Marcos admin tempers 3-year revenue targets
The Marcos administration has scaled down its revenue collection program through 2028, following earlier revisions to economic growth targets amid slower-than-expected output.
Data from an informed source showed that the Development Budget Coordination Committee (DBCC) was now targeting P4.824 trillion in revenue for 2026, roughly 3 percent lower than the P4.983 trillion previously set.
For 2027, the program now stands at P5.122 trillion, down 4.5 percent from the original P5.366 trillion.
Lastly, the government aims to raise P5.568 trillion in 2028, a 5.85-percent reduction from the P5.914 trillion initially planned.
According to John Paolo Rivera, senior research fellow at the Philippine Institute for Development Studies (PIDS), the revision was a “prudent and realistic move” to address the softer growth momentum and revenue headwinds.
Fiscal planning
“It helps align fiscal planning with what is actually collectible rather than relying on overly optimistic assumptions. More credible targets can improve budget execution and reduce the risk of midyear financing gaps,” Rivera said.
”It should not be seen as lowering ambition, as the government still needs to strengthen tax administration, broaden the base and sustain growth enhancing reforms so revenues can gradually converge back to higher paths over the medium term,” he added.
Breaking down the 2026 figures, the Bureau of Internal Revenue is now looking to collect P3.431 trillion, while the Bureau of Customs targets P1.003 trillion. These are both lower than the previous goals of P3.579 trillion and P1.013 trillion, respectively.
Both agencies fell short of their 2025 revenue goals, which were weighed down by the economic slowdown tied to the looming corruption scandal and other global uncertainties.
Other offices are expected to collect P38.7 billion, with nontax revenues projected at P349.9 billion.
The DBCC first lowered growth targets after the slower-than-expected third quarter gross domestic product growth that had rattled economic confidence and gutted business sentiment.
With the revenue program now downscaled, it is now likely that the budget deficit projections alongside the borrowing program may also be revised. While there is no word yet on the updated figures, sources told Inquirer that the path was still under review, pending the data on interest payments on government debt from the Bureau of the Treasury.
