Economic team sets 2026 national budget at P6.793 trillion
The Marcos administration's economic team, sitting as the Development Budget Coordination Committee (DBCC), has set the state expenditure's plan for next year at P6.793 trillion.
The DBCC, chaired by Budget Secretary Amenah Pangandaman, approved the proposed fiscal year 2026 national budget ceiling, which was far slimmer than the total budget proposals received by the Department of Budget and Management (DBM).
Pangandaman said the DBM received budget proposals totaling P10.101 trillion for next year.
However, she said that given the limited fiscal space and the government's commitment to gradually reduce the fiscal deficit over the medium term, 'the DBM undertook a rigorous evaluation process.'
'With limited resources, we focused on prioritizing programs and projects that deliver measurable impact, aligned with our national goals, and are ready for implementation. We also carefully evaluated agencies' absorptive capacity to ensure effective utilization of funds,' the Budget chief said.
The approved P6.793-trillion proposed budget for 2026 is 7.4% higher than the actual 2025 budget of P6.326 trillion.
'Anchored on the theme, Nurturing Future-Ready Generations to Achieve the Full Potential of the Nation, the FY 2026 National Budget prioritizes human capital development by prioritizing investments in quality education, healthcare, and workforce upskilling,' Pangandaman said.
'Complementing these are continued investments in the Build Better More Infrastructure Program and digital transformation, still aligned with the Philippine Development Plan (PDP) 2023–2028,' she added.
The Budget chief said the proposed 2026 expenditure program further integrates key measures to enhance climate and disaster resilience, reinforce social protection systems, and deepen the devolution of basic services to local government units.
Proposals under the 'Three-Year Rolling Infrastructure Program (TRIP) and the Program Convergence Budgeting (PCB)' framework were also given priority, according to Pangandaman.
'By nurturing future-ready generations through coordinated policy implementation and strategic investments, the government is committed to reducing poverty to single-digit levels, creating quality jobs, safeguarding macroeconomic stability, and ultimately achieving our Agenda for Prosperity in the Bagong Pilipinas—even amidst global uncertainties,' she said.
Pangandaman earlier said the proposed 2026 National Expenditure Program (NEP), which will become next year's General Appropriations Act (GAA), is targeted to be submitted to Congress 'two weeks after SONA (State of the Nation Address).'
President Ferdinand 'Bongbong' Marcos Jr.'s fourth SONA —his annual address to the nation to a joint session of House of Representatives and Senate— is on July 28, 2025.
Under the Constitution, the proposed national budget for the following year must be submitted to Congress no later than 30 days after the SONA
The Constitution also dictates that the state shall allocate the highest budgetary priority to the education sector. — RSJ, GMA Integrated News
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