THE country’s budget deficit more than doubled in November 2024, according to the latest data released by the Bureau of the Treasury (BTr).
The budget deficit increased 128.38 percent to P213 billion in November 2024. This represented a growth of P119.7 billion from the P93.3 billion posted in November 2023.
The BTr data also showed the country’s budget deficit increased to P1.18 trillion in January to November 2024, an increase of 5.92 percent or P65.7 billion from the P1.11 trillion posted in the 11-month period last year.
Meanwhile, in terms of revenues, the data showed this only reached P338.3 billion in November 2024, a contraction of 0.61 percent or decline of P2.1 billion from the P340.4 billion in November 2023.
While tax revenues grew 12.7 percent on the back of a 17.77-percent growth in Bureau of Internal Revenue (BIR) collections, non-tax revenues contracted 70.7 percent in November 2024.
“The YoY positive growth in the BIR collections for November 2024 can be attributed to the double-digit rise in collections from income taxes, value-added tax [VAT], excise taxes, and documentary stamp tax [DST],” the BTr said.
“The increase in income tax can be attributed to the influx of taxpayers filing for their third Quarterly Income Tax Return on or before November 15 of the current taxable year,” it added.
Under tax revenues, collections from the Bureau of Customs (BOC) contracted 1.69 percent or declined by P1.2 billion to P72.4 billion in November 2024 from the P73.7 billion in November 2023.
Tax revenues brought in through Other Offices grew 10.4 percent or P200 million to P2.4 billion in November 2024 from P2.1 billion in November 2023.
Meanwhile, non-tax revenues declined P38.4 billion to P15.9 billion in November 2024 from P54.3 billion in November 2023.
The main contributor to the decline was the non-tax revenues from the BTr which contracted 80.86 percent or declined by P33.6 billion to P7.9 billion in November 2024 from P41.5 billion in the same period last year.
“The BTr’s cumulative revenue for 2024 grew by 7.57 percent (P16.4 billion) from the previous year to P232.7 billion on account of higher interest on advances from GOCCs, guarantee fees, and the NG share from Pagcor income,” the BTr said.
Non-tax revenues from other offices also declined 37.83 percent or by P4.9 billion to P8 billion in November 2024 from P12.8 billion in November 2023.
Meanwhile, the country’s expenditures grew 27.13 percent or by P117.6 billion to P551.3 billion in November 2024 from P433.6 billion in November 2023.
This was driven by the 37.29-percent growth or increase of P18.1 billion in interest payments to P66.7 billion last month compared to the P48.5 billion posted in the same month last year.
“The notable expansion can be attributed to higher capital expenditures for road and defense infrastructure projects, social protection and education related programs, as well as personnel services requirements,” the BTr said.
“The larger National Tax Allotment shares of local government units and the release of special shares in the proceeds of national taxes also contributed to the faster November outturn,” it added.
The BTr also said the higher interest payment for November 2024 was due to “coupon payments on new domestic debt issuances and Global Bonds, as well as the impact of foreign exchange fluctuations.”
Other expenditures also grew 25.85 percent or by P99.5 billion to P484.6 billion in November 2024 from P385.1 billion in November 2023.
Image credits: Aquafina2015 | Dreamstime.com
