Finance Secretary Frederick Go delivers his speech during the Philippine Life Insurance Association Inc. (PLIA) induction event in Makati City on Friday (Jan. 30, 2026). Go said the economy’s macroeconomic fundamentals remain intact, fueling optimism that growth will return to track this year after last year’s slowdown. (PNA photo by Joann Villanueva)
The government is moving to inject fresh momentum into the economy, setting aside P1.4 billion in primary spending for the first quarter of 2026 as part of efforts to revive growth following a challenging year, Finance Secretary Frederick Go said on Friday.
The planned spending comes after the Philippine economy expanded by a slower 4.4 percent in 2025, easing from 5.7 percent the previous year.
Growth was weighed down by a combination of domestic setbacks, including the flood-control corruption scandal and weather-related disruptions, as well as lingering global economic uncertainties.
Speaking on the sidelines of the Philippine Life Insurance Association officers’ oath-taking ceremony in Makati City, Go said the government has begun coordinating closely with key agencies to ensure funds are released and spent promptly.
“It’s P1.4 billion for primary spending for the first quarter,” Go said, referring to expenditures excluding debt servicing.
According to the finance chief, discussions this week involved officials from the government’s five biggest spending agencies for the year — the Department of Education, Department of Public Works and Highways, Department of Health, Department of Transportation, and Department of Agriculture — underscoring the administration’s focus on sectors with the widest economic impact.
“I’m constantly coordinating with the DBM on the release of these funds because we need them to circulate in the economy,” Go said, stressing the importance of timely disbursements to stimulate activity on the ground.
Despite last year’s slowdown, Go sought to reassure the business community that the country’s economic foundation remains intact.
“None of the macroeconomic fundamentals have changed. So, we should get back on track this year,” he said.
The government is targeting economic growth of 5 percent to 6 percent in 2026, banking on stronger public spending, improved execution of projects, and more stable external conditions to help steer the economy back toward its medium-term trajectory.
