The government stands to lose billions of pesos from a tax and savings law. A tax-exemption law could cause the government to lose as much as P15 billion next year. In addition, the government could lose P11 billion a year from the Personal Equity Retirement Account. This law allows Filipinos to save money that will provide liquidity for domestic financial markets.

By the end of 2008, the Bangko Sentral ng Pilipinas (BSP)expects to increase revenues. In the first half of this year, the BSP had a net loss of P7.59 billion, much lower than the loss of P31.73 billion during the same period last year. Expenses in June, though, increased to P39.60 billion as compared to only P28.45 billion last year. The BSP expects to improve its financial position because the central bank is not facing the heavy inflows of foreign exchange that it experienced last year.

"Business is doubling," said Eric J. Severino, ENCASH president, in a briefing yesterday. More machines meant more customers, more transactions, and more revenues. ENCASH charges a "convenience fee" of P25 per transaction. While ENCASH’s wireless ATMs may be less reliable than the wired kind, the convenience they present to rural folks means they will continue to be in wide use. However, rural banks, which operate by a five-day workweek and wish to save on costs, need more convincing about opening the ATMs on weekends.

Partially due to higher spending in the month of July,the Philippines government has incurred a budget deficit of P33.4 billion in the first seven months. Finance Secretary Margarito B. Teves, said they are keeping the program of a full year budget deficit of P75 billion, or one percent of gross domestic product. "We are committed to spend an additional P75 billion for the year and we will find a way to improve the absorptive capacity (of the government)," the DoF chief said.

The Philippines Social Security System has released a total of P33.41 billion for member's benefit this year which is 16% more than the P28.8 billion released last year. The institution, which would be celebrating its 51st anniversary on September 1, disbursed 7 percent more for funeral benefits amounting to P1.14 billion this year from P1.07 billion in 2007. SSS President and Chief Executive Officer Romulo Neri urges members to qualify for the organization's benefits by paying contributions regularly, stating that "Members who pay more contributions are entitled to higher SSS benefits."

During the first half of the year, the Bangko Sentral ng Pilipinas (BSP) reported a net loss of P7.59 billion. The loss is significantly less than last year's P31.73 billion loss. The BSP said lower net loss was due to higher interest income.

The Department of Finance's plan to limit the number of bonded warehouses was supported by the Bureau of Customs. The plan aims to avoid tax leakages and improve the monitoring of imported goods. The Customs Bonded Warehouse confederation Inc. and Ninoy Aquino International Airport-Customs Bonded Warehouse Operators are not in favor of the plan. If the plan succeeds, only government-owned Philippine International Trading Corp. and the Philippine Exporters Confederation will be allowed to have warehouses.

The Philippines tourism industry continues to attract more Tourists, 6. 9 percent went up from January to June 2008 while February posted the highest increase at 11. 7 percent. China remains to be a fast growing market with 20percent rise, Taiwan made a remarkable turn around with 12. 5 percent, Hong Kong showed high improvement with a growth of 5. 2 percent. For European Visitors, France increased by 29. 2 percent and remain to be the top spending visitors. Their total spending grew by 157% with US$ 20.28 million.

Bangko Sentral ng Philpinas reported that the local banking system had a non-performing loan ratio of 5% at the end of march. This bad loan ratio is the highest among all the Asian countries that took a hit from the crisis of the late 1990's. Indonesia ranked second behind the Philippines with a ratio of 4.4%.

According to a Social Weather Stations survey, 60% of Filipino families rated themselves as poor. About 24% of the 10.6 million families who rated themselves as poor considered themselves at the borderline. The self-rated poverty level increased the most in the Visayas.