Jan-Feb budget deficit soars to P31-B

MANILA, Philippines – The Philippines’ budget deficit in the first two months of 2013 rose significantly from the year before as government spending outpaced revenue collections.

In a statement released Wednesday, April 3, the Department of Finance announced the January-February deficit grew 491.5% to P31.28 billion from P5.288 billion in the same months of 2012.

Spending rose 12.4% to P281.966 billion, while revenues, mainly tax collections, went up just 2.1% to P250.716 billion.

In February alone, the deficit amounted to P11.749 billion, reversing the P10.655 billion surplus recorded by government in the same month of 2012. The deficit followed a 5.7% decline in revenues to P112.348 billion, and 14.3% growth in expenditures to P108.534 billion.

Revenue collection

The Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) both registered higher revenue collection in January-February compared to same period in 2012. The BIR posted a 10% increase to P169.2 billion. The BOC, on the other hand, collected P47 billion. 

The government’s revenue collection for January-February went up by 2% to P250.7 billion. Total tax revenues for the period reached P218.59 billion.

For the month of February, the government’s revenue collection was at P112.3 billion. The BIR registered an 8% increase in revenue collection for the month at P74.5 billion. February collection from other agencies were at P22.47 billion for the BOC and P7 billion for the Bureau of Treasury.  – Rappler.com