"In accordance with the President’s directive, we have started releasing the withheld amount in four tranches, beginning July to the end of October," Budget Secretary Emilia Boncodin.
She said the DBM has released P1 billion to various LGUs as of the end of July.
Boncodin said the release of the P4-billion withheld IRA shares was in accordance with the Supreme Court decision that ruled out the withholding of any portion of the IRA shares of LGUs by a mere administrative fiat.
Due to the austerity measures adopted in 1998, a 10 percent reserve was imposed on the IRA of LGUs. Of this withheld amount, 50 percent was released in January 1999.