Local officials and Malacañang have finalized the implementation framework for the ₱82.3-billion Local Government Support Fund (LGSF) for 2026.
In a February 19 meeting at Malacañang Palace, Executive Secretary Ralph Recto met with 29 provincial governors, 16 city and municipal mayors, and seven representatives of governors to discuss the program’s rollout.
The LGSF, which has ₱57.88 billion allocated under the 2026 national budget, was boosted by ₱37.4 billion following the directive of Ferdinand Marcos Jr. to expand the role of local government units (LGUs) in implementing key projects. The fund will finance LGU-identified initiatives in livelihood, infrastructure, health, education, and food security.
Recto noted that the LGSF represents only a portion of the ₱1.393 trillion national tax share earmarked for LGUs in 2026.
“In ordering an increase in the LGSF allocation, President Marcos believes that LGUs have the capacity, experience, and means to implement national projects,” Recto said.
“The President has repeatedly said that LGUs should not be passive recipients of national projects but must be active implementers of the same.”
The initiative seeks to accelerate the delivery of priority development programs and ensure projects directly benefit communities nationwide.