NEWSFLASH

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BETTER REVENUE COLLECTION A MUST 
FOR NEXT ADMINISTRATION

Manila, May 25, 1998 - Philippine Daily Inquirer reported that according to IMF Manila resident-representative Henri Lorie, the next administration should attain its cash budget surplus this year through improvements in revenue collection instead of relying on mere belt-tightening measures.

"We think most of the efforts should be on the revenue side," Lorie said. "In other words, to make sure that the steps to strengthen tax administration are effective."

The Ramos administration posted a P12.4-billion budget deficit in the first quarter, which was attributed both to revenue shortfalls and budget overspending. Out of the P531.3 billion revenues the government aims to collect this year, P116.9 billion are programmed to be collected by the Bureau of Custom (BOC) and P373.7 billion by the Bureau of Internal Revenue.

The government is aiming to achieve a P5-billion fiscal surplus by the year-end. Fiscal officials admitted that they would have to walk on a tight rope to attain this target since they can no longer book debt payments by the Central Bank Board of Liquidators as part of the revenues.

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