Malacañang announced on Monday, August 10, that the executive branch will officially transmit the proposed ₱7.2-trillion National Expenditure Program (NEP) for Fiscal Year 2027 to Congress on Tuesday, August 11, kicking off the legislative budget deliberations.
Department of Budget and Management (DBM) Secretary Kim de Leon formally presented the 2027 draft budget to President Ferdinand Marcos Jr. on Monday.
The proposed expenditure plan represents 21.7% of the nation’s projected gross domestic product (GDP) and stands as the largest national budget proposal in Philippine history. The figure reflects a 6% increase—or ₱407 billion—over the ₱6.7932-trillion budget enacted for 2026.
According to Communications Undersecretary and Palace Press Officer Claire Castro, the spending plan is anchored on the theme “People-Centered Growth for an Inclusive and Resilient Future,” prioritizing education, healthcare, social protection, national security, and community development.
“Layon nitong gawing mas kapaki-pakinabang ang bawat pisong pangpublikong pondo sa pamamagitan ng mas mahusay na serbisyo at mas maraming oportunidad para sa mga Pilipino,” Castro noted.
The 2027 fiscal framework targets key strategic areas, including human capital development, food security, digital transformation, infrastructure projects, climate resilience, and local government devolution.
Core initiatives feature the expansion of quality education, the Academic Recovery and Accessible Learning (ARAL) Program, Universal Health Care enhancements, and upskilling programs for the workforce.
The budget aligns with the government’s medium-term fiscal strategy, which targets annual revenue growth of nearly 8% through 2030 and a reduction of the fiscal deficit from 5.4% of GDP in 2026 to 3.5% by 2030.
Economic projections for 2027 anticipate real GDP growth between 5% and 6%, alongside an inflation rate of 4% to 5%—an improvement over 2026 estimates of 3.5% to 4.5% GDP growth and 6% to 7% inflation.
The DBM is scheduled to hold a briefing at Malacañang on Tuesday at 1:00 PM to present further details of the proposed budget.