Marcos' economic team holds press briefing on 2025 national budget
Short Summary:
The press briefing covers the recently signed ₱6.326 trillion 2025 Philippine National Budget. Key discussion points include the budget's alignment with the administration's socioeconomic agenda, revenue projections exceeding targets, the President's vetoes of certain line items (particularly ₱26 billion from the Department of Public Works and Highways), and the conditional implementation of several programs. The implications involve ensuring fiscal responsibility while prioritizing investments in education, health, and infrastructure to stimulate economic growth and reduce poverty. The detailed budget review process, involving the executive branch, Congress, and the President's veto power, is highlighted.
Detailed Summary:
The press briefing begins with an announcement of the President's signing of the ₱6.326 trillion 2025 National Budget. Finance Secretary Diokno emphasizes the budget's role in driving economic growth and improving the lives of Filipinos. He highlights the strong fiscal performance in 2024, exceeding revenue targets and reaching the highest revenue-to-GDP ratio in 27 years. He assures continued efforts to reduce the deficit and debt while creating jobs and decreasing poverty.
Budget and Management Secretary Pangandaman expresses gratitude for the President's involvement in reviewing the budget, preventing a reenacted budget. She explains the process of budget creation, emphasizing Congress's role and the President's veto power to align the budget with the administration's agenda. Specific examples include significant reductions in unprogrammed appropriations. A key phrase is the "agenda for Prosperity."
NEDA Secretary Balisacan praises Congress's efforts and highlights the budget's alignment with the Philippine Development Plan (PDP) 2023-2028, prioritizing social services and infrastructure. He emphasizes the President's judicious use of veto power to ensure fiscal responsibility and maximize benefits for the most vulnerable. The collaborative effort between the executive and legislative branches is stressed, with 2025 seen as a pivotal year for assessment and recalibration.
DPWH Secretary Bonoan expresses gratitude for the allocated budget and commits to using funds wisely and transparently to deliver quality infrastructure. He acknowledges potential challenges and the lessons learned from previous years. He reiterates the commitment to supporting the "Bong Pilipinas" agenda.
The Q&A session addresses several key issues:
- Vetoes: Significant vetoes, particularly in DPWH (₱26 billion), are explained as relating to projects not aligned with the socioeconomic agenda or not ready for implementation. Unprogrammed appropriations (initially ₱168 billion, reduced to align with the 5% standard) are also discussed.
- Education vs. Public Works: Clarifications are given regarding the budget allocations for education and public works, with the education sector receiving approximately ₱1.053 trillion.
- Conditional Implementation: The conditional implementation of programs like the AICS (Auda saak kapos Anita program) is explained, requiring the issuance of guidelines before implementation.
- PhilHealth: The zero subsidy for PhilHealth is justified by the agency's existing resources and surplus funds. A focus on optimizing spending on the top 10 illnesses is proposed.
- Defense Spending: Reductions in the AFP modernization budget are explained due to fiscal constraints.
- Budget Process: The process of budget creation, from the National Expenditure Program (NEP) to the General Appropriations Act (GAA), is explained, highlighting the roles of the executive and legislative branches.
The briefing concludes with a closing statement emphasizing the importance of the budget and the collaborative efforts between the government branches. The executive secretary expresses confidence in the budget's legality, acknowledging the possibility of legal challenges but emphasizing the government's diligent work.