DOF recognizes Makati as top-ranking city in fiscal autonomy

INQUIRER FILE PHOTO

MANILA, Philippines — The Department of Finance (DOF) recognized Makati as the top city in sustaining fiscal autonomy and achieving the highest per capita spending for fiscal years 2022 and 2023 during an awarding ceremony on Wednesday.

According to the DOF’s Bureau of Local Government Finance (BLGF), the ratio of local source revenues to the total current operating income of Makati reached 86.84 percent in 2022 and 90.60 percent in 2023.

Furthermore, Makati recorded the highest total current operating expenditure per capita among all cities, with P24,050 in 2022 and P23,995 in 2023.

“The high ratio indicates the city’s high level of independence from external sources, such as the national tax allotment and shares from PEZA and PCSO,” the bureau said in a statement.

Makati Mayor Abby Binay on Thursday expressed her gratitude to the Makatizens and the business sector, saying that their unwavering support, trust, and cooperation have contributed to the city’s economic growth.

“We gratefully acknowledge the unwavering support of the city’s business community, residents and other stakeholders. Your trust and cooperation have been indispensable to the sustained robust economic growth of the city, paving the way to better services and benefits for all stakeholders,” Binay said in a statement.

Makati also placed second among cities for local source revenues for the two-year period and among highly urbanized cities for year-on-year growth in local source revenues for the fiscal year 2023.

“We are honored to receive these accolades. These are testaments to the persistent efforts of the city government to expand our revenue base through reforms and smart innovations that promote efficiency and transparency in our revenue collection and processing of business permits and licenses,” the Makati mayor said.

As of August, Makati has exceeded its revenue target for the year, with a total revenue collection reaching P18.8 billion, or 102 percent of the P18.4 billion, according to Makati Information and Community Relations Department (Makati ICRD).

READ: Makati bags 3 awards from DOF for high revenue collections

“As of end-September, the city government has approved the registration of 3,900 new businesses this year, which have a combined capital investment worth P31.87 billion,” Makati ICRD stated.

“A total of 34,771 business establishments have renewed their permits during the same period, registering gross sales of P1.87 trillion,” the local government added.