MANILA, Philippines — The government released a record high P4.42 trillion in cash allocations last year, largely to finance education and infrastructure projects and the higher share at the local level, the Department of Budget and Management (DBM) said.
Latest data from the DBM showed that the release of notice of cash allocations (NCAs) for 2022 increased by 7.76 percent to P4.42 trillion from P4.1 trillion in 2021.
Similarly, the utilization rate for NCAs improved to 98 percent from 96 percent in 2021.
Of the total NCAs last year, the government utilized P4.34 trillion while only P82.63 billion was unused during the period.
NCAs are disbursement orders by the DBM to government banks servicing the release of funds to agencies. State agencies are expected to use the NCAs to pay for the cash requirements of their programs and projects.
A higher utilization ratio indicates greater capacity of agencies to implement their programs and projects.
Nearly 70 percent of NCA releases were secured by line departments at P3.08 trillion. The remaining 30 percent or P1.34 trillion was allocated to government-owned and controlled corporations and local government units (LGUs).
Broken down, allotment to LGUs got the highest cash releases at P1.11 trillion. This covered internal revenue allotment, special shares and other transfers for LGUs.
The Department of Public Works and Highways (DPWH) and the Department of Education followed obtaining NCAs worth P725.73 billion and P641.75 billion last year, respectively.
Data showed that the DPWH used up 99 percent of its NCAs, while the DepEd spent 98 percent of its allocation.
The DBM said the Department of National Defense and the Department of Transportation used up all the NCAs it received last year at P322.37 billion and P69.13 billion, respectively.
Outside of the executive, the Judiciary, Commission on Audit, Office of the Ombudsman and the Commission on Human Rights remained consistent as they recorded 100 percent utilization rates anew.
Other agencies that posted above 90 percent utilization of their NCAs include the departments of Agrarian Reform, Agriculture, Environment and Natural Resources, Finance, Human Settlements and Urban Development, Interior and Local Government, Justice, Science and Technology, Social Welfare and Development, and Trade and Industry.
Also included are the Congress, Office of the Vice President, Civil Service Commission, and state universities and colleges.
On the other hand, the Department of Information and Communications Technology posted the worst utilization rate at 72 percent for the P7.33 billion in NCAs it obtained.
Likewise, the Department of Labor and Employment spent only 74 percent of its P63.8 billion, while the Commission on Elections depleted just 78 percent of its P25.72 billion.