The budget utilization of government agencies slowed in the first 11 months of the year, data from the Department of Budget and Management (DBM) showed on Thursday.
Agencies used P3.12 trillion of the P3.72 trillion released under the Notice of Cash Allocation (NCA) from January to November, translating to a utilization ratio of 84 percent, easing from 93 percent in the same period last year.
NCA refers to disbursement authorities issued by the Budget department to government-servicing banks, such as the Development Bank of the Philippines, Land Bank of the Philippines and Philippine Veterans Bank, to cover the cash requirements of agencies’ programs, activities and projects. NCAs are valid up to the last working day of the quarter covered.
According to the department, a higher NCA utilization rate shows the capacity of line agencies to timely disburse their allocated funds and implement their programs and projects.
The Commission on Elections posted the highest utilization ratio in the period — 92 percent — using P743.69 million out of P808.55 million.
The Department of Transportation and the Commission on Elections came next with 91 percent. The former used P54.26 billion out of P59.94 billion; the latter, P3.53 billion out of P1.79 billion.
The Department of Foreign Affairs had the lowest budget utilization rate of 46 percent — P9.75 billion out of its P21.14-billion allocation.
Unused NCA by agencies picked up to P605.46 billion in the first 11 months, wider than the P213.86 billion a year ago.
In an earlier report, the DBM said P154.2 billion worth of allotments had been issued to various agencies, based on the preliminary report of allotment releases covering last month.
It added that releases under Republic Act 11494, or the “Bayanihan to Recover as One Act” (Bayanihan 2) have reached P96.4 billion as of November 30.
The Budget department said these releases were expected to push state disbursements closer to attaining its full-year target.