By Kyle Aristophere T. Atienza, A reporter
PHILIPPINE President Ferdinand UR. Marcos, Jr. On Monday, he signed into law the P6.326-trillion national budget for 2025 but objected to items worth more than P194 billion that he said are not in line with his government’s priorities.
This includes the allocation of funds for certain programs of the Department of Public Works and Highways (DPWH) and unplanned funds that have increased four times, said Mr. Marcos during the budget signing at the presidential palace.
“Since we realize that our resources are limited, and the needs of our people are many, we need to carefully analyze the details of the budget, so that big ambitions and big plans must be found,” said the president.
“We must use great prudence, otherwise we risk increasing the deficit and debt and disrupting our national development agenda.”
The P6.326-trillion national budget is 0.4% lower than the P6.352-trillion spending plan the Department of Budget and Management (DBM) submitted to Congress in August. This is equivalent to 22% of the projected gross domestic product (GDP) in 2025.
Mr. Marcos was originally scheduled to sign the budget on December 20, but it was postponed to allow for a “rigorous” review after questions were raised about the review by the bicameral conference committee.
Things protected by Mr. Marcos included projects worth P26.065 billion under the DPWH and projects worth P168.24 billion under the “unplanned budget.”
Public Works Secretary Manuel M. Bonoan said the closed projects are not ready for implementation. “It will still take us to make sure that these will be used immediately,” he said in mixed English and Filipino.
Mr. Marcos also noted that the unplanned appropriations under the budget bill approved by Congress increased by 300%.
In a press conference after the signing ceremony, Budget Secretary Amenah F. Pangandaman said that unplanned funds now make up 4.7% of the General Appropriations Act of 2025, which is “in line” with the level that set aside funds should be. it was only 5% of the total budget.
He said the education sector will still receive the largest share at P1.053 trillion, amid questions about the legality of the massive budget cuts facing the Department of Education (DepEd).
The education sector is composed of DepEd, public universities and colleges (SUCs), the Commission on Higher Education (CHED), and the Technical Education and Skills Development Agency (TESDA).
Ms. Pangandaman said the DPWH will now have a budget of P1.007-trillion by 2025, which is less than the P1.034-trillion budget approved by Congress.
Apart from the forbidden things, Mr. Marcos said there will be “conditional use” of certain items to ensure that “people’s funds used in accordance with the authorized and stated purposes.”
This includes the Ayuda sa Kapos Ang Kita Program (AKAP), which was started by the Department of Social Welfare and Development (DSWD) but will now be implemented in collaboration with the Department of Labor and Employment (DoLE) and the National Economic and Development Authority (NEDA).
The implementation of AKAP, which provides a one-time cash assistance of up to P5,000 to workers “will be strategic, leading to long-term improvement in the lives of qualified beneficiaries, while monitoring misuse and repetition,” said Mr. Marcos.
Executive Secretary Lucas P. Bersamin told reporters that AKAP will have strict guidelines, but he did not rule out the possibility of local politicians seeking support from their constituents.
“Don’t be silly. Don’t be silly,” he said. “Always, in our life here in the Philippines, someone has to start it.”
He added that the National Government does not have full knowledge of local conditions. “It has to come from the grassroots.”
Public finance analyst Zyza Nadine M. Suzara said the direct ban on items worth P168 billion is not planned. the distribution of money “does not meanto effectively change the composition of the national budget for 2025,” which means “pork remains big in the DPWH budget.”
“First, projects under the unplanned budget cannot be released unless there are certain conditions,” he said in an X message. “The President and the economic managers simply allow bicam’s decisions.”
EDUCATION
Meanwhile, Ms. Pangandaman reiterated that random allocation of funds can be used in DepEd’s computer system.
“As long as we have more revenue from the DoF (Department of Finance), we can actually increase or expand the budget of DepEd, especially in its computerization program,” he said.
bicam members cut DepEd’s budget by P12 billion, including P10 billion for its computer program.
Enrico P. Villanueva, who teaches finance and banking at the University of the Philippines Los Baños, said bicam members increased the DPWH budget by P288 billion, but the President reduced this by “only P26.1 billion, which is not even 10 % increase decided by Congress. ”
“For many Filipinos, that increase initiated by Congress is considered a pork barrel, because there was no budget consultation process involved in making the National Expenditure Plan,” he said in an X message. “People are also looking at infra projects as a source of corruption and possible funding for the 2025 elections.”
“If the President wanted to address the concerns of the people, he should have denied the DPWH budget increase substantially if not completely.”
Ibon Foundation Executive Director Jose Enrique “Sonny” A. Africa said the President’s last-minute effort to veto several items was aimed at avoiding “an obvious challenge to the Constitution when the education sector’s budget is lower than that of the DPWH alone.”
“The P26.1-billion reduction in the DPWH budget was enough for me to say that the budget of the education sector defined as DepEd, SUCs, CHED and TESDA combined is more than DPWH’s P1.007 trillion,” he said in a statement. Facebook Messenger chat.
Mr. Afrika also noted that the P1.055-trillion budget for the education sector is below the P1.13-trillion infrastructure budget, which includes P1.007 trillion for DPWH projects and P123.7 billion for the Department of Transportation. projects.
The reworked budget was supposed to be used in the first quarter of the year, he said, while creating a “2025 budget that is pro-people and sane for the public that is openly discussed.”
However, Mr. Marcos said in his speech that the revised budget will “delay important programs and jeopardize the goals of economic growth.”
The Marcos administration may have avoided working under the revised budget but neglected health and other forms of social protection that “could increase workers’ contribution to total productivity,” Leonardo A. Lanzona, an economics professor at Ateneo de Manila University, said. via message chat.
LIFE
Another analyst said the President failed to address concerns over the removal of the Philippine Health Insurance Corp. subsidy. (PhilHealth), the agency responsible for the implementation of universal health care.
“It’s frustrating, sad, and completely absurd on the day of Rizal’s anniversary,” health lawyer and former adviser to the Department of Health Anthony C. Leachon said of the President’s inaction on PhilHealth’s refund.
Mr. Marcos vowed to increase the benefits of PhilHealth members in his speech, a move Mr. Leachon says it’s “just lip service”.
“Without money, how can you increase benefits? You cannot increase benefits without giving P74-billion,” he said in a phone interview.
Mr. Marcos earlier defended bicam’s move to divest PhilHealth, citing its reserves.
PhilHealth’s reserves, which are not surplus funds and are intended to reduce the amount of contributions for members and expand its services, will be eroded in two to three years, said Mr. Leachon.
“And you should not use that because they have a big mistake that reserve funds are surplus funds. These are emergency funds that should be used to increase the package of benefits, reduce fees, and reduce out-of-pocket expenses,” he said.
Meanwhile, the President also placed 11 other items on conditional use, such as DSWD’s “PAyapa at MAsaganang PamayaNAn Program, Rice Competitiveness Development Fund and support for foreign aided programs.
The use of excess funds from the annual tax revenue from rice loading will also follow the guidelines of the Ministry of Finance and Agriculture.
Four items in the 2025 budget were also placed under general scrutiny to “clarify changes made by Congress.” These include the payment of additional compensation for the organizational structure of the Senate and the House of Representatives, as well as bicameral electoral courts and the Commission on Appointments.
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