President Duterte Ratifies P3.35 Trillion People’s Budget for 2017

President Rodrigo Roa Duterte signs into law on Thursday (Dec. 22) Republic Act No. 10924, or the General Appropriations Act (GAA) for Fiscal Year 2017.

This is the first budget under the Duterte Administration. The timely submission to Congress and the eventual passage of the national budget is credited to the dedicated men and women of the Department of Budget and Management, headed by Secretary Benjamin E. Diokno.

House Speaker Pantaleon Alvarez and Congressman Karlo Nograles, and Senate President Koko Pimentel and Senator Loren Legarda led the rigorous process of scrutiny and ensured the prompt approval of the People’s Budget. Anchored in the 10-Point Socieconomic Agenda of the President, the P3.35 trillion People’s Budget embodies the pro-people, pro-investment, pro-growth, and pro-development thrust of the Government.

A Pro-People, Pro-Development Budget The 2017 budget – so far the biggest annual budget assembled – empowers government agencies by funding expanded and improved social services that will lift Filipinos out of poverty. With P544.1 billion, the highest allocation out of all executive departments, the Department of Education (DepEd) will provide and maintain basic education facilities, create teaching and non-teaching positions as well as develop and provide learning resources to more than 20 million Filipino students­ in the country.

Deserving Filipinos will be given access to tertiary education through the P58.72 billion allocation for State Universities and Colleges (SUCs) and the P18.7 billion allocation for the Commission on Higher Education (CHED). The 2017 budget targets to attain real change for the Filipinos – change that can be felt by ordinary citizens. As such, the Department of Social Welfare and Development (DSWD) is granted P128.3 billion, a significant portion of which is for the Conditional Cash Transfer (CCT) program and monthly rice subsidy for impoverished households.

The Department of Health is given a sizeable allocation of P96.3 billion to provide the marginalized sector with new and modernized health facilities and expanded health services. Meanwhile, the Philippine Health Insurance Corporation (PhilHealth) is provided with P53.22 billion to fund the universal healthcare program that will address the Filipino people’s need for quality health service. The Duterte Administration understands the significance of empowering Local Government Units (LGUs).

Thus, aside from close to half-trillion (P486.9 billion) Internal Revenue Allotment (IRA), local governments are provided with additional transfers such as the Local Government Support Fund. The Department of Interior and Local Government through a P148.0 billion budget for 2017 will assist in the country’s efforts against illegal drugs, construct new jail facilities, and increase the allowance for prisoners. To improve peace and order in the country, the 2017 budget allocates the Department of National Defense (DND) the amount of P137.2 billion for territorial defense, the Armed Forces of the Philippines (AFP) Modernization Program, and security and stability services. A Pro-Growth, Pro-Investment Budget A reflection of the country’s economic vigor, public infrastructure is a top priority of the Duterte Administration.

Thus, the 2017 budget provides the Department of Public Works and Highways (DPWH) with P454.7 billion and the Department of Transportation (DoTr) with P53.3 billion, increasing their department budgets by 18.3 percent and 25.0 percent compared to 2016 allocations, respectively. The sizeable increase in both departments along with more than P850 billion allotment for the construction of road networks in cities and provinces, school buildings, hospitals, transport infrastructure, and many other public works will raise productivity, generate jobs, and attract investments.

It will also facilitate the conduct of business and improve the mobility of people and accessibility of basic services. Through the People’s Budget, farmers will no longer have to pay irrigation fees. These fees will be shouldered by the National Irrigation Authority which is granted P38.4 billion for 2017. P45.2 billion is given to the Department of Agriculture (DA) while the Department of Agrarian Reform (DAR) is provided with P9.8 billion. The two departments will intensify their support to Agrarian Reform Communities (ARC) and non-ARC and redistribute agricultural lands to farmers.

The Government will also grant crop insurance to 1.3 million subsistence farmers and fisher folks to minimize damages from typhoons and other natural calamities. Programs for climate change adaptation, improvement of harvest productivity, research and development, market development, and construction of farm-to-market roads will be funded to improve the lives of Filipino farmers. A budget for real change, the 2017 People’s Budget represents the bold plans of the Duterte Administration for the Philippines.

With it, the Government pledges to reach the poorest of the poor to create a significant difference in the daily life of ordinary citizens. (DBM)