A pleasant day to my fellow public servants gathered here today for another round of budget preparations. As we start the new year, we are also given this brand-new opportunity to be of service to the Filipino people.

Just a month ago, on December 16, 2022, the FY 2023 National Budget was signed into law by President Ferdinand R. Marcos Jr. This is historically the fastest signing of the General Appropriations Act and this milestone would not have been possible without your contribution.

Preparing the FY 2023 budget has been challenging to say the least, as we trudged through a crucial transition period of post-pandemic recovery while battling various inflationary pressures and external conflicts. Still, we did what we were called to do, made the most out of the limited fiscal space that we have, and crafted a national budget that is responsive to the most immediate and pressing needs of every individual, family, and entity in the country.

Thankfully, for Fiscal Year 2024, we have a blueprint by which we can achieve our socioeconomic development goals—the Medium-Term Fiscal Framework or MTFF. With clear macroeconomic objectives that will steer the economy back to its high-growth trajectory and promote medium-term fiscal sustainability, we will continue to implement risk-managed interventions in the areas of food security, transport and logistics, energy, health, education, social protection, bureaucratic efficiency, and fiscal management, among others.

As we have emphasized in our National Budget Memorandum No. 145 and Corporate Budget Memorandum No. 45, the FY 2024 budget proposal should incorporate the priorities and policy directions of the Marcos Jr. Administration as embodied in the 8-point Socioeconomic Agenda and the Philippine Development Plan (PDP) 2023-2028. These are aimed at achieving economic and social transformation for a prosperous, inclusive, and resilient society.

We will continue to prioritize infrastructure development as we Build, Better, More—while continuing to support areas that are the poorest, that are lagging, and those that are vulnerable to climate change and natural disasters.

Of course, our Local Government Units (LGUs) should not be left behind so we will continue to provide funds for their capacity building so they can better assume their devolved functions and services.

But given the competing demands of government programs against a backdrop of limited resources, we will ensure that only implementation-ready agency proposals are included in the FY 2024 National Budget. As such, the agencies' budget proposals should contain concrete program plans and designs so we can manage our budget efficiently and effectively.

This, in fact, is the key feature of our Cash Budgeting System or CBS which will be insitutionalized by the Progressive Budgeting for Better and Modernized Governance or the PBBM Governance Bill. We will likewise continue our pursuit of digital transformation, including the adoption of the Integrated Financial Management Information Systems to enhance the Budget and Treasury Management System or BTMS—one of our major reforms as part of our digital transformation roadmap.

Further, we will continue to support the Administration’s goal of ensuring sustainable management and use of natural resources by 2030. Our Government Procurement Policy Board will spearhead the implementation of the Green Public Procurement or the GPP Roadmap to integrate green choices in public procurement.

As always, we will also look into the agencies' previous year budget utilization and performance as part of its evaluation process.

With all these guiding frameworks, we will consolidate and optimize the resources of the national government to gain its maximum benefit and multiplier effects for the economy.

Finally, let us continue to regain public trust and confidence by adopting our existing reforms for greater budget transparency, openness, accountability, and reliability. These include, among others, the 2-Tier Budgeting Approach; the disaggregation of lump-sum amounts within the agency-specific budgets; a well-functioning, results-based and credible monitoring and evaluation system; and the Open Government Partnership (OGP) to strengthen participation of civil society organizations and ensure sustainability of budget and governance reforms.

I will not take too much of your time as you have a long day—and maybe even night—ahead of you. As a final remark, I would like to salute all our civil servants from the DBM, the national government agencies, and GOCCs, for your unwavering commitment and dedication to serve the people. You are all instrumental in furthering—and finally achieving—our pursuit of economic transformation.

Assalamu alaikum. Maraming salamat at mabuhay tayong lahat.

Ladies and gentlemen, good morning.

First, I would like to thank the Philippine Embassy, Deutsch Bank, and other partners for hosting us and allowing us to share our insights on the Philippine economy, the FY 2023 national budget, and important updates on the structural reform initiatives of the Marcos Jr. administration in pursuit of its Agenda for Prosperity.

Let me also share a common observation that we’ve seen the past days: optimism about the Philippine economy. This is not without basis. Businesses, consumers, and the government all agree that the Philippines is on track towards strong recovery. But we are also aware of the continued external challenges to recovery and economic transformation. Hence, we have prepared and designed our policies and programs to address these.

