THE release rate of the 2026 national budget slowed to 68.1 percent in March, compared to the 80 percent in the same month last year, according to the Department of Budget and Management.
Data from DBM’s Status of Allotment Releases showed that P4.63 trillion out of the P6.793-trillion General Appropriations Act (GAA) has been disbursed as of last month — leaving a balance of about P2.17 trillion.
“DBM is exercising more caution amid higher borrowing costs and revenue uncertainty, while making sure projects are truly ready before funds are released,” said Jonathan Ravelas, senior adviser at auditing firm Reyes Tacandong & Co.
The slower budget release “isn’t a red flag — it’s a strategic pause,” Ravelas explained. “Last year’s faster pace reflected post‑pandemic catch‑up spending; this year is more about discipline and quality control.” Of total disbursed funds, P2.77 trillion, or 75.4 percent of the P3.68-trillion adjusted program, went to government agencies and departments.
Special Purpose funds got P198.78 billion, while Automatic Appropriation releases were P1.58 trillion. These accounted for 27.6 percent and 66.0 percent of the adjusted program budget of P719.4 billion and P2.39 trillion, respectively.
This year, the Development Budget Coordination Committee (DBCC) set a disbursement goal of P6.43-trillion, or 21.1 percent of the country’s gross domestic product (GDP) and 7.2-percent growth from 2025’s P6.005 trillion.
Government spending had declined in the last semester of 2025 following a massive corruption scandal in infrastructure projects.
It is now aiming for a spending target of 4.3 percent of GDP, or P1.3 trillion based on the General Appropriations Act.
“Looking ahead, I expect releases to accelerate in the second and third quarters, particularly for infrastructure and key social sectors,” Ravelas said.
“Bottom line is, this is [not] about spending less, [but] about spending smarter, which is ultimately better for growth and market confidence,” he added.
