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DBM Press Release


 
Higher public infrastructure spending in 2027 is expected to help sustain economic growth, generate jobs, reduce logistics and travel costs, and strengthen connectivity across the country, as the administration of President Ferdinand R. Marcos Jr. proposes P643.95 billion for the Department of Public Works and Highways (DPWH) under the Fiscal Year (FY) 2027 National Expenditure Program (NEP).
 
The proposed DPWH allocation is P113.05 billion, or 21.29 percent, higher than its P530.90-billion budget under the FY 2026 General Appropriations Act (GAA), driven in part by funding requirements for ongoing locally funded and foreign-assisted Infrastructure Flagship Projects.
 
The Department of Budget and Management (DBM) emphasized that infrastructure investments are not simply expenditures for physical structures, but investments intended to improve productivity, stimulate economic activity, connect communities to markets and opportunities, and deliver better public services.
 
Public infrastructure continues to serve as one of the strongest engines of economic transformation. Every road, railway, school, bridge, hospital, building, and water system we construct opens new opportunities, creates jobs, improves connectivity, and enhances the quality of life of millions of Filipinos,” President Marcos said in his Budget Message for FY 2027.
 
For DPWH specifically, its proposed P643.95 billion allocation is 21.29 percent higher than its FY 2026 GAA level, driven in part by ongoing locally funded and Foreign-Assisted Infrastructure Flagship Projects,” Department of Budget and Management (DBM) Acting Secretary Kim Robert C. De Leon said.
 
“More than investing in railways, public transport systems, ports, or airports, these also show that investing in shorter travel times, lower logistics costs, stronger regional connectivity, and greater access to jobs and economic opportunities for our people are important priorities of this administration,” the Acting Budget Secretary added.
 
Safeguards begin before projects enter the NEP
 
DBM stressed that the higher infrastructure allocation is accompanied by safeguards beginning at the budget preparation stage, with infrastructure proposals undergoing evaluation and validation before they are considered for inclusion in the NEP.
 
Consistent with the FY 2027 Budget Call and Budget Priorities Framework, proposed projects are assessed based on their alignment with national and regional development priorities, implementation readiness, project maturity, absorptive capacity and past utilization performance, expected outcomes, and overall value to the Filipino people.
 
For infrastructure projects, agencies are likewise required to submit complete and sufficient project information and supporting documents to establish their necessity and readiness for implementation. Depending on the nature and stage of the project, these may include feasibility studies and detailed engineering requirements, procurement plans, right-of-way requirements, necessary clearances and permits, proof of coordination with concerned LGUs and implementing entities, and certification against project duplication, among other requirements.
 
Region-specific programs and projects also undergo the Regional Development Council (RDC) process, where applicable, to ensure that proposed investments are aligned with regional development plans and priorities and have undergone consultation and coordination at the regional level. RDC endorsements form part of the supporting requirements considered during the evaluation of agency budget proposals.
 
DBM also considers the implementing agency’s absorptive capacity and budget utilization performance in determining whether additional appropriations can realistically be implemented and disbursed within the fiscal year.
 
These safeguards form part of the government’s effort to ensure that infrastructure projects entering the proposed national budget are necessary, properly supported, aligned with national and regional priorities, implementation-ready, and capable of delivering measurable benefits to the public.
 
Projects subsequently funded under the national budget remain subject to applicable procurement, budgeting, accounting, auditing, monitoring, and transparency requirements throughout implementation.
 
Major flagship projects across Luzon, Visayas, Mindanao
 
Among the major Infrastructure Flagship Projects supported under the proposed FY 2027 allocation are the Laguna Lakeshore Road Network Project, Bataan-Cavite Interlink Bridge Project, Davao City Bypass Construction Project, Package I, Cebu-Mactan Bridge and Coastal Road Construction Project, and Pasig-Marikina River Channel Improvement Project, Phase IV.
 
The Laguna Lakeshore Road Network Project receives the largest allocation among the five at P35.21 billion. The project involves the construction of a 37.6-kilometer primary road from Lower Bicutan to Calamba and is targeted for completion in 2028. It is supported by the Asian Development Bank (ADB), Asian Infrastructure Investment Bank (AIIB), and Korea’s Economic Development Cooperation Fund (KEXIM-EDCF).
 
Another P22.49 billion is earmarked for the Bataan-Cavite Interlink Bridge Project, a 32.15-kilometer, four-lane bridge across Manila Bay linking Mariveles, Bataan and Naic, Cavite. Supported by the ADB and AIIB, the project has been approved for implementation.
 
In Mindanao, P11.96 billion is earmarked for Package I of the Davao City Bypass Construction Project, an ongoing Japan-assisted project involving a 45.5-kilometer, four-lane bypass road in Davao City. It is targeted for completion in 2028.
 
