The Notice of Cash Allocation (NCA) utilization rate of the national government was at 93 percent from January to June 2020, corresponding to P1.72-trillion out of P1.85-trillion in NCAs released for the period, data from the Department of Budget and Management (DBM) showed. This a marginal slowdown from the 98 percent rate as of end-June last year. From January to June 2019, the DBM released P1.34-trillion in NCAs to national government agencies, of which P1.31-trillion was utilized.
Nonetheless, a 93 percent utilization rate by end-June is a good indicator that government agencies are still able to quickly disburse their allocated funds and to implement their programs and projects amid the COVID-19 pandemic.
As of June 30, 2020, line departments utilized P1.19-trillion of the P1.32-trillion in NCAs released to them, equivalent to a 90 percent year-to-date NCA utilization rate. Among the departments that were able to fully utilize the NCAs released to them include the Department of National Defense, The Judiciary, and the Commission on Audit.
Agencies with Social Amelioration Programs such as the Department of Social Welfare and Development and the Department of Labor and Employment have utilized 65 percent and 97 percent, respectively, of the total NCAs released to them for the first six months of the year. Meanwhile, infrastructure agencies such as the Department of Public Works and Highways and the Department of Transportation have a year-to-date NCA utilization rate of 99 percent and 96 percent, respectively. The Department of Health, on the other hand, has utilized P85.98-billion of the P95.94-billion released to them for the first half of the year, equivalent to a 90 percent NCA utilization rate.
Moreover, NCAs released for Budgetary Support to Government-Owned and -Controlled Corporations and for Allotment to Local Government Units were fully utilized for the same period.
NCA refers to the disbursement authority issued by the DBM to cover the cash requirements of the operations, programs and projects of government agencies.
The DBM remains committed to ensure that government agencies observe prudent and efficient utilization of its budget.
More details can be found in https://www.dbm.gov.ph/
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