Revenue collection rose 5% in first 10 months of 2021
National government revenues increased five per cent to P2.49 trillion in the first 10 months of 2021, up from 2.37 trillion in the same period in 2020.
According to the Department of Finance (DOF), tax revenues rose 9.1% in the period, higher than the 7.4% nominal GDP growth in the first three quarters of 2021.
The Bureau of Internal Revenue (BIR) also recorded a 6.8% growth in its collection, slower than the 9-month nominal GDP growth due to the lower share of petroleum product taxes.
Meanwhile, in customs, collections rose by 17.1% as imports recovered from the pandemic. BOC’s collections of P525.4 billion over the period were lower by a hairline than the pre-pandemic collections of 527.7 billion.
In its report, the DOF states that “despite [the] higher fiscal deficit, a strong revenue performance enabled the country to maintain good macroeconomic fundamentals, attain manageable inflation, sustain low interest rates, and keep its investment-grade credit rating.”
The agency added that these positive developments signify a strong economic recovery for the country as it loosens its quarantine restrictions in the coming months.
