Under proposed 2025 budget: Education, transport get increase; health, agriculture allotment down

MANILA, Philippines —  The education and transportation sectors are proposed to have higher budgets next year but the health and agriculture sectors may get lower allocation under the record P6.352 trillion National Expenditure Program (NEP) for 2025.

The Department of Budget and Management (DBM) will submit at 10 a.m. today the proposed P6.352-trillion 2025 budget to the House of Representatives as the Marcos administration moves to finance its priority programs and achieve its macroeconomic targets.

Based on the briefer on the 2025 NEP obtained by The STAR, the education sector will get the biggest chunk at P977.6 billion, up by a percentage from the P968.9 billion under the 2024 General Appropriations Act.

The sector includes the Department of Education, Commission on Higher Education, Technical Education and Skills Development Authority and state universities and colleges.

The Department of Public Works and Highways is proposed to have the second highest allocation at P900 billion but this is a 10 percent reduction from the agency’s P997.9 billion budget for 2024.

Similarly, the Department of Health, including the Philippine Health Insurance Corp., may get a 3.5 percent reduction at P297.6 billion from this year’s P308.3 billion.

The DBM earlier said the lower budget proposal has to do with the reduced allowances for healthcare workers and other healthcare needs as the country recovers from the COVID-19 pandemic.

The Department of the Interior and Local Government is seen getting a 5.9 percent boost in its 2025 budget at P278.4 billion from P263 billion allocation this year.

Likewise, the Department of National Defense is proposed to get P256.1 billion, up by 6.4 percent from P240.6 billion in the 2024 GAA.

On the other hand, data showed that the Department of Social Welfare and Development may get a 7.2 percent cut to P230.1 billion from P248.1 billion.

The combined budget proposal of the Department of Agriculture, its attached corporations as well as the Department of Agrarian Reform has been slashed by 4.7 percent to P211.3 billion versus this year’s GAA of P221.7 billion.

Notably, the Department of Transportation is proposed to more than double its allocation next year to P180.9 billion from its 2024 GAA of just P73.9 billion.

Completing the top 10 priority sectors are the Judiciary with P63.6 billion and the Department of Justice with P40.6 billion, both up from this year’s GAA.

According to the DBM, next year’s NEP was crafted to meet the objectives of the Philippine Development Plan 2023-2028 and support the administration’s goal of economic and social transformation.

“This budget builds on the gains of the first two years of the administration, sustaining momentum in pursuit of a prosperous, inclusive and resilient Philippines–where all Filipinos can fulfill their individual and shared aspirations,” the DBM said.

The record budget level proposed for next year is 10.1 percent above this year’s allocation of P5.768 trillion.

Next year’s budget is equivalent to 22 percent of the economy.