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Sunday, June 15, 2025

President Marcos monitoring 2026 national budget process—DBM

Budget Secretary Amenah Pangandaman on Wednesday said President Ferdinand Marcos Jr. is personally monitoring the entire 2026 national budget process to ensure the inclusion of priority government projects, especially the P20 per kilo rice.

Pangandaman said President Marcos wants to prioritize projects like the flood control projects by the Department of Public Works and Highways (DPWH) and the P20 rice subsidy by the Department of Agriculture (DA). 

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She said the budget for the P20 per kilo rice is included in the proposed 2026 national budget of the Department of Agriculture. 

“We make sure na makakasama po iyan (that it will be included),” the Department of Budget and Management (DBM) chief added. 

Pangandaman assured the public that Marcos is personally monitoring the entire 2026 national budget process, from start to finish.

“As early as January, when the 2025 budget was completed, the President already gave instructions regarding our [2026] budget,” she said.

“Every once in a while, in fact, even before the elections, he gives directives. We always sit down for that [budget process] until the very end. If it’s necessary for him to attend the bicam (bicameral conference), our President will sit in the bicam,” Pangandaman added.

The target spending level for Fiscal Year (FY) 2025 is based on the government’s Medium-Term Fiscal Framework, which estimates a budget of almost P7 trillion.

The Development Budget Coordination Committee (DBCC) is scheduled to meet on Monday, May 26, to finalize and announce the official budget ceiling. This will depend on revenue projections from the Department of Finance (DOF), Bureau of Internal Revenue, and Bureau of Customs.

Once the budget ceiling and proposed programs are finalized, the DBM, together with the DBCC, DOF, and the Department of Economy, Planning, and Development, will meet with the President to review key projects, especially those under the administration’s priority agenda.

Pangandaman clarified how the budget process works using the DBM’s Two-Tier Budgeting Approach (2TBA): Tier 1 covers regular expenses, such as salaries (Personnel Services), operating costs (MOOE), and ongoing capital projects. Tier 2 includes big or new projects that agencies are requesting additional funds for.

“This is what we’re really looking into. Because some of the [projects] are not yet ready. It’s difficult to fund them if they’re not shovel-ready. It would be a waste. We’ll also look at the utilization rate,” she said. 

Pangandaman also highlighted how the national budget continues to play a key role in growing the Philippine economy.

“This year, we’re happy with the growth of our economy because we know our budget contributed to it. For the first time, the budget’s contribution was in double digits—almost 18 percent. There was also a significant increase in our GDP growth. Otherwise, without the budget, our economy might have only grown by about 3 percent,” she said.

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