A pleasant morning to the esteemed members of the 19th Congress, fellow workers in the government, the media, and every Filipino whom we hope to serve well through this budget. Muli, magandang umaga.
A budget that is responsive to every need of every Filipino—this was our mantra in each analysis and every decision we made in crafting the fiscal year 2023 National Expenditure Program (NEP).
The proposed national budget for 2023 amounts to 5.268 trillion pesos. This is higher than this year’s budget by 4.9 percent and equivalent to 22.2 percent of the gross domestic product or GDP.
Its theme—“Agenda for Prosperity: Economic Transformation Towards Inclusivity and Sustainability.”
As you know, we face a lot of external pressures. Despite these, it’s the government’s responsibility to ensure that none of its citizens is left behind. But the harsh truth is, many Filipinos suffer because of soaring oil and food prices, insufficient health facilities, and expensive commodities. Add to this the effects of the pandemic.
It’s against this backdrop that we created the NEP. At the heart of the proposed national budget is inclusive and sustainable prosperity. It’s encapsulated under our 8-Point Socioeconomic Agenda and anchored on these pillars:
1. Strengthening the purchasing power of Filipinos;
2. Reducing vulnerability and mitigating scarring from the COVID-19 pandemic;
3. Ensuring sound macroeconomic fundamentals; and
4. Supporting local governments.
To strengthen the purchasing power of Filipinos, we will aim for food security, improved transportation, and affordable and clean energy.
The Agriculture sector will receive a substantial increase of 39.2 percent year-on-year, with a total proposed budget of P184.1 billion for the strengthening of its banner food programs and irrigation services to ensure food security and agricultural productivity. To achieve this, higher allocations are proposed for the National Rice Program (Php 30.5 billion) to help maintain the price of rice at affordable levels, and for the production of other vital agricultural commodities. This will be complemented by the construction and rehabilitation of farm-to-market roads (Php 13.1 billion), improvement of irrigation networks (Php 29.5 billion) and the provision of subsidies and credit access to farmers and fisherfolk (Php 2.8 billion).
The Agriculture sector will receive a substantial increase of 39.2 percent year-on-year, with a total proposed budget of Php 184.1 billion for the strengthening of its banner food programs and irrigation services to ensure food security and agricultural productivity.
To achieve this, higher allocations are proposed for the National Rice Program (Php 30.5 billion) to help maintain the price of rice at affordable levels, and for the production of other vital agricultural commodities. This will be complemented by the construction and rehabilitation of farm-to-market roads (Php 13.1 billion), improvement of irrigation networks (Php 29.5 billion) and the provision of subsidies and credit access to farmers and fisherfolk (Php 2.8 billion).
In line with this, the Department of Transportation (DOTr) will receive a budget of Php 167.1 billion, equivalent to 120.4 percent increase over the previous year’s level.
Meanwhile, the Department of Public Works and Highways (DPWH) will receive Php 718.4 billion in 2023 for its banner programs such as the Asset Preservation Program (Php 88.5 billion), Network Development Program (Php 140.4 billion) and Bridge Program (Php 38.0 billion), among others.
Finally, the Department of Energy (DOE) will receive a total of Php 476 million in 2023 for its programs such as the Renewable Energy, Development Program, Energy Efficiency and Conservation Program, and Alternative Fuels and Technologies Program.
To reduce our vulnerability and mitigate scarring from the COVID-19 pandemic, health care, social services, and safe reopening of face-to-face classes are our priorities.
Abiding by the Constitution and reflecting the President’s commitment to invest in human capital development and empower the youth, the Education sector will receive the highest allocation—Php 852.8 billion covering Department of Education (DepEd), State Universities and Colleges (SUCs), Commission on Higher Education (CHED), and Technical Education and Skills Development Authority
(TESDA).
With the Department of Education’s allocation, we hope to finally resume face-to-face classes to ensure holistic learning.
We will achieve this through the construction of new classrooms and education facilities under the Basic
Education Facilities Program (Php 9.8 billion) and the provision of learning materials through the Flexible
Learning Options Program (Php 19.4 billion), among others.
Students will also continue to receive subsidies and education assistance to help them pursue senior high school and technical-vocational courses (Php 54.9 billion).
We will likewise prioritize funding for the Universal Access to Quality Tertiary Education Program (P47.4 billion) which will provide free tuition and other school fees to college students who will eventually constitute the country’s workforce.
But human capital development must be accompanied by a strong healthcare system that can withstand
unprecedented challenges. As such, the Health sector will receive Php 296.3 billion for 2023.
Therefore, the Universal Health Care program will continuously be a budget priority to ensure accessible
healthcare for Filipinos, especially those in the lower stratum of society. This will be accompanied by better health services through the construction and rehabilitation of health facilities and procurement of medicines and vaccines.
Along with human capital development, we must take care of those most vulnerable to global inflation.
As such, the Department of Social Welfare and Development (DSWD) will receive Php 197.0 billion for
2023 to address the needs of the poor and marginalized, among other targeted sectors of the economy.
This includes the proposed increase of the budget allocation for the Pantawid Pamilyang Pilipino Program (Php 115.6 billion).
Now, for the government to better implement these plans, we must make change within the bureaucracy.
Towards this end, we will prioritize digitalization and accelerate digital transformation. Thus, we have allotted some Php 12.1 billion to fund ICT projects throughout the bureaucracy We will also fast track the rollout of the Philippine Identification System (PhilSys) (Php 2.1 billion).
On DBM’s end, we have a budget reform agenda.
Foremost is the digitalization of the economy with the roll-out of the Budget and Treasury Management System or BTMS in all agencies.
We will likewise enhance bureaucratic efficiency through the institutionalization of the Cash Budgeting System.
Our economic transformation agenda also contemplates full devolution of essential services to Local Government units. This allows them to directly implement programs and interventions tailor-fit to the needs of their constituents.
These programs are just a few of the many. More details can be found in the digital and physical 2023 NEP kits we have shared with you. It includes the President’s Budget Message and the 2023 People’s Proposed Budget at-a-Glance.
We believe that the Congress is one with us in our commitment to serve the Filipino people through the just allocation of the national budget.
Again, it is our honor to submit the FY 2023 NEP.
With this budget, we want every Filipino—especially our farmers, fisherfolk, laborers, and those who are
marginalized—to not just survive, but to reap the benefits of economic growth and national progress in their everyday lives.
That is the measure of the Philippines’ genuine prosperity— when every Filipino prospers individually.
Thank you and Mabuhay!
