The government’s budget deficit more than doubled to P128.3 billion in November from the P60.9-billion shortfall registered a year ago, as public spending rose 2.30 percent and revenue collection dropped 19.35 percent, the Bureau of the Treasury said Wednesday.
This resulted in a cumulative budget deficit of P1.069 trillion in the 11-month period, compared to the P409.1-billion gap a year earlier. The year-to-date deficit, however, only made up 59 percent of the revised P1.815-trillion full-year program.
Revenue collection fell 19.35 percent or P59.0 billion in November to P245.8 billion. Of the total, 96 percent or P235.9 billion was raised through taxes, while the remaining 4 percent or P9.9 billion was generated from non-tax collections.
Revenue collection reached P2.617 trillion in the first 11 months, down from P2.894 trillion generated in the same period last year. However, it breached the revised P2.520-trillion full-year target by 4 percent.
The Bureau of Internal Revenue’s net collection reached P191.7 billion in November, down by 17.40 percent or P40.4 billion from a year earlier. Total BIR collection hit P1.788 trillion as of end-November and exceeded the revised full-year program of P1.686 trillion by 6 percent, but still 11.19 percent or P225.3 billion below last year’s 11-month tally of P2.013 trillion.
Customs collection went down by 13.29 percent in November to P43.7 billion after deducting the P204 million tax refund paid to claimants.
The agency’s cumulative uptake of P492.3 billion from January to November also decreased by 14.84 percent or P85.8 billion from the P578.1 billion raised in the same months last year.
The BOC said it already reached 97 percent of its revised full-year target amounting to P506.2 billion.
Meanwhile, the Bureau of the Treasury’s income amounted to P2.8 billion in November, down by 48.61 percent from the previous year owing to lower government share in PAGCOR income and Bond Sinking Fund investment earnings.
Eleven-month Treasury income improved by 56.85 percent or P76.6 billion year-on-year to P211.3 billion and represented 99 percent of the revised full-year program of P213.3 billion.
Meanwhile, the government’s disbursements went up by 2.30 percent in November to P374.1 billion on account of the subsidy releases to the state-run Land Bank of the Philippines for the implementation of the Unconditional Cash Transfer Program, to the PhilHealth for the National Health Insurance Program, and as equity to government financial institutions for their COVID-19 assistance or lending programs in line with the implementation of RA 11494 or the Bayanihan to Recover as One Act.
This pushed total spending to P3.686 trillion in 11 months, up by 11.59 percent or P382.9 billion a year ago, on the back of various COVID-19 financial assistance and recovery measures.