The Department of Finance (DOF) has requested that two government agencies, known for their inadequate spending performance, submit their catch-up strategies for the second half of the year. During the Chat with SBED last Friday, July 28, Finance Secretary Benjamin E. Diokno said the Department of Information and Communications Technology (DICT) and the Department of Transportation (DOTr) have the lowest spending efficiency. “We held a meeting before we left for Malaysia and we talked to the agencies and asked them to come up with their catch-up plans,” Diokno told reporters. “The problem there is they are underspending right? So, while their budget has increased significantly this year, they are still not spending as planned, so we expect them to come up with a catch plan,” he added. Diokno's disclosure follows the release of a report by the Bureau of the Treasury, which revealed that the Marcos administration spent less than originally intended from January to June, leading to a reduced budget deficit. This anemic government expenditure occurred despite the absence of revenue challenges in the first semester. When asked about the reasons behind the underspending, Diokno explained that it can be attributed to the initial challenges and adjustments, or “birth pains” faced by the DICT and DOTr as they entered their second year in office. However, Diokno remains positive about the DICT and DOTr's ability to recover from their underwhelming spending performance, despite the inclement weather during the second semester of the year. The DOTr and DICT are responsible for the implementation of numerous government infrastructure projects that are highly dependent on favorable weather conditions. “The weather is crazy, right? But they are forecasting El Niño so that's dry season, so we're still optimistic that they'll be able to catch up,” Diokno said. Based on the Treasury report, the government’s fiscal deficit was P551.7 billion in the first semester, significantly lower than the set ceiling of P771.5 billion. According to the Treasury, the lower deficit was mainly attributed to reduced government expenditures of P2.412 trillion. That was 6.6 percent below compared to the planned spending of P2.582 trillion. However, the government had no trouble with revenue in the first semester, as it collected P1.86 trillion, exceeding the target of P1.811 trillion by 2.7 percent. “I'm worried that we're not meeting our expenditure target, okay? I'm not happy with the smaller deficit,” Diokno said.