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LGU Budget Rises to P1.2 T in 2026
The Philippine Star
|June 13, 2025
Budget allocation for local government units (LGUs) will rise by 15 percent to P1.2 trillion in 2026 as government revenues continue to recover from the pandemic.
In its latest local budget memorandum, the Department of Budget and Management (DBM) released the indicative national tax allotment (NTA) shares of LGUs for 2026.
The higher allocation came as state agencies and LGUs prepare their budget proposals for the record P6.793 trillion proposed National Expenditure Program (NEP) for 2026.
According to the DBM, NTA for LGUs for 2026 will increase by 15 percent to P1.19 trillion from this year's level of P1.03 trillion.
LGUs will get a higher share as the NTA is based on the 2023 revenue collection, which improved as the economy sustained its recovery from the pandemic.
In computing the NTA, the DBM uses as base period the third year prior to the distribution. In this case, the 2026 budget of LGUs is measured against the revenues raised in 2023.
This story is from the June 13, 2025 edition of The Philippine Star.
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