Jan-Oct deficit falls nearly 3% to P112.5B

MANILA, Philippines – The Philippines posted a budget deficit of P11.2 billion in October, bringing the total for the first 10 months of 2013 to P112.5 billion.

The 10-month deficit was "well within government projections," a statement from the Treasury bureau said. It was down nearly 3% from the P115.6 billion deficit recorded in the same period of 2012.

The government incurs a deficit when its expenditures surpass the revenues it collects. It funds this deficit through borrowings.

For the whole year, the government set a deficit ceiling of P238 billion.

Revenues collected by the country's tax agencies rose 12% in January-October to P1.400 trillion from P1.253 trillion in the same months of 2012.

Government spending, on the other hand, grew 11% to P1.513 trillion from P1.368 trillion. – Rappler.com