MANILA -- Finance Secretary Carlos Dominguez III has dubbed as “manageable” the government’s budget gap in 2018 even after it exceeded the 3-percent cap set by economic managers.
Data released by the Bureau of the Treasury (BTr) on Friday showed that budget deficit in 2018 reached PHP558.3 billion, about 3.2 percent of the gross domestic product (GDP).
In 2017, the deficit amounted to PHP350.6 billion.
The BTr said last year’s budget deficit surpassed the PHP523.7-billion target by PHP34.6 billion.
Revenues reached PHP2.850 trillion in 2018, higher than the PHP2.846-trillion target and the PHP2.473 trillion revenues in 2017.
Expenditure amounted to PHP3.408 trillion, higher than the PHP3.370 trillion programmed for the year and the PHP2.823-trillion spending a year ago.
For 2019, the government has set a deficit cap of 3.2 percent of the GDP.
Dominguez said they will maintain the fiscal deficit target for this year even after surpassing the deficit ceiling in 2018.
“We’re confident of keeping within the target,” he told journalists.
Dominguez noted that they will exert all efforts to meet the spending goal amid the delay in the approval of this year’s national budget.
He said affected expenditure amounts to PHP46 billion for the first quarter of the year.
“The delay in the approval of the budget is regrettable but we will strive to catch up during the rest of the year,” he added.
There was a delay in the approval of the proposed PHP3.757-trillion budget after some lawmakers questioned, among others, the alleged insertion in the Department of Public Works and Highways (DPWH) allocation amounting to PHP75 billion.
Budget Secretary Benjamin Diokno has repeatedly denied the allegation, saying the additional budget for DPWH is intended to finance necessary projects in line with the government’s commitment to increase investments on infrastructure. (PNA)
