Marcos signs P6.793 trillion budget for 2026
MANILA, Philippines — Following the largest corruption scandal his administration has seen, President Ferdinand Marcos Jr. signed the 2026 General Appropriations Act (GAA) on Monday, January 5.
In a budget signing ceremony at Malacañan Palace, Marcos acknowledged the systemic corruption that was uncovered in infrastructure corruption schemes in government.
"These challenges are painful but they also made one thing clear, real change could no longer wait. And so as we enter this year let us take this opportunity to start moving forward with difficult but needed reforms in governance to rebuild our trust in us, to strengthen accountability, [to] deliver an honest and effective government to the Filipinos," Marcos said in his speech.
Marcos echoed earlier statements from Congress that the budget prioritized education, with P1.34 trillion allotted for the sector. The health sector was also allotted P448.125 billion, Marcos said. The budget is allotted to support universal healthcare programs.
The 2026 GAA also allotted P129. billion to Philhealth, which includes the P60 billion in excess funds that the Supreme Court ordered the executive to return to the state insurer.
The 2026 budget is preceded by what some have called one of the most corrupted GAAs the country has seen, containing billions of alleged pork and massive cuts to welfare programs.
The budget scandal was exacerbated when a massive flood control kickback scheme was revealed at the Department of Public Works and Highways (DPWH).
Billions of pesos are suspected of being stolen from the national coffers by legislators, officials and government contractors.
The Philippine economy has taken a hit from the massive corruption scandal, with the national gross domestic product quickly declining.
The DPWH scandal prompted several transparency measures, including the first ever livestreaming of the bicameral conference committee deliberations between the House and the Senate.
The deliberations reached a deadlock over the DPWH budget, delaying the Congressional ratification of the budget. Despite these measures from Congress, budget watchdogs have warned of alleged pork barrel in the budget, urging Marcos to veto controversial items that could be used for corruption.
With the executive branch receiving the ratified budget a few days before 2025 ended, the government had to function on a reenacted budget for five days before the 2026 budget was signed.
Marcos acknowledged the reenacted budget, which was in effect until January 4. Marcos instructed the Department of Budget and Management (DBM) to consider expenditures incurred by the government during the four days that the government operated on the 2025 version of the budget.
The DBM welcomed the budget's signing, saying that the signing of the budget will turn into tangible projects soon enough.
"The Executive received the enrolled bill on December 29, 2025 and conducted a thorough and careful review of the proposed budget to ensure consistency with the administration's priorities and taking into consideration valuable recommendations from stakeholders," said Budget Secretary Rolando Toledo.
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