GOCC subsidies swell in 7 months

MANILA, Philippines — The government extended P187.5 billion in subsidies to state-run corporations from January to July, a sharp 189 percent increase from P64.99 billion in the same period last year, according to the Bureau of the Treasury (BTr).

For July alone, the government extended P17.94 billion in subsidies, down 53.16 percent from last year’s P38.29 billion. The bulk of the amount was used to support the housing and health insurance programs of the government.

Based on Treasury data, more than half or P9.89 billion of the total budgetary support granted to GOCCs in July went to the National Housing Authority.

This was followed by the controversy-ridden Philippine Health Insurance Corp. (PhilHealth), which received P4.13 billion in subsidies from the national government.

Another P1.91 billion was granted to the National Irrigation Administration to support its irrigation projects all over the country.

The Philippine Coconut Authority also received P643 million in subsidy, while the International Center for Settlement of Investment Disputes and the Development Academy of the Philippines received P576 million and P191 million, respectively.

Following these are three health institutions, namely the Philippine Heart Center, which received P118 million; Philippine Children’s Medical Center with P78 million; and the National Kidney and Transplant Institute with P75 million.

Other GOCCs which received budgetary support were the Philippine Rice Research Institute (P59 million), National Electrification Administration (P46 million), Southern Philippines Development Authority (P31 million), Lung Center of the Philippines (P27 million), Philippine National Railways (P26 million) and Philippine Institute for Development Studies (P22 million), among others.

On a year-to-date basis, the Social Security System (SSS) received the largest subsidy among GOCCs amounting to P51 billion. The amount was used to implement the Small Business Wage Subsidy program.