MANILA, Philippines - Dividends remitted by state corporations to the national government reached a record P29.61 billion in the first 10 months of the year, according to data from the Department of Finance.
The 10-month tally was the biggest since 1995 when data first became available. It also represented an increase of 23.55 percent from last year and was way above the P6 billion target for 2015.
A total of 53 GOCCs remitted to the national government during the period, higher than the 51 GOCCs that participated a year ago.
GOCCs are required to remit at least half of their net profit to the Bureau of the Treasury.
“The number of GOCCs remitting dividends speaks well on the effectiveness of the GCG,” Finance Assistant Secretary Ma. Teresa Habitan said in an e-mail.
“That the amount remitted by certain GOCCs increased too implies two things: better income for the GOCCs and the DOF doing its job in the oversight of financial operations of GOCCs,” she added.
Under Republic Act No. 10149 enacted in 2011, the Governance Commission on GOCCs (GCG) was established as operational overseer of state firms and financial institutions to ensure they are performing according to mandate.
The DOF, on the other hand, sees to it that GOCCs remit at least 50 percent of their annual net earnings as cash, stock or property dividends to the NG. Remittances, in turn, are recorded in the state balance sheet as revenues.