The Philippine government is on track to meet its fiscal goals for 2024, with revenue collection outpacing the target as of November, helping keep the budget deficit within manageable limits.
The Bureau of the Treasury said total revenue collection surged by 15 percent, reaching P4.1 trillion by the end of November—96 percent of the full-year goal of P4.3 trillion.
For the first 11 months of 2024, the budget deficit stood at P1.2 trillion, well below the ceiling of P1.5 trillion for the year.
The year-to-date revenue growth was driven primarily by taxes, which contributed P3.5 trillion, or 86 percent of total collection. This reflects a 12 percent increase year-on-year. Non-tax revenue, despite a dip in November, grew by 46 percent on-year, totaling P555.3 billion, helped by higher dividends from government-owned corporations and other non-tax sources.
The Bureau of Internal Revenue led the charge, with collection rising by 18 percent to P247.6 billion in November, bringing its 11-month total to P2.7 trillion. This represents a 14 percent increase over the previous year and is 94 percent of its P2.8 trillion revised full-year target. The growth in BIR collections was spurred by higher receipts from income tax, value-added tax, excise tax, and documentary stamp tax, bolstered by an increase in wage withholding and corporate income taxes.
Meanwhile, the Bureau of Customs collected P72.4 billion in November, down slightly by 1.7 percent but its total collection for the January-November period reached P850 billion, up 4.7 percent from the previous year. Higher VAT and excise tax collection, especially from petroleum imports, offset the decline in import duties.
Non-tax revenue sources, including privatization proceeds and fees, saw a significant decline in November, primarily due to a one-off remittance from the Bangko Sentral ng Pilipinas in 2023. However, year-to-date non-tax revenue still grew by 46 percent compared to 2023, driven by consistent increases in dividend remittances and other non-tax revenues.
This positive revenue trend, coupled with disciplined fiscal management, positions the government to meet its fiscal deficit and revenue targets, ensuring continued stability amid global economic challenges.
