Gatchalian says 2026 budget could run without unprogrammed funds

Senator Sherwin Gatchalian speaking during a Senate committee meeting, wearing a traditional barong Tagalog and gesturing while addressing his colleagues.

Photo courtesy of Senator Win Gatchalian/Facebook.

Senator Sherwin Gatchalian said that the 2026 national budget’s unprogrammed funds could have been fully removed if addressed at the start of the budget planning process.

The Senate finance committee chair explained that attempting to slash the allocations late in the process would disrupt other government projects and ongoing programs.

He noted that while technically possible, removing such a large amount required careful planning from the very beginning during the preparation of the National Expenditure Program, and could not simply be eliminated at the final stage.

Gatchalian added that the original unprogrammed funds totaled P247 billion, and shifting them to programmed allocations would have affected multiple projects, creating significant challenges in implementation.

During the ceremonial signing of the P6.793-trillion national budget, President Ferdinand Marcos Jr. said he vetoed around P92.5 billion in unprogrammed appropriations to limit discretionary spending.

The President explained that the move reduced unprogrammed funds to the lowest level since 2019, ensuring that public money is spent directly on clear national priorities.

Executive Secretary Ralph Recto said only three items remain under unprogrammed appropriations: support for foreign-assisted projects worth P97.3 billion, the revised AFP Modernization Program at P50 billion, and the Risk Management Program totaling P3.6 billion.

Gatchalian emphasized that careful early planning is essential to managing unprogrammed funds without compromising essential government programs, stressing the importance of foresight in budget preparation.

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