National govt expenditures in Nov. up 10% to ₧455B

THE national government spending in November reached P455 billion, P42.3 billion or 10 percent higher than the same period last year, data from the Department of Finance showed.

The increase, the DOF said, was mainly attributed to the larger national tax allotment of local government units, disbursements from capital outlay projects of the Department of Public Works and Highways, payouts for the social protection programs of the Department of Social Welfare and Development and releases for the yearend bonus and cash gift of government employees.

This brings year-to-date disbursement of P4.5 trillion, or 91 percent of the P5 trillion full-year program and outperforming the previous year’s 11-month total of P4.1 trillion by 10 percent or P406.8 billion.

Meanwhile, primary spending net of interest payment posted a 12 percent growth for November, reaching P428.9 billion. This brought the cumulative primary expenditure to P4.1 trillion, up by 9 percent or P349.6 billion.

November’s interest payments totaled P26.1 billion, decreasing by 16 percent or P5.1 billion from last year’s level. The resulting interest payments as of endnovember increased to P459.3 billion, 14 percent or P57.1 billion higher from the previous year.

Interest payments accounted for 10 percent of the total expenditures for the January to November period, increasing by almost 10 percent a year ago. On the other hand, interest payments as a percentage of total revenue declined to 14 percent from the previous year’s 14.49 percent.

For November, the DOF said its budget shortfall reached P123.9 billion, down by 3.7 percent or almost P5 billion from a year ago as the government had more revenues than its spending.

“The cumulative budget deficit as of end-november slowed to P1.2 trillion, 7.23 percent or P96.3 billion lower compared to the budget gap posted in the equivalent period last year and was at 75 percent of the P1.7 trillion full-year program,” the DOF said.

Revenue collection for November rose to P331.1 billion, 16 percent or P47. billion higher year-over-year. This brought the year-to-date collection to P3.3 trillion, 18 percent or P503.1 billion above last year’s figure and representing 99 percent of the goal for the year.

Taxes contributed P3 trillion or 90 percent to the total and registered 17 percent growth for the period. Meanwhile, the remaining balance of P317.7 billion from non-tax sources also improved by 24 percent from the previous year’s level.

The Bureau of Internal Revenue raised P237.1 billion, net of P471million tax refund, for November. The BIR’S cumulative collection from January to November reached P2.2 trillion, some 12 percent or P240.6 billion, higher over the same period a year ago and is 90 percent of the P2.4 trillion 2022 program.

Meanwhile, collections by the Bureau of Customs stood at P75.7 billion, bringing the January to November collections to P789.2 billion. This is 35 percent or P206 billion higher than for the same period a year ago and surpassing this year’s P721.5-billion target by 9 percent or P67.7 billion.

The Bureau of the Treasury income, meanwhile, declined in November to P5.3 billion, 13 percent or P806 million lower from last year, mainly due to the high base for dividend collections.

The Btr’s year-to-date income of P148.2 billion surpassed the revenues it raised last year by 23 percent or P27.6 billion, and has more than doubled the P61.2-billion original 2022 full-year program.

Revenues from other offices, other non-tax including privatization proceeds and fees and charges, for the month climbed to P12.9 billion, improving by 61 percent or P4.9 billion, over the previous year. It collected some P169.5 billion for the January-november period, which was 26 percent higher than the P134.4 billion registered in the same period last year.

Deducting interest payments from expenditures, NG’S primary deficit for the month increased to P97.8 billion from 2021’s P97.5 billion. The total primary deficit from January to November of P776.5 billion showed a 16 percent or P153.5-billion decline from last year’s primary balance of P930 billion.