The national government’s subsidies to government-owned and -controlled corporations as of end-May surged by 51.56 percent year-on-year, data released by the Bureau of the Treasury (BTr) showed.
According to the latest cash operations report, subsidies in the first five months of the year totaled to P57.05 billion, up from the P37.64 billion recorded in the same period a year ago.
The lion’s share of the subsidies released to state-run firms, amounting to P29.01 billion, went to the National Irrigation Administration (NIA), which is responsible for irrigation development and management.
Meanwhile, aside from NIA, other billionaire recipients are the Power Sector Assets and Liabilities Management Corp. with P8 billion, National Housing Authority with P3.75 billion, National Food Authority with P2.25 billion and National Electrification Administration with P2.09 billion.
In May alone, government subsidies to state firms jumped to P9.74 billion from P7.38 billion a year ago.
NIA was the only billionaire recipient for the month, receiving P7.27 billion.
The BTr earlier reported that the national government’s budget deficit widened in May as the acceleration in public spending outpaced the increase in revenues.
The shortfall reached P174.9 billion in May 2024, up by 43.1 percent compared to the previous year’s level of P122.2 billion.
Expenditures jumped by 22.24 percent, much faster than the 14.59 percent increase in revenues.
Consequently, the cumulative budget deficit for the five-month period widened to P404.8 billion, which is 24.06 percent higher than the P326.3 billion recorded during the same period in 2023.
