Philippines Budget Deficit Narrows in September

The Philippine government’s budget deficit narrowed to PHP 157.6 billion in November 2025 from PHP 213 billion in the same month last year. Government revenues grew 0.7% year-on-year to PHP 340.7 billion, while expenditures fell 9.6% to PHP 498.3 billion. Strong tax collections from the Bureau of Internal Revenue (+2.7%) and the Bureau of Customs (+3.4%) contributed to the narrower deficit, although non-tax revenues fell 41.6% to PHP 9.3 billion. For January to November 2025 period, the country's budget deficit increased to PHP 1,263.7 billion from PHP 1,176.9 billion in the same period a year earlier. Total revenues rose 1.1% to PHP 4.1 trillion, led by tax receipts (+7.0%), while expenditures grew 2.5% to PHP 5.4 trillion. Total primary deficit eased to PHP 463.2 billion, partly due to delays in some flood control projects amid ongoing probes into alleged corruption.

The government budget surplus in the Philippines widened to PHP 11.2 billion in October 2025, compared with PHP 6.3 billion in the corresponding month of the previous year. Government revenues fell by 6.6% year-on-year to PHP 441.7 billion, driven by a significant decline in non-tax collections. Meanwhile, government expenditures dropped more sharply by 7.8% to PHP 430.6 billion, mainly attributed to reduced infrastructure spending amid the ongoing probe on the DPWH’s flood control issues and review of project implementation. Considering January to October of 2025, the country's budget deficit increased to PHP 1,106.1 billion from PHP 963.9 billion in the same period a year earlier. Total revenues rose 1.1% to PHP 3.8 trillion, led by tax receipts (+7.5%), while expenditures grew 3.9% to PHP 4.9 trillion.

The Philippine government’s budget deficit narrowed to PHP 248.1 billion in September 2025 from PHP 273.3 billion in the same month last year. Government revenues grew 10.88% year-on-year to PHP 281.7 billion, outpacing a 5.18% rise in expenditures to PHP 529.8 billion. Strong tax collections from the Bureau of Internal Revenue (4.7%) and the Bureau of Customs (5.3%) supported the improvement, while non-tax revenues fell 65.8% to PHP 15.8 billion. Meanwhile, government expenditures fell 7.5% to PHP 529.8 billion. Year-to-date through September, the cumulative deficit stood at PHP 1.12 trillion, well within the revised full-year target of PHP 1.56 trillion, from PHP 970.2 billion a year earlier.