Let me share with you an overview of the Fiscal Year 2023 General Appropriations Act. The National Budget of the Philippines amounts to Php 5.268 trillion or USD 94.82 billion. It is 4.9 percent higher than last year's budget, and is equivalent to 22.2 percent of the country's GDP.

Framed by the 8-Point Socioeconomic Agenda of President Ferdinand R. Marcos Jr. and supporting the Philippine Development Plan (PDP) 2023 to 2028, this budget will lay the groundwork for our agenda for prosperity: to build an inclusive and sustainable economy where no Filipino is left behind.

We are determined to ensure food security to improve agricultural productivity and the re-establishment of the Philippines as a top exporter of agricultural products. Thus, the agriculture budget has received a boost of more than 40 percent of its previous year’s allocation, with Php 173.6 billion (USD 3.12 billion). Of this amount, over Php 42.0 billion (USD 771.1 million) is set to improve the production of agricultural commodities including rice. There are also other programs for farm-to-market and farm-to-mill roads, as well as agricultural machinery, equipment, and facilities.

To make the Philippines an investment destination, we need to create the environment for it. Hence, we are keen on building better and more public infrastructure, digital infrastructure, and social infrastructure. The budget prioritizes infrastructure as a vital element in economic transformation. To achieve this, the government is projecting infrastructure spending to remain between 5.0 percent to 6.0 percent of GDP over the next six years. And to improve transportation in the Philippines in line with the Administration’s Build, Better, More Program, the Department of Transportation is allotted USD 1.91 billion. This represents a 40 percent increase from its previous year’s allocation.

Meanwhile, as we acknowledge the importance of sustainable economic growth, the government has also invested in renewable energy infrastructure and alternative resources that will contribute to sustainable development. Thus, the Department of Energy will receive USD 6.0 million for its Renewable Energy Development Program, Energy Efficiency and Conservation Program, and Alternative Fuels and Technologies Program.

Furthermore, mobilizing resources that enhance resilience and promote low-carbon development is a key agenda of the government. In pursuit of this, the budget for climate change adaptation and mitigation may reach Php 453.11 billion or USD 8.16 billion in 2023, equivalent to 8.6 percent of the total budget. This is significantly higher by 56.4 percent than the previous year’s allocation.

To fully attain the PDP objective to foster enabling environments encompassing institutions, public investments are being made to expand and improve digital infrastructure to ensure a technology-enabled workforce and improve governance.

As mandated by the Philippine Constitution, education remains our number one budget priority with an allocation of USD 16.13 billion.

And in line with the commitment to strengthen our healthcare system following the pandemic, the Health Department has one of the biggest increases in the budget with an allocation of USD 5.66 billion.

To ensure that our Agenda for Prosperity covers every Filipino family, the national budget also prioritizes the reinforcement of social protection with some USD 3.59 billion.

The Budget Department wants to ensure the longevity and continuity of all these programs, so we have set in place legislative and budget reforms to safeguard the integrity of our budget process. Foremost of which is the Progressive Budgeting for Better and Modernized Governance or the PBBM Governance Bill which seeks to institutionalize key Public Financial Management (PFM) reforms. This will be a landmark law that will uphold fiscal responsibility principles, institutionalize cash budgeting system, strengthen oversight of our Bureau of the Treasury (BTr), and strengthen Congress’s power of the purse while embedding public participation in our decision-making.

Through these efforts and initiatives, we aspire to provide every Filipino a fighting chance to manage life’s uncertainties and achieve their full potential. We are working towards economic transformation that would be felt by every individual, family, and business in the Philippines.

We hope you will join us in our journey towards economic transformation by investing in the Philippines. On our part, we are providing investors with a conducive regulatory environment to make your time and investments in the Philippines worthwhile. Let us be partners in pursuit of economic transformation and our agenda for prosperity.

Maraming salamat, thank you, and mabuhay!

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To my fellow public servants in the Department of Budget and Management—both from the Central and our Regional Offices—a pleasant day to all.

Let me begin by saying THANK YOU. Maraming salamat po sa inyong paglilingkod sa bayan at sa ating mga kapwa Pilipino. It is because of your invaluable contribution that the Budget Department has been able to exemplify reform-oriented public service. This is evident in the early submission and approval of the FY 2023 National Budget last December 16, 2022—historically the fastest signing of the General Appropriations Act.

