Budget deficit for February rises to P164.7b
The National Government (NG) posted a higher budget deficit of P164.7 billion for February compared to P106.4 billion in the previous year, the Bureau of Treasury said Monday.
The wider budget gap stemmed from the 22.14 percent year-over-year increase in expenditures, matched with moderate revenue growth of 5.73 percent.
With the February turnout, the year-to-date fiscal balance reverted to a deficit of P76.7 billion, which is 26.56 percent or P16.1 billion higher relative to last year's P60.6 billion Jan-Feb budget gap.
Total revenue collections for February increased to P224.0 billion, surpassing last year’s figure for the same period by 5.73 percent or P12.1 billion.
This pushed the year-to-date collection to P645.8 billion, outperforming the P560 billion actual collections recorded in the equivalent period last year by 15.32 percent or P85.8 billion.
Broken down, 92.36 percent or P596.5 billion was raised through taxes, while the remaining 7.64 percent or P49.4 billion came from non-tax sources.
The Bureau of Internal Revenue (BIR) raised P138 billion in February, exceeding the previous year’s level by 6.65 percent or P8.6 billion.
This pushed the Bureau’s cumulative collection to P446.4 billion, underlying double-digit year-to-year growth of 22.58 percent equivalent to P82.2 billion.
Collections by the Bureau of Customs (BOC) improved by 12.19 percent to P70.6 billion in February 2024 from last year’s P62.9 billion.
This drove the agency’s aggregate collection for the Jan-Feb period to P144 billion, surpassing the level posted in the same period last year by 7.84 percent or P10.5 billion.
The Bureau of the Treasury (BTr) contributed P6.5 billion in revenues for February, slightly higher by 1.56 percent year-to-year, largely due to higher dividend remittances and national government share from Philippine
from Philippine Amusement and Gaming Corp. (Pagcor) income.
Meanwhile, the resulting P23.2 billion cumulative BTr income for Jan-Feb was lower by 3.8 percent, from P24.2 billion last year, mainly on account of lower
interest income on NG deposits and BTr investments.
Collections from other offices (other non-tax including privatization proceeds and fees and charges) for the month was at P6.2 billion, 42.62 percent or P4.6 billion lower year-on-year due to lower Malampaya proceeds.
Year-to-date collections of P26.1 billion similarly declined by 21.33 percent or P7.1 billion when compared to the same period in the previous year.
Net of tax refund amounting to P762.0 million; Jan-Feb gross collections inclusive of tax refund reached P447.2 billion.
Total expenditures for February reached P388.7 billion, outperforming the
previous year’s actual spending by 22.14 percent or P70.5 billion, driven by higher releases to Local Government Units (ALGU) , as well as larger disbursements recorded in the Department of Health and Department of Social Welfare and Development for their banner health and social protection programs, respectively.
Similarly, higher capital expenditures posted by the Department of Public Works and Highways contributed to the growth of February disbursements.
This boosted year-to-date expenditures to P722.5 billion, 16.42 percent or P101.9 billion higher than the Jan-Feb 2023 figure.
Primary expenditures (net of interest payments) amounted to P340.9 billion, up by 19.97 percent or P56.7 billion year-on-year.
These represented 87.7 percent of the overall spending in February. Similarly, year-to-date primary expenditures improved by 11.29 percent or P60.9 billion to P600.5 billion.
February interest payments of P47.8 billion were 40.22 percent or P13.7 billion higher than that in the previous year. Likewise, the total aggregate interest payments of P122.0 billion as of end-Feb underscores a 50.53 percent or P41 billion year-on-year growth, on account of reissuances of domestic securities with coupon payments falling within the period.
Netting out interest payments from expenditures, national government achieved a P116.9 billion primary deficit for February, reflecting a year-on-year increase of 61.70 percent or P44.6 billion.
On the other hand, the year-to-date primary balance remained at a surplus of P45.3 billion, more than twice the P20.5 billion year-to-date primary surplus achieved at end-Feb 2023. Bureau of Treasury
