Manila, Philippines – With the ongoing deliberations on the proposed national budget for 2026, lawmakers became more critical regarding its programmed and unprogrammed funds.
This is amidst the flood control scandal which was allegedly made under the unprogrammed appropriations, leading to a House motion to remove the unprogrammed associations (UAs) but was rejected.
Unprogrammed appropriations are funds without particular allocations yet during the time that the proposed budget was approved, hence, will only be named once it is released.
The Department of Budget and Management (DBM) on Tuesday defended the existence of unprogrammed funds underscoring that these are mostly used when there is a calamity.
DBM secretary Amenah Pangandaman described UAs as the government’s financial lifeline during calamity, as this is mostly the source of emergency funds for quicker calamity response.
She cited recent approval of the release of an additional P5-billion to fund Assistance to Individuals in Crisis Situations program, which was from the fiscal year 2025 General Appropriations Act (GAA).
These additional funding aims to benefit over 400,000 individuals under crisis situations, from October until the end of the year.
“This latest fund release underscores the importance of unprogrammed appropriations as fiscal buffers that enable the government to respond swiftly to social and humanitarian emergencies.”
“These funds can only be accessed when there are excess or windfall revenues, new revenue measures, or valid loan agreements for foreign-assisted projects.” Pangandaman said.
Pangandaman argued that unprogrammed funds are not secret funds, rather, these are standby allocations used during urgent situations, as authorized by the Congress.
She noted that under normal circumstances, unprogrammed appropriations fund rice farmers’ assistance, AICS and Food Stamp Program of DSWD, higher education subsidies, health infrastructures, renewable energy, and national defense modernization.
On Tuesday, Pangandaman also appeared before the Independent Commission for Infrastructure to share knowledge and insights related to the processes involving the National Expenditure Program (NEP) and GAA.
She explained the release process of UAs, as well as the requests and proposals to be included in the NEP.
Amid this, the secretary clarified that DBM has no participation in the budget insertion process, and that re-alignment or amendments are solely made under the power of the Congress.
“Once the President submits the proposed NEP to Congress, the Executive’s role—through the DBM—is limited to explaining, clarifying, and defending the proposed allocations. The authority to introduce, realign, or amend items rests solely with the legislative branch.” she stated.
The Malacañang Palace, on the other hand, supported DBM’s position on unprogrammed funds, emphasizing its significance amidst crisis situations.
Palace Press Officer Undersecretary Atty. Claire Castro underscored that unprogrammed funds will support calamity response funding, given that NDRRMC’s funds depleted after consecutive disasters.
Castro said that she understands the worry over the UAs, but assured that the President will not allow the budget to be plundered.—Mia Layaguin, Eurotv News