Department of Agriculture Secretary Francisco Tiu Laurel Jr. pushed for projects with strong, sustainable returns as the agency develops its multiyear budget plan.
Tiu Laurel, speaking at a two-day budget planning session, urged DA officials to allocate limited resources strategically, focusing on projects with an internal rate of return of 12 percent to 14 percent per year or a payback period of no more than seven years to ensure bankability and profitability.
A successful businessman before joining the Marcos administration in November 2023, Tiu Laurel introduced a corporate approach to DA’s operations and budgeting.
He cited the importance of fiscal discipline, explaining that every peso spent should generate returns that support both project sustainability and national agricultural development.
“We don’t have infinite resources, and we can’t afford to waste them,” he said.
The agriculture chief made it clear that projects failing to meet investment-grade criteria would not be prioritized, even if they were agriculturally viable.