Budget deficit below ceiling in 8 months despite overspending

The Duterte administration’s budget deficit remained well below ceiling in the first ninemonths of the year owing to higher revenue collections amid abovetarget expenditures, data from the Bureau of the Treasury showed.

According to the Treasury report released yesterday, the national government incurred a 1378.2 billion budget deficit in January to August this year, below by five percent compared with the 1396.6 billion program for the period.

The below ceiling budget gap was registered despite the three percent overspending in the first three-quarters.

At end-September, expenditures amounted to P2.49 trillion, higher by 162.6 billion against the target of 12.427 trillion. Of that amount, interest payments reached 1271.3 billion, while other spending stood at 12.218 trillion.

Total revenues, on the other hand, surpassed the 12.03 trillion target for the period by four percent to 12.111 trillion due to higher income of the Treasury bureau, which raised 190.5 billion, or double the 145 billion goal.

The Bureau of Internal Revenue (BIR) collected P1.444 trillion at end-August, while the Bureau of Customs generated 1434.6 billion and other offices with 1142.2 billion.

Year-on-year, the national government’s budget deficit increased by 78 percent in January to August from 1213.1 billion. Revenues increased by 17 percent from 11.801 trillion, while expenditures rose 24 percent from 12.014 trillion.

In September alone, the fiscal deficit reached 196.2 billion, up 161 percent compared with 136.9 billion in the same month last year.

Revenues in September slightly increased by one percent to 1202.4 billion from 1200.1 billion, while expenditures rose by 26 percent to 1298.6 billion from 1237 billion.