Government subsidies to state-run firms decreased by 10.2 percent to ₱37.1 billion in the first four months of 2025, compared to ₱47.3 billion in the same period a year ago, as the Marcos administration scaled back funding for major non-financial and financial government-owned and controlled corporations (GOCCs).

Data from the Bureau of the Treasury (BTr) showed that the double-digit decline in subsidies was driven by reduced funding support for major state-owned non-financial and financial corporations.

Subsidies for major non-financial corporations shrank by 42.1 percent to ₱17.9 billion in the four-month period, compared to ₱31 billion in the previous year. It made up 48.2 percent of the year-to-date subsidies.

Subsidies for the National Irrigation Administration (NIA), which accounted for 65.9 percent of the total support for major non-financial firms, fell sharply by 45.7 percent to ₱11.8 billion from ₱21.7 billion.

Notably, the support NIA received for the first four months was about the same amount it had received in April alone last year at ₱11.4 billion. The NIA is primarily responsible for developing and managing irrigation systems to support the country’s agricultural sector.

Government subsidies for the National Housing Authority (NHA) also decreased by 19.8 percent to ₱3 billion from ₱3.74 billion a year earlier.

During the period, government financial institutions (GFIs) only received ₱509 million, marking a significant 80.3 percent drop from ₱2.6 billion last year. Subsidies to GFIs accounted for 1.4 percent of the total for the January–April period.

Meanwhile, other GOCCs, which accounted for over half of the end-April subsidies, posted a 35.9-percent increase to ₱18.7 billion from ₱13.8 billion a year ago.

The Bases Conversion and Development Authority (BCDA) received ₱1.9 billion during the period. The government gave zero subsidy to the agency last year.

Additionally, the Philippine Crop Insurance Corporation (PCIC), which was not in the list last year, benefited from the ₱2.3 billion provided by the government in the first four months.

It can be recalled that the Marcos administration’s subsidies to GOCCs last year were the lowest in six years.

GOCCs received a total of ₱138.8 billion in state subsidies from January to December 2024, a 15-percent drop compared to ₱163.5 billion in 2023. The 2024 full-year subsidy figure was the lowest since 2018’s ₱136.7 billion.

It was also significantly lower than the peak of over ₱229 billion in 2020—at the onset of the Covid-19 pandemic, when the national government provided wage subsidies to workers in severely affected small businesses and distributed cash aid to vulnerable sectors during the peak of the strictest lockdown to contain the deadly virus.

During the current Marcos administration, last year’s subsidies were the lowest annual support to GOCCs to date.