-Elections to impact government spending in 2025

Midterm elections next year can drag down government spending due to a scheduled mandatory ban on new expenditures, according to the Cabinet-level Development Budget Coordination Committee (DBCC).

- By KEISHA TA-ASAN

This has prompted the DBCC to urge the timely disbursements as well as the implementation of programs and projects under the proposed record P6.352 trillion 2025 national budget.

In its 2025 Fiscal Risks Statement Report, the DBCC said government spending has surged this year due to robust investments in infrastructure.

"However, there may be a slowdown in project execution during the first half of 2025 on account of the upcoming midterm national and local elections," it said.

To mitigate the risk, the DBCC said that timely passage of the 2025 national budget along with early procurement activities before the spending ban will be crucial to sustaining growth.