Aquino inherited a government with a budget deficit of P298.5 billion in 2009 or 3.9 percent of gross domestic product (GDP). For 2010, the government has set a fiscal deficit of P300 billion or 3.6 percent of GDP. Actual collection in January to June 2010 indicates that tax revenues will likely fall short of target by P74 billion (about 0.9 percent of the GDP while non-tax revenues will likely fall short of target by 0.4 percent of GDP, according to Dr. Rosario Manasan, fiscal expert of the Philippine Institute for Development Studies.
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