Gov’t posts over P6-B surplus in Oct.

The national government posted a P6.3-billion budget surplus in October, as revenue collections exceeded the growth in expenditures.

According to the Bureau of the Treasury (BTr), this fiscal surplus marks a significant turnaround from the P34.4-billion deficit recorded in the same month last year.

From January to October, the fiscal deficit reduced to P963.9 billion, which is 64.94 percent of the P1.48 trillion full-year target.

Revenue collections surged by 22.63 percent to P473.1 billion in October, compared to P385.8 billion in October 2023. This growth was attributed to both tax and non-tax revenues.

Tax revenues rose by 16.94 percent, reaching P414.9 billion, primarily driven by higher collections from the Bureau of Internal Revenue and the Bureau of Customs. Non-tax revenues also saw a remarkable increase of 87.65 percent, rising to P58.3 billion from P31 billion last year.

For the January to October period, total revenues grew by 16.8 percent to P3.76 trillion, compared to P3.2 trillion in the same period in 2023. Of this, P3.23 trillion came from taxes, an 11.40 percent increase, while non-tax revenues climbed 64.93 percent to P539.4 billion.

On the expenditure side, the government spent P466.8 billion in October, up 11.08 percent from P420.2 billion in the same month last year. 

The increase was largely driven by higher personnel expenses due to salary adjustments and the release of Performance-Based Bonuses for Department of Education employees. 

Spending also rose due to infrastructure projects by the Department of Public Works and Highways and foreign-assisted rail projects by the Department of Transportation, as well as social protection and health initiatives by the Department of Social Welfare and Development and the Department of Health.

Year-to-date disbursements for January to October grew by 11.52 percent, totaling P4.73 trillion, in line with the revised full-year target of P5.75 trillion.