MANILA – President Ferdinand R. Marcos Jr. has signed into law the ₱6.793-trillion national budget for 2026, vetoing ₱92.5 billion worth of items under Unprogrammed Appropriations in a move aimed at strengthening fiscal discipline and safeguarding public funds.
The signing of Republic Act No. 12314, or the General Appropriations Act (GAA) of 2026, took place at Malacañan Palace on Monday.
In his address, Marcos said the trials of 2025—marked by climate-related disruptions, economic uncertainty, and the exposure of corruption—underscored the urgency of long-overdue reforms.
“The year 2025 tested our nation on many fronts. These challenges were painful, but they also made one thing clear: real change could no longer wait,” the President said.
He described the 2026 budget as a turning point for governance reforms and the rebuilding of public trust.
“As we enter this year, we must take the opportunity to move forward with difficult but necessary reforms in governance, rebuild trust, and deliver an honest and effective government to the Filipino people,” Marcos added.
Education received the largest share of the budget at ₱1.345 trillion. The allocation will support the creation of teaching and non-teaching plantilla positions, teacher promotion and reclassification, and the construction of classrooms nationwide.
“The national budget shall sustain our momentum in education reform,” the President said.
The health sector was granted its highest allocation to date at ₱448.125 billion to further advance universal healthcare. Funding covers the Department of Health’s Universal Health Care Fund, the Zero Balance Billing program, disease surveillance, rapid response mechanisms, and sustainable health financing.
“This will ensure that quality and affordable health care is available to every Filipino,” Marcos said.
Nearly ₱129.8 billion was earmarked to strengthen the Philippine Health Insurance Corp. (PhilHealth), including ₱60 billion restored in compliance with a Supreme Court ruling, aimed at reducing out-of-pocket medical expenses for Filipino families.
Agriculture was allocated ₱297.102 billion to modernize supply systems, support farmers and fisherfolk, and expand farm-to-market roads.
“Critical investments in farm-to-market roads will connect farming communities to economic hubs, lower transportation costs, and reduce post-harvest losses,” Marcos said.
Social services received ₱270.189 billion to address structural vulnerabilities and promote inclusive growth, with the administration targeting a single-digit poverty rate by 2028.
The 2026 GAA also increases allocations for local government units, strengthens the Local Government Support Fund, and sets aside ₱15.33 billion for disaster rehabilitation and reconstruction under the National Disaster Risk Reduction and Management Fund.
Funding for military and uniformed personnel was retained, including adjustments in base pay and higher subsistence allowances.
Marcos emphasized that unprogrammed appropriations “are not blank checks,” warning against their misuse.
“We will not allow unprogrammed appropriations to be treated as a back door for discretionary spending,” he said, noting that safeguards will be strictly enforced and fund releases made transparent.
The President said he vetoed unprogrammed items totaling nearly ₱92.5 billion as part of his constitutional duty to ensure the prudent and responsible use of public funds.
— NPO News Team | PNA-PR
