GOVERNMENT spending on infrastructure and other capital outlays plunged in November last year, data from the Budget department showed.

Despited directives to increase expenditures to support economic growth, the amount spent for infrastructure projects fell to P56.7 billion in November, nearly 30 percent lower than the previous year's P80.2 billion.

The decline was mainly attributed to the timing of Department of Public Works and Highways (DPWH) payments for civil works, supplies, equipment, and right-of-way claims.

For the eleven-month period, however, infrastructure and capital outlays spending rose by 18.5 percent to P1.02 trillion from P861.8 billion in January-November 2022.

The Budget department credited the rise to spending by the DPWH for road infrastructure, Defense department disbursements, and foreign-assisted railway projects of the Department of Transportation.

Overall government spending was P433.6 billion in November, down 4.7 percent from P455 billion a year earlier.

Year-to-date, meanwhile, it was up 3.6 percent to P4.67 trillion compared to P4.513 trillion in the comparable 2022 period.

The DBM said that as of end November, just P131.1 billion or 2.4 percent of the government's P5.537-trillion obligation program needed to be released.

"With the lapsing of cash allocations and agency closing of books by the end of the year, complemented by the implementation of catch-up plans, line agencies are expected to quicken the implementation of their programs and projects in December 2023," the department said.

It noted that spending, including that for infrastructure, improved in the second half of the year. Coupled with lower inflation, this likely supported economic growth and will provide a favorable macroeconomic environment for 2024, it added.

Read The Rest at :