Manila, Philippines — The FY 2026 National Budget aims to clarify the role of local government units (LGUs) and deliver more direct services to the people, according to Department of Budget and Management (DBM) Secretary Rolly U. Toledo.

 

In a press briefing at Malacañang, Secretary Toledo explained that the administration’s direction is simple and clear: bring services closer to the people by empowering stronger and more capable local governments.

 

“LGUs are no longer just recipients of funds. They are now decision-makers, planners, and implementers of services in their communities,” Toledo said.

 

Under the FY 2026 General Appropriations Act, LGUs will receive P1.19 trillion in National Tax Allotment, on top of more than PP31.7 billion in special shares from national taxes and P1.41 billion from Fire Code fees. This means local governments now have greater capacity to respond to the needs of their constituents—from basic services to social services—based on their own plans.

 

At the same time, the DBM clarified that policies on placing projects in localities have also changed. Under the 2026 budget framework, projects that are unknown to or not requested by LGUs are no longer allowed.

 

“Mayors should no longer be surprised by projects being built in their areas without their knowledge. The budget is not a surprise—it is a plan,” Toledo stressed.

 

The Local Government Support Fund (LGSF) also posted its biggest increase in 2026, reaching P57.87 billion—more than double the previous year’s level. This fund is focused on strengthening basic services, livelihoods, and support for LGUs with limited resources.

 

“The Local Government Support Fund was doubled in 2026 to help LGUs that lack resources and to further strengthen basic services and livelihoods,” the DBM Secretary explained.

 

Toledo also emphasized that the budget has a clear objective when it comes to equity and balanced local development.

 

“We know that not all LGUs have the same capacity. That is why the budget has a clear goal: to uplift everyone and ensure that no one is left behind,” he said.

 

On disaster response, Toledo highlighted that LGUs have a defined role in the use of the P39.82 billion allocated for the National Disaster Risk Reduction and Management Fund (NDRRMF), including P15.33 billion earmarked for rehabilitation and reconstruction based on approved local rehabilitation and recovery plans.

 

Overall, the DBM underscored that the 2026 National Budget is not just a list of expenditures, but a clear compact between the national government and local governments—backed by funding, trust, and clear accountability.

 

“When local governments are strengthened, government services become faster and more tangible for the people,” Secretary Toledo concluded.

 

[END]

 

 

FILIPINO VERSION

 

NEWS MATERIAL

13 January 2026

 

 

Manila, Philippines — Mas malinaw ang papel ng local government units (LGUs) at mas direktang serbisyo sa mamamayan ang layunin ng FY 2026 National Budget, ayon kay Department of Budget and Management (DBM) Secretary Rolly U. Toledo.

 

Sa isang press briefing sa Malacañang, ipinaliwanag ni Secretary Toledo na ang direksyon ng administrasyon ay simple ngunit malinaw: ilapit ang serbisyo sa tao sa pamamagitan ng mas pinalakas at mas may kakayahang lokal na pamahalaan.

 

“Hindi na lang taga-tanggap ng pondo ang LGUs. Sila na ang nagdedesisyon, nagpaplano, at nagpapatupad ng serbisyo sa kanilang komunidad,” ani Toledo.

 

Sa ilalim ng FY 2026 General Appropriations Act, makakatanggap ang mga LGU ng P1.19 trilyong National Tax Allotment, bukod pa sa mahigit P31.7 bilyon na special shares mula sa national taxes at P1.41 bilyon mula sa Fire Code fees. Ibig sabihin, mas malaki na ang kakayahan ng mga lokal na pamahalaan na tugunan ang pangangailangan ng kanilang mga nasasakupan—mula basic services hanggang serbisyong panlipunan—ayon sa sarili nilang plano.

 

Kasabay nito, nilinaw ng DBM na malinaw na ring nagbago ang patakaran sa paglalagay ng mga proyekto sa mga lokalidad. Sa ilalim ng 2026 budget framework, hindi na pinapayagan ang mga proyektong hindi alam o hindi hiningi ng LGU.

 

_“Hindi na puwedeng magulat ang Mayor na may proyektong itinatayo sa kanyang lugar na hindi niya alam. Ang budget ay hindi sorpresa—ito ay plano,”_ giit ni Toledo.

 

Pinakamalaki rin ang itinaas ng Local Government Support Fund (LGSF) sa 2026, na umabot sa P57.87 bilyon, mahigit doble kumpara noong nakaraang taon. Ang pondong ito ay nakatuon sa pagpapalakas ng basic services, kabuhayan, at tulong sa mga LGU na may limitadong resources.

 

“Doble ang Local Government Support Fund sa 2026 para tulungan ang mga LGU na kapos sa resources at mas mapalakas ang basic services at kabuhayan,” paliwanag ng DBM Secretary.

 

Binigyang-diin din ni Toledo na malinaw ang layunin ng budget pagdating sa equity at patas na pag-unlad ng mga lokal na pamahalaan.

 

“Alam natin na hindi pare-pareho ang kakayahan ng bawat LGU. Kaya ang budget ay may malinaw na layunin: iangat ang lahat at siguraduhing walang maiiwan,” ani ng DBM Secretary.

 

Sa disaster response naman, binigyang-diin ni Toledo na may malinaw na bahagi ang LGUs sa paggamit ng P39.82 bilyong pondo para sa NDRRMF, kabilang ang P15.33 bilyon na inilaan para sa rehabilitation at reconstruction batay sa approved local rehabilitation and recovery plans.

 

Sa kabuuan, iginiit ng DBM na ang 2026 National Budget ay hindi lamang listahan ng mga gastusin, kundi isang malinaw na kasunduan sa pagitan ng national government at ng local governments—may pondo, may tiwala, at may malinaw na pananagutan.

 

“Kapag pinalakas ang lokal na pamahalaan, mas mabilis at mas ramdam ng mamamayan ang serbisyo ng gobyerno,” pagtatapos ni Secretary Toledo.

 

[END]