“Hindi tayo papayag na mapunta sa kurakot ang salaping pinaghirapan ng bawat Pilipino.”
That is what President Ferdinand Marcos Jr. said on Monday, January 5 as he signed the the General Appropriations Act (GAA) for the Fiscal Year 2026 at the Malacañan Palace in Manila.
The chief executive noted that every program or project will undergo rigorous scrutiny to guarantee tangible results for Filipinos, particularly the most vulnerable sectors, as he also vowed to ensure that the PhP6.793 trillion will be properly utilized.
“Sa National Budget ng 2026, malinaw ang direksyon ng inyong pamahalaan: magiging mas masinop, mas maingat, at mas responsable kami sa paggastos ng pondo ng bayan,” he said.
This year’s budget aims to sustain the country’s progress in education reform, health protection, food security, social security, and job creation.
President Marcos urged the public to actively participate in helping improve government system and combat corruption.
“Ang pagbabantay, ang pagtatanong, ang pag-uulat, at ang pakikilahok ay mahalagang bahagi ng isang gumaganang demokrasya. Kasama ninyo kami sa layuning tiyakin na ang budget ng bayan ay para sa bayan,” he said.
VETOED PROVISIONS
Meanwhile, the President also said that he has vetoed several items under Unprogrammed Appropriations (UAs), which totaled to nearly PHP92.5 billion in the 2026 national budget approved by Congress.
He emphasized that the UAs must be used only under clearly defined conditions, with safeguards in place to prevent misuse. “To ensure that public funds are expended in clear service of national interests, I vetoed several items of appropriations with their purposes and corresponding Special Provisions under the UA, totaling almost PhP92.5 billion,” told Marcos.
While the Congress had made the move to limit these unprogrammed funds to essential items, the President pushed it further and reduced it to the “bare minimum” level, which the Palace said is the lowest since 2019.
“Let me be clear: the Unprogrammed Appropriations are not blank checks. We will not allow the Unprogrammed Appropriations to be misused or treated as a backdoor for discretionary spending,” the President said.
He then said that the utilization of UA is “provided with safeguards and is only available when clearly defined triggers and tests are met and will be released only after careful validation.”
According to the President, the safeguards will be enforced “without exception” and added, “we will make releases charged from the UA transparent, providing the necessary details on the funding source and the corresponding purpose.”
President Marcos then directed all concerned agencies and departments of the national government to exercise “prudent fiscal management to ensure uninterrupted quality public service.”
“Sa aking mga kababayan, dama po namin ang inyong agam-agam at pangamba sa nakaraang budget. Kaisa ninyo ako sa pagnanais na masigurong ang bawat pisong buwis ay napupunta sa tamang proyekto at sa tunay na pangangailangan ng ating taumbayan… Naririnig namin po kayo,” said the chief executive.
BAN OF POLITICIANS IN FINANCIAL AID DISTRIBUTION
Marcos also ordered the strict implementation of the provision in the 2026 General Appropriations Act, which bars the involvement of politician in the distribution of cash and other forms of financial assistance. This is to ensure every peso will reach the intended beneficiaries without patronage.
“We will strictly implement the provision on the ‘Prohibition on Political Involvement in the Distribution of Cash and Other Forms of Financial Assistance,” he said. “Politicians shall be barred from the distribution of any financial aid and we shall ensure that the support reaches the intended beneficiaries without patronage.”
These assistance programs include the Assistance to Individuals in Crisis Situations (AICS), Tulong Panghanapbuhay sa Ating Disadvantaged/Displaced Workers (TUPAD), and Pantawid Pamilyang Pilipino Program (4Ps), and the grants and pensions for senior citizens and persons with disabilities (PWDs).
However, there is an increase in the allocation under the Local Government Support Fund (LGSF), which PBBM said will “empower local government units to respond to development needs, support livelihoods, and build safe and resilient communities.”
CONDITIONAL IMPLEMENTATION OF CERTAIN PROVISIONS
“I stand firm in my constitutional duty to ensure the faithful execution of laws. Therefore, I hereby condition the implementation of certain provisions in this Act to conform to existing laws, policies, rules, and regulations,” the President also said.
In line with that, several budget items are subject to conditional implementation. These include the Engineering and Administrative Overhead Expenses, Payment of Retirement Benefits and Pensions, Capacity Development Programs, and Foreign Service Posts.
Marcos also cited programs and projects that will be carried out within “legal and regulatory frameworks,” such as the School-Based Feeding Program, Medical Scholarship and Return Service Program, and the PAMANA Program.
Also included are the Residential Care Services to Vulnerable Groups by Accredited Social Welfare and Development Agencies, Implementation of Infrastructure Projects of GOCCs, and Programs and Projects Related to Senior Citizens and Persons with Disability.
