Marcos explains vetoed items in 2025 budget

MANILA, Philippines — More than 180 public works projects and 15 unprogrammed appropriations were scrapped from the 2025 national budget as President Marcos exercised his power to veto items in the spending law.

In his veto message for the 2025 budget, Marcos said he was duty-bound to veto items that were not consistent with the administration’s priorities as he emphasized the need to ensure that government targets would respond more directly to the needs of Filipinos.

“We must be clearly driven by this goal because much as we want to do everything we wish for our people immediately and all at the same time, our finite resources compel us to exercise sound judgment to ensure our fiscal sustainability – we must not compromise our future, thus the imperative need to program our priorities,” the President said in a letter addressed to the House of Representatives and the Senate.

The vetoed public works projects – including numerous flood control structures – had an allocation of more than P26 billion and formed part of the P194 billion worth of budgetary items rejected by Marcos.

The rest of the vetoed items were unprogrammed allocations worth P168.24 billion.

The public works projects that were excluded from the P6.326 trillion national budget include those categorized as construction and maintenance of flood mitigation structures and drainage systems (P4.585 billion), construction and rehabilitation of flood mitigation facilities within major river basins and principal rivers (P2.888 billion) and convergence and special support program (P18.042 billion).

Earlier, Department of Public Works and Highways Secretary Manuel Bonoan admitted that some projects need to be scrutinized further before they are implemented.

“These are some of the projects that are not ready for implementation at this point in time. So, these are projects that we have actually deferred,” he said at a recent press briefing without identifying the particular projects.

Data attached to Marcos’ veto message showed that the allocations were supposed to fund more than 180 public works projects in Metro Manila, Ilocos, Cagayan, Central Luzon, CALABARZON, MIMAROPA, Bicol, Western Visayas, Eastern Visayas, Northern Mindanao, Davao and Caraga regions.

In vetoing 15 unprogrammed appropriations, Marcos said expenditures should generally be within the parameters of programmed resources as envisioned by fiscal planners.

Vetoed were unprogrammed appropriations labeled as priority programs for health including Health Facilities Enhancement Program, social welfare and development, higher education and technical and vocational education and other social programs (P76.99 billion); Rice Competitiveness Enhancement Fund (P5 billion); Asset Preservation Program (P10 billion) for payment of right-of-way (P7.5 billion); pre-feasibility studies and preliminary and detailed engineering (P2.5 billion); public-private partnership strategic support fund (P1 billion); maintenance, repair and rehabilitation of infrastructure facilities roads (P2 billion); infrastructure flagship projects/high impact projects (P3 billion); Pambansang Pabahay Para sa Pilipino program (P1 billion); social pension for indigent senior citizens (P1 billion); Department of Education computerization program (P5 billion); public health emergency benefits and allowances for health care and non-health care workers (P2 billion); Pantawid Pamilyang Pilipino Program (P50 billion); Community Mortgage Program of the Social Housing Finance Corporation (P500 million) and Revitalizing the Automotive Industry for Competitiveness Enhancement Program (P750 million).

Twelve programs were placed under conditional implementation, which means that implementing rules must be issued before their funding can be released.

These are Ayuda sa Kapos ang Kita Program or AKAP; the Payapa at Masaganang Pamayanan Program or PAMANA, a program that seeks to spur development in conflict-hit areas; the definition of basic infrastructure program; support to foreign-assisted projects; Office of the Ombudsman’s payment of retirement benefits and pensions, along with the release of payment of retirement benefits and pensions; the judiciary-Supreme Court maintenance and other operating expenses of the lower courts; Department of Agriculture-Office of the Secretary Rice Competitiveness Enhancement Fund; use of excess revenue from the total annual tariff revenue from rice importation; calamity fund and National Disaster Risk Reduction Management Program; Department of Finance-Bureau of Customs rewards and incentives fund and Congress of the Philippines availability of appropriations and cash allocations.

“I call on the conscientious utilization of this budget with the end in mind of sustaining the country’s high-growth trajectory and managing inflation while accelerating the implementation of well-targeted social services and structural reforms geared towards achieving our medium-term goals of reducing poverty incidence, decreasing unemployment rates and achieving upper middle-income status,” the President said.

Making life better

Despite the President’s veto, the 2025 budget is still enough to “make life better for Filipinos,” Speaker Martin Romualdez said yesterday.

“This budget represents the efficient and responsible use of resources, balancing fiscal discipline with the government’s commitment to improving the quality of life for all Filipinos. It is a critical step toward sustained growth and national development,” he said.

“This budget reflects our united effort to ensure that government programs truly serve the people,” he said.

“The President’s timely signing of this spending plan ensures uninterrupted government operations while addressing the nation’s most pressing priorities. This decisive action prevents a reenacted budget and strengthens our resolve to achieve the country’s national development goals,” he pointed out.

Romualdez, a maternal cousin of the President, thanked Marcos for his leadership and the lawmakers “for their hard work.”

He stressed that the outlay for next year “reflects our shared commitment to uplifting the lives of every Filipino and securing a brighter future for all.”

“This reflects our commitment to transparent, accountable governance focused on delivering meaningful results,” he added.

Rep. Zaldy Co, chairman of the House committee on appropriations, also expressed gratitude to the President, his colleagues in the House and their Senate counterparts for ensuring the budget’s timely approval.

“We prioritized the early passage of this measure to prevent a reenacted budget,” Co said. “This underscores our commitment to using the power of the purse and crafting a budget aligned with the administration’s 8-point agenda,” he added.

Sen. Sherwin Gatchalian, for his part, noted that over P634 million has been allocated for the Alternative Learning System (ALS) and learners with disabilities under the 2025 national budget.

Gatchalian, chairman of the Senate committee on basic education, said the ALS – a flexible education program for those unable to attend regular school – would help individuals learn at their own pace, earn certificates and enhance skills for jobs or further studies.

“We have ensured that under the 2025 national budget, our ALS students and teachers, as well as students with disabilities, cannot be left behind. Programs that promote their welfare and provide opportunities for affordable and quality education are important, which is why we have ensured that there are sufficient funds allocated for the implementation of these programs,” Gatchalian said.

Same as last year

But for the militant group Makabayan, the signing of the 2025 budget has dashed hopes for genuine national development.

Makabayan president Liza Maza said the P6.352-trillion national budget contained infrastructure projects that are potential sources of quick money for corrupt politicians.

“Marcos even went on these theatrics that he had the budget passed by bicam reviewed, but the truth is the 2025 budget is just like the previous budget that did not take into consideration the development of the country and the people,” Maza said.

She pointed out the 2025 budget does not support a sustainable national industrialization plan to build strategic industries, foster domestic capital formation and create internal growth sources

She stressed the issue with the national budget is not only whether certain agencies receive more or less allocation but whether programs are being implemented and getting necessary fiscal support.

Maza cited as an example the high prices of rice which could have been addressed by the national budget.

“At this point, to implement that, we need a budget of about P78 billion per year. The national budget should be enough to fund that, right?”

“We need progressive politics to craft a progressive development program that a progressive national budget will support,” Maza said. — Delon Porcalla, Jose Rodel Clapano, Cecille Suerte-Felipe, Emmanuel Tupas, Sheila Crisostomo