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Marcos vetoes P92.5-B items in 2026 budget

Published Jan 5, 2026 11:10 am  |  Updated Jan 5, 2026 02:10 pm
President Ferdinand R. Marcos Jr. signs the P6.793-T General Appropriations Act for 2026 on Jan. 5, 2026. (RTVM)
President Ferdinand R. Marcos Jr. signs the P6.793-T General Appropriations Act for 2026 on Jan. 5, 2026. (RTVM)
Stressing that unprogrammed appropriations (UA) are not 'blank checks,' President Marcos has vetoed almost P92.5 billion in the 2026 national budget which he signed on Monday, Jan. 5.
"[T]o ensure that public funds are expended in clear service of national interest, I vetoed several items of appropriations with their purposes and corresponding special provisions under the UA, totaling almost P92.5 billion," Marcos announced during the ceremonial signing of the P6.793-trillion national budget for 2026.
He said he pushed it to "absolute bare minimum," making the unprogrammed funds its lowest since 2019.
"We acknowledge the support of Congress in limiting the unprogrammed appropriations to essential needs. However, I push further and reduce it to the absolute bare minimum. This shall be at the level lowest since 2019," Marcos said.
The President stressed that the move aims to prevent the unprogrammed funds to be misused or treated as a "backdoor for discretionary spending."
"Let me be clear: the unprogrammed appropriations are not blank checks. We will not allow the unprogrammed appropriations to be misused or treated as a backdoor for discretionary spending," he said.
"Its utilization is provided with safeguards and is only available when clearly defined triggers and tests are met and will be released only after careful validation," he added.
In vetoing the P92.5 billion, the Chief Executive directed all concerned departments of the national government "to exercise prudent fiscal management to ensure an interrupted quality public service."
He also assured the public that his administration will "enforce these safaguards without exceptions to serve the public interest and to advance our national development goals."
"We will make releases charged from the UA transparent, providing the necessary details on the funding source and the corresponding purpose," Marcos said.
The President also acknowledged that the 2025 General Appropriations Act (GAA) was deemed re-enacted and remained in force in effect until January 4, 2026.
"In this regard, the DBM shall consider the expenditures lawfully incurred under the re-enacted budget in formulating its fund release for the guidelines of fiscal year 2026," he said.

Vetoed items

Executive Secretary Ralph Recto said there are roughly 10 items under the UA.
Items vetoed by the President were P6,895,000 budgetary support to government-owned or-controlled corporations (GOCCs); P4.320-billion fiscal support to Comprehensive Automotive Resurgence Strategy program; P2-billion insurance for government assets; P14-million prior years local government unit shares; P250,000 Revitalizing the Automotive Industry for Competitiveness Enhancement program; P35,769,000 for Government of the Philippines counterpart for Foreign Assisted Projects; P43,245,000 payments of PS requirements under government agencies; P80-billion Strengthening Assistance for Government Infrastructure and Social Programs (SAGIP); P210-million Nampedai property; P6.7-billion public health emergency benefits; P2-billion Marawi Siege Victims Compensation under the NEP.
According to Recto, the remaining items under the UA are P97,305,000 for Support to Foreign Assisted Projects; P50-billion Revised Armed Forces of the Philippines (AFP) Modernization Program; and P3.6-billion Risk Management Program.
Recto also expressed confidence that despite the vetoed items, no programs would be stalled.
"Wala naman, wala akong nakikita. Dahil unang una, sa tingin ko, walang excess revenue na ganoon kalaki. Kaya kahit na ilista pa natin 'yan sa UA, palagay ko sapat an yung makokolekta lang natin para sa program. Walang masyadong excess revenue, kaya hindi na kailangan yan sa unprogrammed funds (Nothing, I do not see any. First of all, in my view, there is no excess revenue of that magnitude. So even if we include that in the UA, I believe what we will be able to collect will only be enough for the program. There isn’t much excess revenue, so there is no need to include it under unprogrammed funds," Recto said.
He further explained that the government will not be able to generate a very large amount of excess revenue because revenue targets were already high.
The national budget is enacted as the Republic Act (R.A.) No. 12314. According to Malacañang, it reflects the Marcos administration’s commitment to fiscal discipline, integrity, and inclusive growth.
It was signed later than expected after going through thorough review by the Executive Branch.

Related Tags

President Marcos 2026 national budget Unprogrammed funds
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