The National Government (NG) posted a budget surplus of PHP67.3 billion in April 2025, driven by a slowdown in government spending, according to the Bureau of the Treasury’s (BTr) latest cash operations report.
Revenue collections for the month dipped slightly to PHP522.1 billion, down from PHP537.2 billion last year, primarily due to the timing of non-tax revenues. However, this was offset by a 7.84% rise in tax revenues, which hit PHP498 billion.
The Bureau of Internal Revenue (BIR) contributed PHP420.5 billion, an 11.10% increase fueled by stronger corporate income tax (CIT), value-added tax (VAT), and personal income tax (PIT) collections. The surge in CIT was linked to the annual corporate filing deadline in April, while the boost in PIT and VAT was supported by BIR’s push for simplified tax filing and crackdowns on fake receipts and illicit trade.
The Bureau of Customs (BOC) collected PHP74.7 billion, down by 7.48%, due to fewer working days and declining import volumes amid global trade challenges.
Meanwhile, non-tax revenues fell sharply by 68.08% to PHP24.1 billion, with many government-owned and controlled corporations yet to remit dividends.
On the expenditure side, NG spending dropped by 8.03% to PHP454.8 billion, compared to PHP494.5 billion in April last year. The decline was attributed to lower interest payments, reduced subsidies to state corporations like the National Irrigation Administration, and the timing of capitalization transfers for the Coconut Farmers and Industry Trust Fund, which were made in March this year instead of April.
Despite April’s revenue dip, the government remains on track to meet its full-year collection target. Year-to-date revenues hit PHP1.5 trillion, a 3.35% increase from last year. Tax revenues made up 94.03% of the total, thanks to an 11.49% growth, while non-tax revenues totaled PHP90.7 billion (5.97%).
Total NG spending from January to April rose 13.57% to PHP1.932 trillion, resulting in a budget deficit of PHP411.5 billion, a 78.98% surge year-on-year due to ramped-up spending in line with the Marcos administration’s priority programs.
The BTr expressed confidence that the government remains on track with its fiscal targets, emphasizing the importance of prudent spending and efficient tax collection in sustaining economic growth.
