June budget deficit jumped 44% to P215b due to higher government spending
The government’s budget deficit jumped 43.8% in June to 215.5 billion pesos from a year ago, driven by 27.91% growth in spending which outpaced growth of 18, 20% of revenue collection, the Office of the Treasury announced on Tuesday.
The data showed that despite the increase, the cumulative budget deficit of 674.2 billion pesos in the first half was still 5.84% or 41.8 billion pesos behind the 716.1 billion pesos of Last year. It was also lower than the programmed deficit of 828.7 billion pesos by 18.64% or 154.5 billion pesos.
Revenue collection reached 290.3 billion pesos in June, up 18.20 percent or 44.7 billion pesos from a year ago. The figure in the first six months also improved by 15.91% to reach 1,727 billion pesos and exceeded the target by 4.80%.
Tax revenue accounted for 89 percent or 1,541 billion pesos of the six-month collection, while non-tax revenue contributed 11 percent or 186.3 billion pesos.
The collection of the Bureau of Internal Revenue increased by 8.90% or 14.2 billion pesos to reach 173.5 billion pesos in June and by 9.76% or 100.8 billion pesos to reach 1,132 billion pesos. pesos in the first half. Julito G. Rada
Customs duty collection soared 46 percent in June to 76.2 billion pesos and marked 17 consecutive months of positive growth. The office’s cumulative revenue of 396.7 billion pesos in the first half exceeded both the mid-year program and the previous year’s result by 9.98% (36.0 billion pesos) and 31, 47% (95.0 billion pesos), respectively.
The agency attributed the gains to anti-smuggling measures, including the fuel-tagging program that was spurred by high oil prices and the depreciation of the peso.
Revenue collected and generated by the Treasury Office in June was at par with 20.8 billion pesos from last year. Meanwhile, its first-half fundraising of 104.1 billion pesos exceeded the previous year’s achievements during the same period by 27.54% or 22.5 billion pesos and almost doubled the program to this day of 52.8 billion pesos.
Expenditure in June reached 505.8 billion pesos, 27.91% or 110.4 billion pesos more than last year’s 395.4 billion pesos due to increased capital expenditure for the road and transport infrastructure programs of the Department of Public Works and Highways and the Department of Transport and Projects. under the Department of National Defense’s Revised Armed Forces of the Philippines Modernization Program.
“Similarly, expenditures have increased thanks to the implementation of various social protection programs of the Ministry of Social Welfare and Development, the release of the Coco Levy fund of 10.0 billion pesos and the increase in personnel service expenses,” the Treasury said.
This pushed first-half spending performance to 2.401 billion pesos, up 8.85% or 195.3 billion pesos from a year ago, but 3.04% or 75.4 billion less than the target of 2,477 billion pesos set for the period.