New Finance chief says ‘realistic’ revenue collection targets are important

Finance Secretary Frederick D. Go said that setting a “realistic” revenue collection target is important, as revenue collection targets are at risk amid a corruption probe that has dampened economic growth.

In a Facebook post on Saturday, the Department of Finance (DoF) said Mr. Go “emphasized the importance of setting realistic revenue targets, noting that necessary budget adjustments need to be made.”

As of end-September, revenue collections climbed by 2.24% to PHP 3.367 trillion, equivalent to 74.49% of the government’s PHP 4.52-trillion full-year goal.

In 2026, the government is targeting to collect PHP 4.98 trillion in revenues.

At a meeting with National Treasurer Sharon P. Almanza, Mr. Go discussed the Treasury’s efforts to maintain a sustainable debt profile.

He said that “corrective actions must be taken to address current fiscal challenges and strengthen the government’s overall fiscal challenges.”

The Philippine sovereign debt stood at PHP 17.46 trillion at the end of September, still above the projected year-end debt level of PHP 17.36 trillion this year.

“I want to hear your team’s recommendations on key areas where we can optimize spending, because that’s often where discussions stall. We need to finalize the plan and determine the necessary adjustments,” he was quoted as saying to Ms. Almanza during the meeting.

Mr. Go also expressed full confidence in the Bureau of the Treasury’s expertise in identifying areas where savings can be achieved.

Executive Secretary and former Finance chief Ralph G. Recto earlier said the Development Budget Coordination Committee is likely to review its macroeconomic targets and assumptions in December.

This comes as the Bureau of Internal Revenue and Bureau of Customs are likely to miss their targets amid weak economic growth, lower remittances from the Department of Public Works and Highways and slower global trade that curbed imports.

In a separate statement, the Finance department said Mr. Go met with Finance Undersecretary Euvimil Nina R. Asuncion, head of the Revenue Operations Group, to map out the revenue office’s goals in modernizing revenue administration.

During the meeting, the Finance chief stressed the need for digitalization and urged the team to pursue “small wins” that deliver quick, visible gains for taxpayers.

He also raised prospects for government-to-government assistance, including potential technology transfers from countries such as Japan, to fast-track reforms.

Mr. Go pledged close coordination with the group, backing its push to “foster a culture where taxpayers willingly fulfill their obligations.”

The Finance chief also sat down with World Bank officials to align government priorities and continue partnership through financing, technical support, and disaster-risk solutions.

He showed his appreciation for the lender’s financing support through the Disaster Risk Management and Climate Development Policy Loan with a Catastrophe-Deferred Drawdown Option, which the government can readily access in times of disaster.

The Philippines is preparing to withdraw USD 500 million (PHP 29.27 billion) under this facility to support financing requirements for the immediate response and recovery following recent typhoons that hit the country, the DoF said.

He also met British Ambassador to the Philippines Sarah Hulton OBE to deepen Philippines-UK ties, with talks centering on the Luzon Economic Corridor, development cooperation, and trade and investment opportunities. — A.R.A.Inosante