MANILA, Philippines — Malacañang announced that the administration is fast-tracking priority expenditures, particularly for infrastructure and social protection, following a government review that previously delayed budget utilization due to investigations into controversial flood control projects.
The announcement followed a high-level meeting on Tuesday, October 27, between President Ferdinand Marcos Jr., Bangko Sentral ng Pilipinas (BSP) Governor Eli Remolona Jr., and economic managers. The discussions focused on the economic implications of the BSP’s October monetary policy decision and strategies to strengthen coordination against inflation.
Addressing the previous fiscal slowdown, Communications Undersecretary and Palace Press Officer Claire Castro explained during a press briefing in Cagayan de Oro on the same day that economic growth was affected last year as the administration tightened spending controls.
”Unang-una kaya din po apektado ang ating economic growth nagtipid lalung-lalo na noong 2025 matapos magpa-imbestiga, inutos ng Pangulo na mag-imbestiga sa mga maanomalyang flood control projects,” Castro said.
She noted that the Department of Budget and Management (DBM) placed nearly all funds under “for later release” statuses to safeguard public money against irregularities.
”Ang nangyari po sa DBM, lahat halos ang pondo naging for later release. So ito po kasi ang pamamaraan para maprotektahan ang pondo ng bayan,” Castro explained.
”So, marami mang nagkaroon ng insertions, hindi po agad magre-release ang DBM ng pondo. Kapag hindi napatunayan ng proponent o ahensiya na ito ay may sapat na pag-aaral at ito ay magagawa na naaayon sa pondo,” she added.
The Presidential Communications Office (PCO) emphasized that overcoming these implementation bottlenecks is vital for delivering timely results, easing cost pressures on families, cushioning communities from El Niño impacts, and driving job-creating investments.