DBCC Proposes P6.793 Trillion National Budget for FY 2026
MANILA, Philippines — The Development Budget Coordination Committee (DBCC) is targeting a P6.793 trillion national budget for fiscal year (FY) 2026. This proposed budget corresponds to 22.0 percent of the country’s gross domestic product, marking a 7.4 percent increase from the FY 2025 allocation of P6.326 trillion, local sources said.
Budget Secretary Amenah Pangandaman, who chairs the DBCC, highlighted the budget’s strong focus on human capital development. “Anchored on the theme, Nurturing Future-Ready Generations to Achieve the Full Potential of the Nation, the FY 2026 National Budget prioritizes investments in quality education, healthcare, and workforce upskilling,” she explained during a press briefing after the 191st DBCC meeting.
Key Priorities in the Proposed National Budget
The budget will also continue supporting the Build Better More Infrastructure Program and digital transformation efforts. These initiatives remain fully aligned with the Philippine Development Plan (PDP) 2023–2028, she added. Further emphasis will be placed on strengthening climate and disaster resilience, enhancing social protection frameworks, and advancing the devolution of basic services to local government units.
Proposals for the Three-Year Rolling Infrastructure Program and Program Convergence Budgeting received priority consideration, according to budget management officials. Despite receiving agency budget requests totaling P10.101 trillion, the DBM had to make careful cuts due to limited fiscal space and the government’s goal to gradually reduce the fiscal deficit over the medium term.
Fiscal Discipline and Efficient Fund Utilization
“With limited resources, we focused on prioritizing programs and projects that deliver measurable impact, align with national goals, and are ready for implementation,” Pangandaman said. She also emphasized that agencies’ absorptive capacity was thoroughly evaluated to ensure funds will be effectively utilized.
The proposed FY 2026 National Expenditure Program is scheduled for submission to Congress in August, local officials confirmed. This step is crucial to securing legislative approval and ensuring the budget aligns with the country’s medium-term development plans.
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