Palace flags underspending in gov't programs, says measures underway to address issue
Executive Secretary Ralph Recto meets with officials of key government agencies at Malacañan Palace on May 14, 2026 to discuss budget utilization issues to narrow the gap between disbursements and releases. (Photo courtesy of Office of the Executive Secretary)
Executive Secretary Ralph Recto said they have noted underspending while reviewing the progress of big-ticket programs implemented by government agencies.
"There are spots of underspending,, and these must be resolved immediately," Recto said, following a meeting with key government agencies on Thursday, May 14 at the Malacañan.
Recto, however, did not disclose further information on the "underspending."
The meeting was attended by five agencies, namely the Department of Agriculture (DA), Department of Transportation (DOTr), Department of Public Works and Highways (DPWH), Department of Education (DepEd), and Department of Budget and Management (DBM).
Recto said these are the agencies handling big-ticket programs.
During the meeting, they discussed budget utilization issues to narrow the gap between disbursements and releases.
According to the Executive Secretary, government-wide allocation releases programmed for the second quarter have so far reached P1.287 trillion.
He noted that "it is a must that the social good that this will fund be enjoyed by the people soonest."
Department officials, meanwhile, said new procurement rules that expedite project acquisition should be maximized to cut delivery delays.
Recto said, "there is a way that we can speed up the process without taking legal shortcuts. Red tape that causes paralysis without sacrificing transparency can be done away with."
“The President’s order is to fast-track priority programs to push economic growth against global headwinds,” he said.
In multiple Cabinet meetings, Marcos has urged his Cabinet to accelerate projects and programs with the highest multiplier effect, create jobs, and combat inflation, with a focus on food security.