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Double-digit funding boost proposed for education, health in 2026

Business World Philippines

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August 14, 2025

THE DEPARTMENT of Budget and Management (DBM) proposed double-digit increases for the Education, Health and Transportation departments under the 2026 national budget, but reduced the allocation for the Public Works department by 12%.

- By Kenneth Christiane L. Basilio

The DBM on Wednesday submitted the P6.793-trillion National Expenditure Plan for 2026 to the House of Representatives, just over two weeks after President Ferdinand R. Marcos, Jr.’s State of the Nation Address, where he acknowledged public frustration and promised reforms in health, education and transport.

Next year’s budget is equivalent to 22% of the country’s gross domestic product (GDP), and is 7.4% higher than the P6.326-trillion national budget this year.

“The growth of our economy, the biggest contributor is government spending and infrastructure spending,” Budget Secretary Amenah F. Pangandaman told reporters after the turnover ceremonies. “Given what’s happening now, with global uncertainties, we also want to invest more in our people.”

The budget for the Education sector was increased by 16% to P1.224 trillion from P1.055 trillion this year, according to the President’s budget message.

This covers the allocation for the Department of Education (P928.5 billion, up by 18.7%), state universities and colleges (P134.9 billion, up by 6.1%), Commission on Higher Education (P33.9 billion) and Technical Education and Skills Development Authority (P20.2 billion).

“For the first time, the budget for basic and higher education has been increased monumentally to meet UNESCO’s (United Nations Educational, Scientific and Cultural Organization) recommended education spending target of at least 4% of the country’s GDP,” said Ms. Pangandaman.

National Government spending on education for next year would also meet the UNESCO-recommended 15-20% of total public expenditure.

“This is because we are determined to deliver immediate action on child nutrition, address the education crisis and support our youth so they can find jobs,” Ms. Pangandaman said. “If you have a young person who can read, who can study and is healthy, they will contribute to our workforce.”

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