For Central Visayas, P8.57 billion is provided for the Cebu-Mactan Bridge and Coastal Road Construction Project, covering a 3.34-kilometer bridge and the 5.34-kilometer Mandaue Coastal Road. The Japan-supported project has been approved for implementation and is targeted for completion in 2030.
 
The proposed FY 2027 budget also provides P8.54 billion for the Pasig-Marikina River Channel Improvement Project, Phase IV, an ongoing Japan-assisted water resources project covering the National Capital Region and Region IV-A. It involves channel improvement works for the Middle Marikina River, including the Manggahan Control Gate Structure and two floodgates where the Cainta and Taytay rivers join the Manggahan Floodway.
 
P1.47-T infrastructure program to help drive growth
 
The proposed DPWH allocation forms part of the administration’s broader Build Better More Infrastructure Program, for which P1.47 trillion is proposed in FY 2027 to support priority infrastructure investments nationwide. 
 
Equivalent to 4.4 percent of gross domestic product (GDP), the proposed government-wide infrastructure budget is P178 billion, or 13.8 percent, higher than the P1.29 trillion provided under the FY 2026 GAA.
 
DBM stressed that the objective is not higher infrastructure spending for its own sake, but better infrastructure spending that produces measurable economic and social returns—from faster movement of people and goods and lower logistics costs to stronger regional economies, more jobs, and improved access to essential services.
 
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FILIPINO VERSION
 
NEWS MATERIAL
Department Budget and Management
27 August 2026
 
 
DBM: Mas mataas na infrastructure spending para suportahan ang economic growth, trabaho, at connectivity sa 2027
P643.95-B proposed DPWH budget, nakatuon sa ongoing at implementation-ready flagship projects
 
Inaasahang makatutulong ang mas mataas na public infrastructure spending sa 2027 para mapanatili ang paglago ng ekonomiya, makalikha ng mga trabaho, mapababa ang logistics at travel costs, at mapalakas ang connectivity sa buong bansa. Ito ay kasunod ng panukala ng administrasyon ni Pangulong Ferdinand R. Marcos Jr. na maglaan ng P643.95 bilyon para sa Department of Public Works and Highways (DPWH) sa ilalim ng Fiscal Year (FY) 2027 National Expenditure Program (NEP).
 
Ang panukalang DPWH allocation ay P113.05 billion, o 21.29 percent, na mas mataas kumpara sa P530.90-bilyong budget nito sa ilalim ng FY 2026 General Appropriations Act (GAA). Bahagi nito ay para sa funding requirements ng mga ongoing locally funded at foreign-assisted Infrastructure Flagship Projects.
 
Binigyang-diin ng Department of Budget and Management (DBM) na ang infrastructure investments ay hindi lang paggastos para sa mga physical structures. Ang mga ito ay investments na layong mapataas ang productivity, mapalakas ang economic activity, maiugnay ang mga komunidad sa mga merkado at oportunidad, at makapaghatid ng mas mahusay na public services.
 
Public infrastructure continues to serve as one of the strongest engines of economic transformation. Every road, railway, school, bridge, hospital, building, and water system we construct opens new opportunities, creates jobs, improves connectivity, and enhances the quality of life of millions of Filipinos,” pahayag ni President Marcos sa kanyang Budget Message para sa FY 2027.
 
For DPWH specifically, its proposed P643.95 billion allocation is 21.29 percent higher than its FY 2026 GAA level, driven in part by ongoing locally funded and Foreign-Assisted Infrastructure Flagship Projects,” ayon kay Department of Budget and Management (DBM) Acting Secretary Kim Robert C. De Leon.
 
More than investing in railways, public transport systems, ports, or airports, these also show that investing in shorter travel times, lower logistics costs, stronger regional connectivity, and greater access to jobs and economic opportunities for our people are important priorities of this administration,” dagdag ng Acting Budget Secretary.
 
Nagsisimula ang safeguards bago pa mapasama ang mga proyekto sa NEP
 
Binigyang-diin ng DBM na may kaakibat na safeguards ang mas mataas na infrastructure allocation, na nagsisimula pa lamang sa budget preparation stage. Sumasailalim muna sa evaluation at validation ang mga infrastructure proposals bago ikonsidera para maisama sa NEP.
 
Alinsunod sa FY 2027 Budget Call at Budget Priorities Framework, sinusuri ang mga panukalang proyekto  batay sa kanilang alignment sa national at regional development priorities, implementation readiness, project maturity, absorptive capacity at nakaraang utilization performance, inaasahang resultas, at kabuuang halaga para sa Filipino people.
 
Para sa infrastructure projects, kailangan ding magsumite ang mga ahensya ng kumpleto at sapat na project information at supporting documents para mapatunayan ang pangangailangan sa proyekto at kahandaan nitong ipatupad. Depende sa nature at yugto ng proyekto, maaaring kabilang dito ang feasibility studies at detailed engineering requirements, procurement plans, right-of-way requirements, mga kinakailangang clearance at permit, katibayan ng koordinasyon sa mga concerned LGUs at implementing entities, at certification laban sa project duplication, bukod sa iba pang requirements.
 
