MANILA – The government's budget deficit climbed to P133 billion in August as revenues shrank while expenses expanded, the Bureau of Treasury said on Wednesday.
The budget gap is P61 billion higher than the P72 billion deficit booked in the same month last year, Treasury said.
Revenues dropped 6.58 percent drop while expenses grew 9.66 percent, the agency added.
Revenues in August amounted to P310.6 billion, which was P21.9 billion lower compared to the previous year's collection of P332.4 billion.
Spending meanwhile hit P443.6 billion, due to the large capital expenditures of the Department of Public Works and Highways and Department of Transportation, as well as higher personnel services expenses of the Department of Education with the release of the 2021 performance-based bonus of their qualified personnel, the agency added.
However, Treasury also noted that the cumulative deficit from January to August of P732.5 billion was lower than the P833 billion deficit recorded for the same period in 2022.
Year-to-date revenues reached P2.6 trillion, up 9.03 percent or P213.9 billion over the same period in 2022.
The Philippines has been borrowing heavily to fund its fiscal gap, with the country expecting to borrow P2.46 trillion next year to partly fund the P5.768 trillion national budget for 2024.
Some 43.32 percent of the 2024 national budget will come from borrowings, while the remaining 57 percent will be financed by local revenues.
The Philippines added P96.44 billion to its sovereign debt in July, raising its total obligations to a new record of P14.24 trillion, the Bureau of Treasury said Friday.