Philippine budget swings back to deficit in May

The Philippine government posted a budget deficit anew in May, albeit narrower than the level seen in 2021, data released by the Bureau of the Treasury (BTr) on Thursday showed.

The national government budget deficit stood at P146.8 billion in May, reversing the P4.9-billion budget surplus recorded in April.

This also reflects a 26.72% decline from the P200.3 billion recorded the same month last year.

The year-to-date shortfall was recorded at P458.7 billion, down by 18.99% or P107.5 billion from P566.2 billion in the same period in 2021.

Total revenues for the month increased by 18.91% to P304.9 billion from P256.4 billion, driven mainly by tax collections — Bureau of Internal Revenue (BIR) collections up 17.91% to P216.6 billion and Bureau of Customs (BOC) collections up 36.35% to P66.3 billion.

Year-to-date revenues increased by 15.46% to P192.4 billion to P1.437 trillion, with P1.289 trillion coming from tax collections and P146.7 billion from non-tax revenues.

The BTr’s income for the month fell by 28.22% or P3.5 billion to P8.9 billion, bringing the year-to-date collection to P83.4 billion.

Collections from other offices jumped by 8.35% to P10.4 billion, driving the year-to-date total up by 18.49% or P10.0 billion to P64.2 billion year-on-year.

Government spending for the month was P451.7 billion, reflecting a 1.10% or P5.0 billion decline from P456.7 billion. Year-to-date spending increased by 4.69% to P1.895 trillion.

Primary spending fell by 2.32% or P9.9 billion to P417.9 billion, while total interest payments increased by 16.93% or P4.9 billion to P33.8 billion.

The national government recorded a P113.0-billion primary deficit in May excluding interest payments from expenditures, indicating a 34.09% or P58.4-billion decline from last year.

The year-to-date primary budget deficit was P238.2 billion, reflecting a 38.54% or P149.4 billion drop from the P387.6-billion primary deficit in the comparable period last year.—AOL, GMA News