As government agencies aggressively push for numerous projects and programs, the Department of Budget and Management (DBM) reported on Monday, May 19, that budget proposals for next year have ballooned to ₱11 trillion, surpassing this year’s ₱9.2 trillion worth of funding requests.

Many agencies are seeking budget increases of 200 to 300 percent based on current submissions, though proposals are still being finalized with only three bureaus having completed theirs so far.

“Based on the overall budget submissions, many agencies are requesting increases of 200 to 300 percent. The agency is looking at an approximate total of around ₱11 trillion,” DBM Undersecretary Goddes Hope Libiran told reporters on the sidelines of the Open Government Week’s opening ceremony.

This ₱11 trillion remains an estimate as submissions are now closing, and agencies may still send in updates, Libiran noted.

Libiran also clarified that the estimated total for 2026 includes proposals from both Tier 1 and Tier 2 agencies, exceeding last year’s estimate of ₱9.2 trillion for 2025.

After the budget proposals reach the review board, Libiran said the government will budget based on available fiscal space set by the interagency Development Budget Coordination Committee (DBCC).

According to Libiran, the DBM determines which proposals align with the medium-term fiscal framework and the administration’s priorities.

The agency also assesses which proposals are ready for implementation. “If we include their proposals in the National Expenditure Program (NEP), wouldn’t the budget be wasted? Are they capable of implementing them? That’s the process we are currently going through,” Libiran said.

Libiran attributed the over ₱2-trillion increase to the bulk of agencies having several projects they want to implement. “For example, the AFP [Armed Forces of the Philippines] increased its request for the modernization program, and other agencies did the same.”

Government agencies probably inflated their proposals, knowing that not all of them will actually be approved, she added.

“The budget allocation for each agency will depend on the available fiscal space,” Libiran said.

Agencies prepare forward estimates—the current costs of their ongoing programs and projects—and submit these during the Tier 1 stage of the two-tier budget approval process.

After consulting with civil society organizations (CSOs), regional development councils, and other agencies, government departments prepare proposals for new programs or the expansion of existing ones. They then submit both their Tier 1 and Tier 2 budget proposals through the Online Submission of Budget Documents System.