I would also like to thank you for actively adopting our digitalization efforts in Public Financial Management or PFM. This initiative goes beyond reduction or lower operational costs. Through this, we are able to forward digital transformation in the bureaucracy and show that it is possible to integrate technology into our systems and processes—to ultimately promote transparency and enhance productivity.

We also have a lineup of significant reforms with the end-goal of ensuring the equitable, prudent, transparent, and accountable allocation and use of public funds to improve the quality of life of each and every Filipino.

First is the Progressive Budgeting for Better and Modernized Governance or the PBBM Governance Bill that will institutionalize the Cash Budgeting System or CBS. A shorter transitional arrangement is being proposed for FY 2023. To fully reap the benefits of the system and engender fiscal discipline and strategic planning among all government agencies, we hope to have the regional offices onboard.

We will also fast-track the development and implementation of the Budget and Treasury Management System or BTMS to improve convenience, efficiency, accuracy, and timeliness in fiscal management and reporting.

Last December 19, the Public Financial Management Committee composed of the DBM, the Department of Finance (DOF), the Commission on Audit (COA), and the Bureau of the Treasury (BTr) approved the adoption of the Integrated Financial Management Information Systems or IFMIS to enhance the BTMS.

At the local level, we are proposing an amendment to the EO on full devolution. That is why as early as now, I want to seek your help in monitoring and capacitating our local government units as LGUs transition and assume their devolved functions. As I’ve always said, our economic transformation agenda will not be truly inclusive without our local governments.

The bulk of this meeting’s agenda is aimed at capacitating our LGUs to better implement programs and interventions that are tailor-fit to the needs of their constituents. This includes the updated Budget Operations Manual for LGUs, the electronic Competency Assessment Tool for Local Budget Officers, and the Public Financial Management Assessment Tool for LGUs.

Sama-sama po nating isulong at ipatupad ang lahat ng ito. It is only when we discuss our ideas, align our national and regional goals, and synergize our efforts that we can implement these harmoniously.

Of course, we will continue to give our best in crafting a budget that serves all Filipinos, especially the vulnerable sectors. We will work closely with other government agencies and partners to ensure that we are prioritizing the pressing needs of our people. And at the end of the day, we will strive for accountability and transparency in our budget.

With the help of the Philippine Open Government Partnership, Freedom of Information, and Open Budget Survey, among others, we will increase public trust in the department and in government as a whole.

Muli, maraming salamat po sa inyong paglilingkod. Let us continue working together so we can move closer to our ultimate goal of ensuring that our Agenda for Prosperity will include every individual, family, and sector in the country.

Assalamu alaikum. Mabuhay tayong lahat.

A pleasant afternoon once again to all the members of the Government Procurement Policy Board and every fellow public servant who is here with us for this year-end meeting.

I would like to thank all of you for supporting reform-oriented and people-centric initiatives that benefit the whole government and of course, our countrymen. I would like to commend the leadership of Executive Director Atty. Rowena Ruiz for encouraging everyone to carry out the Philippine government’s public procurement reform agenda.

I know that having to gather, engage with people who can help us, and re-orient ourselves to new ways of doing the things we have been doing for decades is a challenge in itself. Nevertheless, you willingly worked in unity, with us, and the other members of the Inter-agency Technical Working Group so we could set the foundations for up-to-date, technology-driven, and efficient public procurement policies, rules, and regulations.

We can also look forward to fruitful years ahead as we spearhead the implementation of the Green Public Procurement Roadmap which will integrate green choices in public procurement and put us closer to our ultimate goal of ensuring sustainable management and use of natural resources by 2030. As you all know, this is an advocacy that is really close to my heart.

That is why I am so grateful to all of you for strengthening collaborations and expanding networks that will result in multi-faceted solutions and innovations—all as we tread the path towards economic transformation. Coupled with our initiatives to digitalize government processes, records, and databases, this would hopefully help us realize our shared aspiration to take the Philippine procurement regime to the next level. And let us continue to educate our public procurement practitioners—the new ones and old ones alike.

​Thus, we still have a lot of work to do to regain the trust of the public and meet international standards of procurement. But I truly believe that with sincerity in service, a focused determination to improve, and with the proper use of technology and digitalization for efficiency and transparency, we can transform procurement policies and processes to be a mechanism that will thrust forward and truly help us achieve our Agenda for Prosperity. ​

Maraming salamat po. Assalamu alaikum, and may this holiday season bring hope, joy, and prosperity to you and your families. Mabuhay po tayong lahat!