DBCC Press Conference
July 2, 2018
Fellow workers in government and friends in the media: good afternoon.
We are happy to announce that revenue collections by both the Bureau of Internal Revenue (BIR) and the Bureau of Customs (BOC) for the first five months of this year substantially exceeded expectations. For these, we credit the administrative reforms undertaken by both agencies as well as the beneficial effects of the TRAIN law that was passed late last year.
From January to May this year, the BIR collected P828 billion. This is 15.5 percent higher than the same period last year and 3.1 percent higher than the target set.
During the same period, the BOC’s receipts amounted to P229.3 billion. This is 31.2 percent higher than the same period last year and 2.4 percent above target.
The total revenues for the first five months of 2018 now reached P1.19 trillion. This is higher by 19 percent year-on-year and also 7.4 percent above target.
In order to maintain the momentum of the Build, Build, Build program, our deficit forecast stands at 3.2 percent for 2019. We assure our people that the government remains steadfast in its commitment to fiscal discipline. The improved revenue collections are channeled to productive spending that will clear the way towards inclusive economic growth.
Likewise, we assure our people that the Department of Finance (DOF) and the Bureau of the Treasury (BTr) are ensuring cost-efficient borrowing to provide the government with enough resources to fund its programs.
From this year’s target of 65-35 percent domestic-external financing mix, we are targeting to increase the proportion of domestic borrowing to 75 percent, which will reduce the percentage of external financing in the mix to 25 percent next year. The larger proportion of domestic borrowing in the 2019 mix will help us better hedge against foreign exchange risks.
Our fiscal position is strong. It will continue to be so in the foreseeable future.
Thank you.
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