Revenue increase pushes budget balance to surplus
THE FISCAL balance swung in August to its first surplus in five months, according to data released yesterday by the Treasury bureau that also showed revenue growth nearly double that of public spending.
August saw a P32.6-billion budget surplus that was more than double the P15 billion recorded in 2015’s comparable month, as revenues increased by 19% to P209.6 billion from P176.7 billion in the same comparative months, while expenditures grew 9% to P177 billion from P161.6 billion.
It was the first monthly surplus since April’s P55.022-billion surfeit.
Revenue growth compared to a 5% contraction in July — the first month of the administration of President Rodrigo R. Duterte — and August 2015’s slight 4% annual increment.
Spending growth reflected the new administration’s push to ramp up expenditures in a bid to prod economic growth further, picking up from July’s 5% though slower than August 2015’s 15%.
September took the year-to-date fiscal balance to a P138.4-billion deficit that was narrower than January-July’s P171 billion and just a little more than a third of a P388.87-billion programmed budget cap for the entire 2016.
Year-to-date revenues are now up 3% at P1.481 trillion, while expenditures are up 12% at P1.619 trillion.
The government’s main tax collector, the Bureau of Internal Revenue, collected P157.5 billion in August, up 14% from the past year, and 10% more annually at P1.058 trillion year-to-date.
Its second-biggest revenue agency, the Bureau of Customs, raked in 23% more year-on-year at P33.1 billion in August, and 8% more at P254.6 billion year-to-date.
Sought for comment, Bank of the Philippine Islands lead economist Emilio S. Neri, Jr. said he expects better spending numbers ahead. “Similar to leadership transition episodes in the past, it is possible that the new heads of the different agencies of government are still adjusting to their new tasks and will see more normal levels of spending in the coming quarters,” he said via e-mail. —