The Department of Budget and Management (DBM) has called on government departments and agencies to start preparing their budget proposals for 2026.
Budget Secretary Amenah F. Pangandaman issued the National Budget Memorandum No. 153, signaling the preparatory stage for drafting the National Expenditure Program and outlining the priorities for next year.
鈥淭he proposed national budget and its priorities shall be anchored on the National Government’s commitment to the achievement of the PDP (Philippine Development Plan) 2023-2028, which is aligned with objectives of the 2030 Agenda for Sustainable Development and the AmBisyon Natin 2040,鈥 she said.
AmBisyon Natin 2040 refers to the 鈥渃ollective long-term vision and aspirations of the Filipino people鈥 over the next 25 years, aiming to achieve a middle-class society with a per capita income expected to increase by at least three-fold.
鈥淲ith few years remaining until the 2030 Agenda, there is a need to accelerate the progress or reverse the negative trends to achieve the global goals of establishing a transformative vision towards economic, social, and environmental sustainability,鈥 Ms. Pangandaman added.
She said that the budget should seek to manage the lingering effects of inflation, such as high food and fuel prices, and safeguard Filipino’s purchasing power.
It should also aim to support infrastructure investments and continue the government’s efforts in the digitalization of “public financial management to boost bureaucratic efficiency and drive transparent service delivery.”
The DBM Secretary said that the spending plan should spur a 鈥渕ore inclusive鈥 and 鈥渂alanced鈥 development landscape by 鈥渟triking a balance鈥 between the geographical needs of urban areas in the regions.
鈥淔ully aware, however, of the impact of the country’s debt burden and the competing demands of government agencies, the allocation of the FY 2026 budget will be optimized,鈥 Ms. Pangandaman said.
Data from the Bureau of the Treasury said that outstanding debt hit a record high of P16.02 trillion as of end-October last year.
In its Medium-Term Fiscal, the Development Budget Coordination Committee (DBCC) set a P6.54 trillion spending target in 2026. It also projected that revenue will hit P5.063 trillion or 16.2% of the gross domestic product (GDP) next year.
The DBCC also expects GDP to grow by 6-8% over the 2026 to 2028 period. — Aubrey Rose A. Inosante
