National Government (NG) cash expenditures increased by 11.3% to P4.2 trillion in 2020 from P3.8 trillion in 2019. Expenditure-to-GDP ratio also went up by 4 percentage-points to 23.5% in 2020. The increase in GDP ratio can be attributed partly to lower GDP from the previous year. Higher cash expenditures coupled with lower revenue collection resulted in the doubling of deficits in 2020 to P1.4 trillion which was financed by borrowings.
