Budget gap inches up to P272.6-B in Q1–BTr B R J S. A @reine_alberto
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HE national government posted a P272.6-billion budget gap in the first quarter of the year, the Bureau of the Treasury (BTr) said on Wednesday. Data from the Treasury showed the budget deficit from January to March inched up by 0.65 percent from the P270.9-billion gap recorded in the same period last year. However, the state’s budget deficit narrowed by 6.82 percent to P195.9 billion in March from P210.3 billion in the same month in 2023, based on Treasury data. This is on the back of an 11.32-per-
cent year-on-year revenue growth in relation to the 3.18-percent increase in government spending. Revenue collections from January to March reached P933.7 billion, higher by 14.05 percent than the P818.7 billion recorded in the same period in 2023. Broken down, 87.85 percent of the national government’s revenue collections for the period were raised through taxes at P820.3 billion, while the remaining 12.14 percent or P113.4 billion came from non-tax sources. For the January to March period, the Bureau of Internal Revenue (BIR) collected a total of P591.8 billion, posting a double-digit YoY growth of 17.15
percent from P505.2 billion, based on Treasury’s data. Cumulative collections by the Bureau of Customs (BOC) grew by 2.35 percent year-on-year to P218.9 billion from P213.8 billion. Non-tax revenues by the Treasury for the three-month period improved by 85.26 percent to P72.3 billion from the P39 billion recorded last year due to higher dividend remittances, interest on advances from government-owned and -controlled corporations (GOCCs). Meanwhile, collection from other offices (other non-tax including privatization proceeds and fees and charges) for the three-month period plunged YoY by 21.83 per-
cent to P41.1 billion from P52.6 billion.
Expenditures up 10.7%
ON the other hand, government expenditures for January to March 2024 also expanded by 10.72 percent to P1.206 trillion from P1.089 trillion. Overall primary expenditures for the three-month period rose to P1.0 trillion, up by 6.94 percent (P65.8 billion) from the previous year’s comparable figure. Interest payments for the same period climbed to P193 billion or by 35.93 percent from P142 billion. Rizal Commercial Banking
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Thursday, April 25, 2024 Vol. 19 No. 191
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IN ’24 LIKELY BELOW 6-7% T
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HE country’s economic growth will likely disappoint given the El Niño phenomenon and rising inflation, according to analysts of the US-based Global Source Partners think tank.
In an economic brief, Global Source Partners analysts Diwa Guinigundo and Wilhelmina Manalac said the country’s growth may be lower than the 6 to 7 percent full-year target range. This was based on their analysis of the results of the Bangko Sentral ng Pilipinas (BSP) latest Business and Consumer Expectation surveys. The results of these surveys, the analysts said, are good indicators to determine the country’s national output. “Abstracting from the results
of the BSP surveys of both business and consumer respondents, the first quarter is likely to sustain positive economy growth which may not necessarily approximate the official target of 6-7 percent at least for Q1 2024 due to the downside risks to economic growth, including the prolonged dry spell and the rising trend in inflation,” the analysts said. They noted that the Confidence Index (CI) of consumers was less S “G,” A
SAGUISAG, SENATOR, HUMAN RIGHTS LAWYER, DIES AT 84 B B F @butchfBM
R
ENE A.V. SAGUISAG, former senator, human rights lawyer and freedom fighter, has died, his family announced on Wednesday. “As we mourn his loss, we take solace in the enduring impact of his legacy. Rene Saguisag was a dedicated public servant, and his tireless endeavors as a human rights advocate, senator, S “S,” A
CRUISING ABOVE CHAOS Senator Cynthia Villar, accompanied by DPWH NCR Director Lorie Malaluan, Senator Mark Villar, and DPWH Assistant Secretary Neri Bueno, graced the inauguration of the C5 Extension Quirino Avenue Flyover in Las Piñas City. Spanning 390 meters in length and 9.82 meters wide with two lanes, this flyover is a pivotal solution to the critical traffic conditions in Las Piñas, especially for vehicles bound for Sucat and Coastal Road. The project signifies a significant stride towards enhancing public services. ROY DOMINGO
PHL must join global accords to better tax big tech–study
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SEN. Rene Saguisag at a hearing, March 16, 1988. The Philippine flag at the Senate grounds flies at half mast in honor of former Sen. Rene A.V. Saguisag. His son Rebo, announced the passing of his father in a statement he posted on his Facebook page. NATIONAL LIBRARY OF THE PHILIPPINES/SENATE PRIB
F the Philippines intends to maximize the revenue potential from digital economy, it must join regional or multilateral agreements that are formed to better tax big tech, according to a study commissioned by the national government’s think tank. In a research paper published by the Philippine Institute for Development Studies (PIDS), University of the Philippines College of Law Assistant Professor Emerson S. Bañez analyzed the country’s existing tax laws on digital commerce. Bañez performed a gap analysis of Philippine tax laws’ applicability to digital transactions. The analysis looked into the shortcomings of the existing laws relative to tax models from other regions.
“Optimizing the local tax base and passing unilateral measures can only go so far. Even if the BIR can scale its tax mapping and inspection operations to include private residences without raising constitutional objections, there is still the question of whether or not it can apply the same to nonresidents,” Bañez said. “Thus, the Philippines should continue to explore multilateral options for the reallocation of taxing rights and to address BEPS. Options include regional tax treaties [e.g., at the ASEAN level] and the OECD framework treaty,” he added. Bañez found there are 21 variaS “PHL,” A
PESO EXCHANGE RATES US 57.4490 ■ JAPAN 0.3712 ■ UK 71.5355 ■ HK 7.3328 ■ SINGAPORE 42.2233 ■ AUSTRALIA 37.2614 ■ SAUDI ARABIA 15.3169 ■ EU 61.4877 ■ KOREA 0.0419 ■ CHINA 7.9297 Source: BSP (April 24, 2024)