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Manila Bulletin devider Business devider Banking & Finance devider Marcos admin budget execution slows as farm, education funds stall

Marcos admin budget execution slows as farm, education funds stall

Published Aug 17, 2026 12:00 am  |  Updated Aug 15, 2026 03:51 pm
The national government’s fiscal budget rollout slowed through July as spending delays in agriculture and education offset rapid disbursements for public works and transportation.
According to data from the Department of Budget and Management (DBM), total allotment releases stood at 91 percent of the adjusted national budget as of end-July 2026.
As of end-July, the state has distributed ₱6.182 trillion of its total ₱6.793 trillion national budget for the year, higher in absolute terms than the ₱5.936 trillion released during the same period in 2025.
However, the overall momentum trailed the 93.8 percent release rate achieved a year ago.
Notably, the Department of Agriculture (DA) continued to be a primary bottleneck. Of its ₱163.3 billion adjusted program for 2026, the DA has released only ₱107.7 billion, or 66 percent of its allocation, a sharp decline from last year when the department had already utilized 96.2 percent of its budget.
Similarly, the Department of Education (DepEd) saw its release rate drop from 95.6 percent in 2025 to 86.5 percent this year. This translated into the release of ₱831.4 billion against its ₱961.1 billion adjusted allocation.
Consequently, the General Appropriations Act (GAA) rollout stood at 87.8 percent as of end-July, down from the 92.1 percent recorded a year ago. This slowdown was largely due to delays within executive departments, which saw their collective release rate fall to 91.4 percent from 95.3 percent last year.
Meanwhile, Special Purpose Funds (SPFs) maintained a steady pace, reaching a 69.2 percent release rate for their total adjusted allocation of ₱719.1 billion, comparable to the 69.4 percent recorded in July 2025.
Automatic appropriations also remained a steady anchor for fiscal activity, maintaining an 89.9 percent release rate.
Recall that the government has already fully released the National Tax Allotment (NTA)—which increased to ₱1.191 trillion in 2026 from ₱1.035 trillion in 2025—while block grants also achieved full release at nearly ₱94 billion. Funds for retirement and life insurance premiums (RLIP) totaled ₱83.1 billion to support personnel benefits.
Despite the broader slowdown, several key departments demonstrated high efficiency. The Department of Public Works and Highways (DPWH) reached a 99.5 percent release rate for its ₱530.1 billion adjusted allocation. The Department of Transportation (DOTr) improved its pace to 91.5 percent, up from 87.4 percent.
The Department of National Defense (DND) and the Department of Social Welfare and Development (DSWD) maintained strong release rates of 95.5 percent and 99 percent, respectively.
As of end-July, the government held an unreleased balance of ₱611 billion against its original 2026 program.

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