Government releases 95 percent of 2023 budget

MANILA, Philippines — The government has released P5.02 trillion or 95 percent of the record P5.268- trillion allocation as of end-August, with state agencies needing to ramp up spending for the remainder of the year, according to the Department of Budget and Management (DBM).

The DBM released a total of P3.41 trillion under the 2023 General Appropriations Act (GAA). This is 93 percent of the total P3.66 trillion financing.

Under the 2023 GAA, no additional releases were made to departments in August as it remained at 97.1 percent or P3.05 trillion of the P3.14 trillion for departments.

In terms of special purpose funds, releases increased to 68.1 percent or P351.55 billion out of the P516.55 billion.

On the other hand, releases for automatic appropriations also went up and reached 84.6 percent or P1.36 trillion of the P1.61 trillion aggregate funding.

For August alone, additional release was made for interest payments as it increased to 59.4 percent at P346 billion out of the P582.32 billion earmarked for the specific item.

Likewise, additional funds for net lending were issued, improving to 57.3 percent to P16.44 billion as of end-August.  Total allocation is at P28.7 billion.

The DBM also issued an additional P887.52 million to cover the benefits of new hires on top of the entire P64.2 billion in retirement and life insurance premiums of state workers, which was already fully released in January.

Earlier this year, the DBM fully released allocations for the national tax allotment (P820.27 billion), block grants (P64.76 billion) and pensions of former presidents or their widows (P480,000).

Releases for the tax expenditure fund were also completed at P14.5 billion in July.

Releases for the special account in the general fund at P32.17 billion were also completed. The amount includes the P10 billion for the implementation of the Rice Competitiveness Enhancement Program.

The DBM recorded P255.31 billion in other releases as of end-August. The bulk of that at P211.07 billion went to unprogrammed appropriations.

Broken down, P192.13 billion was meant to support foreign-assisted projects of the Departments of Agrarian Reform, Agriculture, Finance, Health, Labor and Employment, Public Works and Highways, Transportation, and Social Welfare and Development.

Another P13.19 billion was earmarked for the National Food Authority while the remaining P5.74 billion was allotted for infrastructure projects and social programs of the social welfare department.