Govt spending fastest for the year in July

By Coco Alcuaz, ANC

Posted at Aug 23 2012 05:39 PM | Updated as of Aug 24 2012 06:31 AM

MANILA, Philippines -- Government spending rose at the fastest pace this year in July as the government hopes to sustain fast economic growth.

Total spending rose 22% during the month. For the seven months beginning January, spending is up 15%.

The government needs to boost spending to sustain the first quarter's 6.4% percent jump or come close to it amid a weak global economy.

While spending rose 22%, revenue increased just 15%, resulting in a P39-billion deficit for July or P69-billion deficit starting January.

That is far short of the P280-billion deficit target, indicating the government could spend more.