BEYOND BUDGET
Assalamu alaikum wa Raḥmatullahi wa Barakatuh.
I am glad to share that on March 6, 2025, we, at the Department of Budget and Management (DBM), along with various government agencies, launched an initiative that synergizes efforts to make every centavo in our government coffers work harder and smarter — the ceremonial signing of the DBM-National Economic and Development Authority (NEDA) Joint Memorandum Circular (JMC) that strengthens the Program Convergence Budgeting (PCB) approach in the budget process. I believe this is a turning point, where we are not only aligning our resources, but more importantly, our collective efforts to serve the Filipino people better.
The PCB approach
In 2012, the DBM pioneered the PCB approach, an innovative, whole-of-government methodology that fosters collaboration among agencies in implementing programs and projects. It enables government agencies to work together, ensuring consistency in program targets, beneficiaries, focus areas, implementation timelines, and resource requirements, guided by a unified Master Plan or roadmap. Ultimately, it strengthens government coordination to align initiatives that drive the country’s development goals more effectively. It also opens opportunities for partnerships with development groups and the private sector, our partners.
Over the past 12 years, we have successfully implemented several PCB projects, including the biggest inter-agency initiative on disaster response — the Risk Resiliency Program. Meanwhile, in 2023, we digitalized the submission of PCB proposals, aligned with the administration’s thrust to enhance bureaucratic efficiency.
Also in 2023, during the 14th Cabinet meeting, President Ferdinand R. Marcos, Jr. (PBBM) directed all departments and agencies to coordinate with the DBM for the rationalization of similar, overlapping, and redundant programs and projects.
Consequently, at a sectoral meeting held on Aug. 27, 2024, PBBM approved the DBM’s proposal for an interagency council responsible for the PCB approach for livelihood and employment programs in the country. This aims to avoid identical efforts, thereby increasing responsiveness to our people’s needs. As the President emphasized, “What we are trying to do is to cut out the duplications...I know there is a need for this. It’s just a question of getting it right.”
Institutionalizing PCB
In response to PBBM’s directive, and through the ceremonial signing, we have institutionalized the PCB strategy in the budget process to promote the efficient and effective allocation and management of fiscal resources.
With this, we have also established the PCB Steering Committee (PCB-SC), the oversight body that will guarantee the coordinated and synergized implementation of the PCB programs, which the brilliant NEDA, now Department of Economy, Planning and Development (DEPDev), Secretary Arsenio Balisacan chair, with DBM as co-chair.
Specifically, the PCB-SC will identify and approve PCB proposals based on the government’s overarching plan and priorities and monitor the implementation of existing PCB programs, among others, to further improve the planning-programming-budgeting continuum and compliance of government agencies.
I agree with Secretary Balisacan that, “By tightening the links between planning, programming, and budgeting, PCB plays a critical role in ensuring that scarce public resources are effectively allocated toward programs, activities, and projects (PAPs) that align closely with the President's socioeconomic agenda and with our national development strategies and goals as outlined in the Philippine Development Plan (PDP) 2023-2028.”
It is worth noting that the PCB approach is not merely procedural. By bringing together programs and initiatives from across different government units, we are creating a unified and cohesive plan to address the needs of our people — seeking concrete actions to break down silos, ensure efficient budget allocation, and effectively rationalize overlapping and redundant PAPs.
PCB programs
Looking ahead, we have identified more than 10 PCB programs for the proposed fiscal year (FY) 2026 National Budget, with several key programs already in motion. Among these are the PCB on Livelihood and Employment, the Water Resources Program, and the PCB on the Sustainable Development Goals, which were initiated during the FY 2025 budget preparation.
On the DBM's part, we are enthusiastic about the new PCB program we will undertake under the Proposed FY 2026 National Budget — the PCB on Philippine Public Financial Management (PFM) Systems. Rest assured that we in the DBM are deeply committed to maximizing this initiative to its full potential. We will continue to work closely with our partners to make sure that all PFM systems and policies are digitalized and harmonized, guided by the Philippine PFM Reforms Roadmap 2023-2028.
With this, allow me to express my gratitude to all participating agencies and stakeholders who have worked tirelessly to bring these PCB programs to fruition. Your collaboration and dedication are what make this possible. I also deeply appreciate the President's unwavering support for DBM’s initiatives.
Beyond budget, the signing of the JMC on PCB marks a milestone in our pursuit of more efficient, transparent, and open governance, which not only enhances the government’s ability to fulfill the needs and aspirations of the Filipino people but strengthens our resolve to work together as one unified government.
The institutionalization of the PCB approach is now the cornerstone of our program development and execution. Hence, I encourage everyone to continue working together with unwavering commitment toward our strategic vision for a Bagong Pilipinas marked by unity, progress, and good governance.
(Amenah F. Pangandaman is the Secretary of the Department of Budget and Management.)