Local government units (LGUs) are set to receive a larger portion of the national budget in 2026, with the Department of Budget and Management (DBM) highlighting the administration’s focus on people-centered programs and stronger local governance.
Acting Budget Secretary Rolando Toledo announced that LGUs will get ₱1.019 trillion in National Tax Allotment (NTA), alongside an additional ₱57.9 billion under the Local Government Support Fund.
“That is automatically released to our local governments,” Toledo said in a television interview.
He explained that the ₱57.9 billion fund reflects the government’s push to empower LGUs, consistent with its policy of devolving more support and responsibility to local governments.
The fund includes ₱37.5 billion for Financial Assistance to LGUs, ₱8 billion for the Barangay Development Program of the National Task Force to End Local Communist Armed Conflict, ₱11.3 billion for the Growth Equity Fund, and ₱1 billion for the Support Assistance Fund to Participatory Budgeting.
“That’s on top of the ₱1.19 trillion share of the local government units,” Toledo noted, emphasizing, “Ang gusto ko na-emphasize dito is because the administration or the president wants to really empower our local government units.”
He further reiterated that the ₱6.793-trillion national budget for 2026 is “people-centered, disciplined and transparent as far as our release is concerned,” with priority spending directed to education, health, agriculture, and social services.