The government registered a budget deficit of P2.3 billion in October after spending dropped below target after rising in the previous months, the Finance Department said Monday.
The Bureau of Treasury said the P2.3-billion deficit in October was 91 percent lower than the P27-billion gap posted in the same month in 2015.
The October deficit was also 95 percent short of the P50.46-billion target for the month. It brought the 10-month budget deficit to P216 billion, or more than four times the gap recorded year-on-year.
Netting out interest payments, the government incurred a P13.70-billion primary surplus, a reversal of the P10.78-billion primary deficit posted in October 2015.
Government revenues in October 2016 grew 7 percent to P174.6 billion from P163 billion on year. The figure brought the 10-month collections to P1.8 trillion, up 3 percent on year.
Collections of the Bureau of Internal Revenue in October rose 5 percent to P121.9 billion on year. Total BIR collections in the 10-month period mounted to P1.3 trillion, up 9 percent on year.
“Inclusion of the tax refund of P0.3 billion will drive the collection for the month to P122.2 billion which is a 6 percent increase over the last year while year to date collection growth is the same,” Treasury said.
The Bureau of Customs also sustained its monthly year-on-year growth that started in April with a 3 percent increase in actual collections to P33.4 billion in October. Total Customs collection for the month is net of P0.07 billion tax refund. Year-to-date BOoC revenue has increased 7 percent year-on-year to P321.3 billion
Bureau of Treasury collections, meanwhile, declined 13 percent to P4.9 billion.
“This was due to lower interest income from NG deposits with the Bangko Sentral ng Pilipinas and lower remittance of dividends on shares of stocks from government owned and controlled corporations,” the BTr said.
Cumulative total BTr income fell 6 percent on year.
