Strong revenues narrow PH gov't's budget deficit
At end-September
At A Glance
- The national government incurred a fiscal gap of P983.5 billion from January to September 2023, 11 percent lower than the ceiling. This amount is also three percent smaller compared to the deficit recorded in the same period last year.<br>Total revenue for the period amounted to P2.838 trillion, surpassing the target of P2.756 trillion. Tax revenues reached P2.541 trillion, showing a six percent year-on-year increase.<br>The Bureau of Internal Revenue collected P1.858 trillion in tax revenue, while the Bureau of Customs generated P660.4 billion.<br>Government underspending narrowed, with total expenditures of P3.821 trillion, just one percent below the target.<br>In September alone, the fiscal deficit widened by 39 percent to P250.9 billion compared to the previous year.<br>Revenue for September decreased to P255.4 billion, while expenditures reached P506.3 billion, marking an eight percent increase.
The Bureau of the Treasury reported that the Marcos administration's budget deficit fell well below the ceiling in the first nine months of the year due to higher-than-expected revenues.
From January to September, the national government incurred a fiscal gap of P983.5 billion, 11 percent lower than the P1.106 trillion program for the period.
Additionally, this amount is also three percent smaller compared to the P1.023 trillion recorded in the same period last year.
Based to the Treasury report, the government posted a lower budget deficit as its revenues exceeded the target by three percent.
From January to September, the total revenue reached P2.838 trillion, surpassing the goal of P2.756 trillion. This also represented a seven percent increase compared to the previous year's P2.657 trillion.
Tax revenues for the first three quarters amounted to P2.541 trillion, showing a six percent year-on-year growth from P2.389 trillion. However, this fell short of the P2.595 trillion target.
Of that amount, the Bureau of Internal Revenue accounted for P1.858 trillion, while the Bureau of Customs generated P660.4 billion.
On the other hand, non-tax revenues grew 11 percent to P296.5 billion from P268.4 billion and exceeded the P169.1 billion target by 85 percent.
“This is attributed to higher receipts from dividend remittances, interest income from BTr’s [Treasury bureau] managed funds, and national government share from Pagcor [Philippine Amusement and Gaming Corp.] and MIAA [Manila International Airport Authority] profit,” the Treasury said.
The government's underspending also saw a significant reduction, as total expenditures reached P3.821 trillion by the end of September. This fell short of the P3.862 trillion target by just one percent.
Year-on-year, public spending rose four percent in the first nine-months from P3.67 trillion.
Excluding interest payments, the government recorded a primary deficit of P523.4 billion from January to September, marking a 14 percent decrease compared to P612.8 billion deficit in 2022.
In September alone, the fiscal deficit of the national government expanded by 39 percent to P250.9 billion from the P179.8 billion recorded in the previous year.
Revenue decreased to P255.4 billion from the P288.8 billion generated in the same month last year.
On the other hand, expenditures amounted to P506.3 billion, an eight percent jump compared to the P468.6 billion spent during the corresponding period in 2022.