Ang mga region-specific programs at projects ay sumasailalim din, kung saan applicable, sa Regional Development Council (RDC) process. Layunin nitong matiyak na ang mga proposed investments ay nakaayon sa regional development plans at priorities at dumaan sa consultation at coordination sa regional level. Bahagi ang mga RDC endorsements ng supporting requirements na isinasaalang-alang sa evaluation ng agency budget proposals.
 
Isinasaalang-alang din ng DBM ang absorptive capacity ng implementing agency at budget utilization performance nito para matukoy kung realistic na maipatutupad at madi-disburse sa loob ng fiscal year ang karagdagang appropriations.
 
Bahagi ang mga safeguards na ito ng pagsisikap ng gobyerno na matiyak na ang mga infrastructure projects na isinasama sa proposed national budget ay kinakailangan, may sapat na supporting documents, nakaayon sa national at regional priorities, implementation-ready, at kayang maghatid ng nasusukat na benepisyo sa publiko.
 
Ang mga proyektong kalaunan ay mapopondohan sa ilalim ng national budget ay mananatiling sakop ng applicable procurement, budgeting, accounting, auditing, monitoring, at transparency requirements habang ipinapatupad ang mga ito.
 
Major flagship projects sa Luzon, Visayas, at Mindanao
 
Kabilang sa mga major Infrastructure Flagship Projects na susuportahan sa ilalim ng proposed FY 2027 allocation ang Laguna Lakeshore Road Network Project, Bataan-Cavite Interlink Bridge Project, Davao City Bypass Construction Project, Package I, Cebu-Mactan Bridge and Coastal Road Construction Project, at Pasig-Marikina River Channel Improvement Project, Phase IV.
 
Ang laguna Lakeshore Road Network Project ang may pinakamalaking allocation sa limang proyekto, na may P35.21 billion. Kabilang sa proyekto ang pagtatayo ng 37.6-kilometer primary road mula Lower Bicutan hanggang Calamba at target itong matapos sa 2028. Sinusuportahan ito ng Asian Development Bank (ADB), Asian Infrastructure Investment Bank (AIIB), at Korea’s Economic Development Cooperation Fund (KEXIM-EDCF).
 
May P22.49 billion naman para sa Bataan-Cavite Interlink Bridge Project, isang 32.15-kilometer, four-lane bridge na tatawid sa Manila Bay at magdudugtong sa Mariveles, Bataan at Naic, Cavite. Sinusuportahan ito ng ADB at AIIB at inaprubahan na para sa implementation.
 
Sa Mindanao, may P11.96 billion para sa Package I ng Davao City Bypass Construction Project, isang ongoing Japan-assisted project na kinabibilangan ng 45.5-kilometer, four-lane bypass road sa Davao City. Target itong matapos sa 2028.
 
Para naman sa Central Visayas, may P8.57 billion para sa Cebu-Mactan Bridge and Coastal Road Construction Project, na sakop ang 3.34-kilometer bridge at 5.34-kilometer Mandaue Coastal Road. Ang Japan-supported project ay inaprubahan na para sa implementasyon at target na matapos sa 2030. 
 
May P8.54 billion din sa proposed FY 2027 budget para sa Pasig-Marikina River Channel Improvement Project, Phase IV, isang ongoing Japan-assisted water resources project na sakop ang National Capital Region at Region IV-A. Kabilang dito ang channel improvement works para sa Middle Marikina River, kasama ang Manggahan Control Gate Structure at dalawang floodgates, kung saan nagtatagpo ang Cainta at Taytay rivers sa Manggahan Floodway.
 
P1.47-T infrastructure program para makatulong sa paglikha ng pag-unlad
 
Bahagi ang proposed DPWH allocation ng mas malawak na Build Better More Infrastructure Program ng administrasyon. Para rito, P1.47 trillion ang proposed allocation sa FY 2027 upang suportahan ang priority infrastructure investments sa buong bansa.
 
Katumbas ng 4.4 percent ng gross domestic product (GDP), ang panukalang government-wide infrastructure budget ay P178 billion, o 13.8 percent, mas mataas kumpara sa P1.29 trillion na inilaan sa ilalim ng FY 2026 GAA.
 
Binigyang-diin ng DBM na ang layunin ay hindi simpleng dagdagan ang infrastructure spending. Ang mahalaga ay mas mahusay na infrastructure spending na may malinaw at nasusukat na economic at social returns—mula sa mas mabilis na paggalaw ng mga tao at produkto at mas mababang logistics costs, hanggang sa mas malakas na regional economies, mas maraming trabaho, at mas magandang access sa essential services.
 
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