The Millennium Development Goals (MDGs) Realization: Filling in the Fiscal Gaps

15 May 2011


The Philippines has committed itself to a development strategy geared towards attaining the MDGs. However, based on official and largely qualitative assessments, prospects for MDG achievement of the Philippines are mixed. The study recommends attempting to close the MDG gaps using tax financing. This financing option is feasible in the sense that the required revenue effort has been achieved before. Admittedly, it entails a 10 dramatic improvement in revenue effort, compared to most recent trends over the past decade. This underscores the urgent, developmental rationale for raising collection efficiency, reforms in the existing tax structure, in tandem with improvements in service delivery.

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