EJERCITO WARNS BUDGET CONTROLS MAY SLOW ECONOMIC GROWTH

Senate Deputy Majority Leader JV Ejercito has warned that stricter government controls over the national budget, introduced after the controversy surrounding alleged irregularities in flood control projects, may be slowing public spending and putting pressure on economic growth.

Ejercito, who chairs the Senate Committee on Finance, said in a radio interview that the government has tightened procedures for releasing and using public funds following public outrage over alleged anomalies involving lawmakers, contractors and officials of the Department of Public Works and Highways (DPWH).

According to the senator, the additional safeguards have contributed to slower disbursements and delays in the implementation of government projects.

“Sumobra sa ingat naman pero ‘di mo rin masisi dahil siyempre nagalit ang taong bayan,” Ejercito said, noting that the heightened scrutiny has affected government expenditures, particularly infrastructure projects that play a significant role in economic activity.

The controversy over flood control projects has resulted in complaints and investigations involving several current and former government officials, including Ejercito’s half-brother, Senator Jinggoy Estrada; former Senator Ramon “Bong” Revilla Jr.; former Public Works Secretary Manuel Bonoan; and former House Speaker and Leyte 1st District Representative Martin Romualdez.

Former Ako Bicol Party-list Representative Zaldy Co remains at large, while the National Bureau of Investigation is separately examining allegations involving so-called ghost flood control projects reportedly connected to Senate Minority Leader Alan Peter Cayetano.

Ejercito said the effects of the spending slowdown are extending beyond individual government projects and are being reflected in the country’s overall economic performance.

“Actually, medyo masama rin kaya ang ekonomiya natin,” he said, citing the slowdown in economic expansion.

The Philippine economy expanded by just 2.3 percent in the second quarter of 2026, highlighting the challenge of increasing government spending while simultaneously strengthening safeguards against corruption and misuse of public funds.

Despite the slower growth, Ejercito maintained that infrastructure spending must continue because of its importance to economic activity.

The senator said legislators are working to strike a balance between speeding up the implementation of legitimate projects and ensuring that government resources are properly protected from misuse.

He also said the Senate would continue pursuing changes aimed at improving transparency in the budget process, including tighter restrictions on insertions and amendments introduced during bicameral conference committee proceedings.

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