P60-B PhilHealth funds to be restored as 'savings' in 2026 budget - Recto

THE GOVERNMENT will restore the P60 billion in excess funds of the Philippine Health Insurance Corp. (PhilHealth) as "savings" in the proposed 2026 national budget, Finance Secretary Ralph G. Recto said.

- Aubrey Rose A. Inosante and Chloe Mari A. Hufana

Mr. Recto, who defended the National Government's decision to reallocate the funds before the Supreme Court (SC), is now under orders from President Ferdinand R. Marcos, Jr. to restore the funds to PhilHealth.

"(Savings) will be included in the NEP26 (National Expenditure Program for 2026).

We are also looking for legal authority to do it this year," he told Business World in a Viber message over the weekend.

The Department of Finance (DOF) said it issued a "solicited opinion" supporting the restoration of the funds, citing PhilHealth's improved revenue position and the availability of savings from other agencies after the termination of flood control projects.

The DoF's response came after Mr. Marcos on Saturday ordered the return of the P60 billion to PhilHealth, which would allow the agency to expand its benefit packages and strengthen the Zero Balance Billing program.

The President acknowledged public concerns that the transfer of excess funds could affect PhilHealth's programs and services, saying such worries are understandable given that healthcare involves lifeand-death situations.

"No matter how much we explained, no matter how much we showed that PhilHealth has been expanding the services it covers, people still had fears that services might be reduced," Mr. Marcos said.

The President's move may render the SC's ruling on the issue moot and academic.