Philippines Gov't Budget Utilization Slows to 96.9% by End-June

Government agencies posted a budget utilization rate of 96.9% at the end of June, falling behind the year-earlier pace of 99%, the Department of Budget and Management (DBM) said. According to its Notice of Cash Allocations (NCAs) Utilization Report, the National Government, local governments, and government-owned companies had used P2.65 trillion of their P2.74 trillion in allocations by the end of June. Unused NCAs amounted to P84.28 billion, the DBM said. NCAs are quarterly disbursement authorities issued by the DBM to agencies, allowing them to withdraw funds from the Bureau of the Treasury for their spending needs. Line departments used P1.75 trillion, or 95.4%, of their allocations at the end of June, leaving P84.16 billion unused. The year-earlier utilization rate had been 99%. At the end of June, six departments posted 100% utilization rates — the Office of the Vice-President, Department of Migrant Workers, the Judiciary, Commission on Elections, Office of the Ombudsman, and Commission on Human Rights. The Commission on Audit used 99.9% of its allocations, while state universities and colleges, the Departments of Foreign Affairs, Health, Interior and Local Government and National Defense each posted 99.8% utilization rates. The Department of Human Settlements and Urban Development recorded a utilization rate of 99.7%, followed by the Departments of Environment and Natural Resources and Tourism at 99.5% each. The Office of the President had used 64.1% of its P9.12-billion allocation as of end-June. Other agencies towards the bottom of the table were the Civil Service Commission (74.7%), Presidential Communications Office (78.2%), the DBM (83.6%), the Department of Transportation (85.5%) and the Department of Public Works and Highways (87.1%). Budgetary support for government-owned and -controlled corporations was fully utilized by the end of June. Allocations to LGUs were fully utilized, while the Metropolitan Manila Development Authority used 99.9% of its NCAs.