MANILA: The national government achieved a budget surplus of PHP6.3 billion in October, as reported in the latest cash operations report. This fiscal surplus represents a significant improvement from the PHP34.4 billion deficit recorded in the same month last year, highlighting a positive shift in the country’s financial management.

According to Philippines News Agency, the fiscal deficit from January to October this year narrowed to PHP963.9 billion, which is 64.94 percent of the projected PHP1.48 trillion for the full year. Revenue collections saw a notable double-digit increase of 22.63 percent, rising to PHP473.1 billion from PHP385.8 billion in October 2023. This increase was largely driven by growth in both tax and non-tax collections.

Tax revenues increased by 16.94 percent, reaching PHP414.9 billion from PHP354.8 billion, primarily due to enhanced collections by the Bureau of Internal Revenue and the Bureau of Customs. Additionally, non-tax revenues surged by 87.65 percent, totaling PHP58.3 billion
compared to PHP31 billion a year ago.

For the period from January to October, revenues rose by 16.8 percent to PHP3.76 trillion from last year’s PHP3.2 trillion. Out of the year-to-date revenues, PHP3.23 trillion was generated from taxes, marking an 11.40 percent growth. Non-tax sources contributed PHP539.4 billion, growing at a rapid pace of 64.93 percent.

Expenditures in October reached PHP466.8 billion, marking an 11.08 percent increase from the PHP420.2 billion spent during the same month last year. The Bureau of the Treasury (BTr) attributed this rise to higher personnel services expenses, including the first tranche of salary adjustments for qualified civilian government employees and the release of the FY 2022 Performance-Based Bonus for the Department of Education.

Spending was further supported by infrastructure projects of the Department of Public Works and Highways, foreign-assisted rail projects by the Department of Transportation, and social protection and health programs by the Department of
Social Welfare and Development and the Department of Health. Disbursements from January to October increased by 11.52 percent, aligning with the PHP5.75 trillion revised full-year target.