The DBM, and the Administration, through the proposed FY 2020 Budget, aims to continue the Philippines’s journey to a more peaceful and progressive nation, by funding the critical programs of the Administration.

“The 2020 National Budget… will aim to build on the fruits and gains of the previous annual expenditure programs of the Administration, not only to ensure but [also] to consolidate the gains, for the bright future of the Philippines and its people”, President Rodrigo Roa Duterte said in his budget message.

Among the critical programs of the Administration are measures to implement new laws and policies that provide economic and social assistance to all Filipinos, and enhance the security of the nation, such as the: (1) full implementation of the Universal Health Care Act, (2) institutionalization of the Pantawid Pamilyang Pilipino Program, (3) smooth transition to the Bangsamoro Autonomous Region in Muslim Mindanao, (4) implementation of the Rice Liberalization Act, (5) creation of the Department for Human Settlements and Urban Development, and (6) National Task Force to End Local Communist Armed Conflict.

In view of the full implementation of the Universal Health Care (UHC) Act in 2020, the UHC program is allocated PhP166.5 billion. Some PhP67.4 billion is allocated for the National Health Insurance Program (NHIP) of the Philippine Health Insurance Corporation (PHIC), while PhP92.2 billion is set for the Department of Health (DOH). Additionally, PhP7.0 billion is earmarked for the Human Resources for Health Deployment Program, under the DOH Miscellaneous Personnel Benefits Fund.

Following the implementation of the Pantawid Pamilyang Pilipino Program (4Ps) Act, PhP108.8 billionis allocated for 4Ps. Starting 2020, the health and nutrition cash grants of qualified households will increase from P500 to P750 every month, to accommodate the rise in prices. At the same time, the educational cash grants will increase from P500 to P700 for every child enrolled in senior high school.

Pursuant to the Bangsamoro Organic Law, PhP70.6 billion is allocated for the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM). Of the amount, PhP63.6 billion is for the annual block grant, PhP5.0 billion is for the special development fund, and PhP2.0 billion is for the BARMM’s share in the national taxes.

Republic Act (RA) No. 11203, otherwise known as the Rice Liberalization Act, mandates the creation of the Rice Competitiveness Enhancement Fund (RCEF). This Fund aims to provide assistance to farmers, cooperatives, and associations who will be adversely affected by the influx of imported rice, given the liberalization of the rice sector. PhP10.0 billion has been provided for the RCEF for FY 2020.

Following the enactment of RA No. 11201 or the Department of Human Settlements and Urban Development (DHSUD) Act, the FY 2020 budget allocates an amount of PhP641.6 million to support the initial operations of the Department.

Pursuant to Executive Order No. 70, s. 2018, on the Whole-of-Nation Approach in Attaining Inclusive and Sustainable Peace, PhP622.3 millionis allocated for the National Task Force to End Local Communist Armed Conflict (NTF-ELCAC). This task force is the incarnation of the Administration’s serious commitment to pursue sustainable peace through an ambitious and comprehensive development agenda to promote inclusivity by eliminating poverty, enhancing social equity, developing greater human capital, and improving physical infrastructure in less developed and conflict-ridden regions of the country.

As President Duterte stated, “we have made significant strides and accomplished significant milestones as a nation in the past three years. This momentum must continue with greater fervor in the next three years and beyond.”

The FY 2020 budget was submitted by the DBM to the House of Representatives this morning. A similar submission will also be done to the Senate in the afternoon.



For inquiries, further questions and requests for interview, please contact Hazel Intia.

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