funds from the Bangko Sentral ng Pilipinas.

Last October, the BSP approved an advance credit to the national government amounting to 540 billion pesos. This amount is on top of the 300-billion-peso short-term loan provided by the BSP earlier this year.

Both are part of the Philippines’ three-trillion-peso borrowing program for 2020 to plug the deficit in the budget which is expected to reach 9.6 percent of gross domestic product. Next year, the government is programmed to borrow another three trillion pesos.

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