WITH the lockdown and the job losses recorded last year, Filipinos saw their savings decline by nearly 30 percent, data from the Philippine Statistics Authority (PSA) showed.
Based on the PSA’s Consolidated Accounts and Income and Outlay Accounts, the country’s total Gross Savings reached P4.43 trillion in 2020, recording a 27.9-percent decline from P6.15 trillion in the previous year.
This has led to the decline in national disposable income which stood at P20.65 trillion in 2020. This was a 9.71-percent decline from the national disposable income of P22.86 trillion in 2019.
“Included in this report are production, consumption, income, gross accumulation, and economic transactions with the rest of the world,” the PSA explained.
PSA said Financial corporations saw their savings decline to P1.43 trillion and Households including Non-profit Institutions Serving Households (NPISHs), to P0.21 trillion.
Meanwhile, PSA said General government recorded a dissaving of P1.01 trillion during the same period.
“The country’s Gross National Disposable Income was valued at P20.65 trillion, registering a 9.7-percent contraction from the previous year,” PSA said.
The PSA data also showed that the Gross National Income contracted 10.02 percent to P19.32 trillion in 2020 from P21.47 trillion in 2019.
This comprises compensation of employees; gross operating surplus from resident producers; property net income; taxes on production and on imports; and subsidies.
Compensation of employees declined 11.78 percent to P7.8 trillion in 2020 from P8.84 trillion in 2019; while gross operating surplus from resident producers contracted 7.27 percent to P10.48 trillion in 2020, from P11.3 trillion in 2019.
In terms of property net income, PSA data showed it contracted 2.1 percent to P166.3 billion in 2020, while taxes on production and on imports contracted 13.25 percent to P1.47 trillion last year.
The PSA noted that it compiles the Consolidated Accounts and Income and Outlay Accounts annually.
The Consolidated Accounts present a summary of transactions and relationships among the various flows of the economy at current prices.
The Income and Outlay Accounts are compiled for the four institutional sectors, namely, non-financial corporations, financial corporations, general government, and households including NPISHs.