December 26, 2024 | 12:00am
MANILA, Philippines — State agencies improved their cash utilization rate to 94 percent as of end-November, slightly up from the previous year, as the government ramped up its cash allocation releases, according to the Department of Budget and Management.
Based on DBM data, notices of cash allocation (NCAs) increased by 12.2 percent to P4.52 trillion as of end-November from P4.03 trillion in the same period a year ago.
Government agencies utilized P4.26 trillion NCAs as of November, 13.3 percent higher than the P3.76 trillion in the comparable year-ago period.
This brought the utilization rate of state agencies up to 94 percent from 93 percent as of end-November 2023. Of the total releases, P258.24 billion remained unused during the 11-month period.
NCAs are disbursement orders by the DBM to government banks servicing the release of funds to agencies. State agencies are expected to use the NCAs to pay for the cash requirements of their programs and projects.
A higher utilization ratio indicates greater capacity of agencies to implement their programs and projects.
Line agencies secured 75.8 percent or P3.43 trillion of the NCA releases, while the remaining P1.09 trillion was directed to other agencies, particularly state-run firms and local governments.
By sector, other agencies used up 100 percent of their allocation to cover the internal revenue allotment, special shares and other transfers for LGUs.
Line departments, on the other hand, registered an 11-month utilization rate of 93 percent or P3.18 trillion for the NCAs they received as of end-November.
By departments, the Department of Public Works and Highways (DPWH) and the Department of Education (DepEd) obtained the highest NCAs worth P905.94 billion and P661.17 billion, respectively, in the 11-month period.
Data showed that the DPWH recorded a lower utilization rate of 95 percent from 96 percent a year ago, while the DepEd used up 92 percent from last year’s 93 percent.
The Department of Social Welfare and Development and the Commission on Audit scored the highest utilization rate among the agencies, with a cash usage rate of 99 percent.
Other agencies that posted above 95 percent usage rate include the Department of National Defense, the judiciary, Commission on Elections and Commission on Human Rights.
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