DBM URGES AGENCIES TO PREPARE 2027 BUDGET, FOCUS ON INFRASTRUCTURE SPENDING

The Department of Budget and Management (DBM) has instructed government agencies to begin preparing their budget proposals for 2027, emphasizing value for money, performance metrics, and alignment with fiscal consolidation goals. The move comes after four consecutive months of declining infrastructure spending, partly due to delays and corruption concerns in flood control projects, which reduced capital outlays by 13.7% to P943 billion from January to October 2025. Experts stressed that accelerating infrastructure investment is vital for economic growth, improving productivity, creating jobs, and attracting foreign investments, with priority projects including mass transit, airports, seaports, bridges, and toll roads. DBM reaffirmed its commitment to the Build-Better-More Program, focusing on Economy and Development Council-approved flagship initiatives. Analysts warned that risks such as procurement delays, right-of-way issues, stricter governance, and external factors like global borrowing costs or currency weakness could slow implementation, highlighting the need for predictable rules, faster permitting, and stronger project management.