Manila Times

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Sunday, Jun 15, 2025

Philippines Releases P5.72 Trillion from 2025 Budget Amid Increased Program Implementation

Government budget releases reflect a significant 90.4% of the total allocation as state agencies enhance various initiatives.
The Philippine government has released P5.72 trillion from its 2025 budget as of the end of May, accounting for 90.4% of the record P6.326 trillion allocation for the year.

This figure marks an increase from the 88.7% budget releases recorded during the same timeframe in the previous year.

According to the latest data from the Department of Budget and Management (DBM), P3.76 trillion has been allocated under the 2025 General Appropriations Act (GAA), which represents 89.2% of the total financing of P4.21 trillion.

Notably, the DBM has disbursed 93.7% of the funds allocated for departments, totaling P3.45 trillion out of P3.69 trillion.

For special purpose funds, the releases have risen to nearly 58%, with P306.48 billion distributed from the P529.6 billion allocation.

Automatic appropriations have reached 90%, equating to P1.9 trillion out of a total of P2.12 trillion.

In May, the government did not issue additional funds for net lending, maintaining the figure at P21.53 billion, which is 75% of the total P28.7 billion earmarked for this purpose.

Similarly, interest payments remain at 75%, totaling P636.02 billion out of P848 billion.

Prior to May, the DBM had fully released P1.03 trillion for the national tax allotment, P83.42 billion for the block grant, and P480,000 allocated for pension payments to former presidents or their widows.

Additionally, the full amount of P37.35 billion was allocated from the special account in the general fund, along with P14.5 billion designated for the tax expenditure fund.

The agency also released the entire P68.55 billion for the retirement and life insurance premiums of state employees as of January, and incrementally added P7.32 billion in extra funds last month.

Furthermore, as of May, the DBM recorded P60.56 billion in other budgetary releases, with approximately 60%, or P35.46 billion, directed towards other automatic appropriations.

An additional P13.28 billion was allocated for unprogrammed appropriations.

These appropriations allow for standby authority to incur additional obligations for priority programs or projects when revenue collections exceed targets or when additional grants or foreign funds are acquired.

Of the total unprogrammed appropriations, P7 billion is earmarked to support foreign-assisted projects in the Departments of Agrarian Reform, Finance, Health, and Transportation, as well as the Metropolitan Manila Development Authority and the Philippine Competition Commission.

The remaining P6.27 billion has been set aside as budgetary support for the National Food Authority.
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