SEN. Loren Legarda called for a government-wide overhaul of anti-corruption measures, saying an estimated P2.75 trillion in economic losses and foregone opportunities linked to corruption and inflation underscores the urgent need to strengthen transparency, accountability and preventive safeguards.
The estimate, covering the second quarter of 2025 to the second quarter of 2026, was cited by Senate President Sherwin Gatchalian and represents estimated economic losses and foregone opportunities, not government funds proven to have been stolen.
Legarda said the scale of the economic toll should prompt the government to move beyond political attacks and reactive investigations and address the institutional weaknesses that allow corruption risks to persist.
“Corruption is more than a political issue; it is a moral one. When public funds are plundered, it is the lives of our people that suffer,” she said in a statement.
She said corruption is particularly damaging during economic crises, when households and businesses are struggling with higher prices and rising fuel costs.
The Philippines scored 32 out of 100 and ranked 120th among 182 countries and territories in Transparency International’s 2025 Corruption Perceptions Index, down from 33 and 114th in the previous index.
“P2.75 trillion is no small amount. When this much is being lost from our economy because of corruption and inflation, we can no longer talk about corruption only whenever a new scandal emerges,” Legarda said.
“We must continuously examine where the system is weak, where processes can be abused, and how we can fix them before public funds are lost," she added.
Legarda’s call comes amid congressional investigations into alleged irregularities in government flood control projects, including claims involving nonexistent, incomplete and substandard projects.
“Given the burden our people are already carrying, we cannot allow corruption to further reduce funds that should be addressing their needs,” Legarda said.
She also questioned the government’s decision not to suspend excise taxes on diesel and gasoline despite elevated fuel prices.
Finance Secretary Frederick Go has said suspending the taxes could result in an estimated P12 billion in monthly foregone revenue. The Department of Finance has instead favored targeted assistance and excise tax relief for liquefied petroleum gas and kerosene.
“If we are afraid of losing P12 billion a month through tax relief, then we should be even more afraid of the trillions of pesos being lost from our economy because of corruption and the damage it causes,” Legarda said. “We cannot impose tighter tax collection on our people while allowing public funds to continue leaking because of corruption," she added.
Legarda is pushing Senate Bill 523, or the “Tapat na Paglilingkod Act,” which seeks to make anti-corruption measures a permanent part of government operations.
Filed in July 2025, the bill proposes an Anti-Corruption Mainstreaming Council and a six-year National Anti-Corruption Mainstreaming Agenda.
It would integrate corruption prevention into government planning, budgeting, procurement, hiring, implementation, monitoring and evaluation.
The measure would also require government agencies to identify corruption vulnerabilities and strengthen internal controls before risks escalate into violations.
The proposed law also includes safeguards for whistleblowers and good-faith disclosures, regular integrity discussions, transparency mechanisms and digital tools to identify corruption risks.