DBM says P1.3-trillion spending to lift economy

THE GOVERNMENT is betting that its P1.31-trillion programmed spending for the fourth quarter will lift full-year economic growth this year, Budget Secretary Amenah F. Pangandaman said on Thursday.

-  Aubrey Rose A. Inosante

The Department of Budget and Management (DBM) has programmed P1.31 trillion for disbursement during the October-to-December period.

“Our programmed spending for the fourth quarter will boost year-end economic growth and thus impact overall economic growth for the year,” Ms. Pangandaman, who also serves as the Development Budget Coordination Committee chairperson said.

In the first six months of 2025, the gross domestic product grew by 5.4%, slightly below the government’s 5.5% to 6.5% growth goal.

The third-quarter data will be released on Nov. 7.

However, the economy faces a possible slowdown as government spending is affected by a widening corruption scandal.

Ms. Pangandaman has said the slowdown in public infrastructure spending is temporary, with spending expected to “catch up” in the remaining months of the year.

The bulk of the amount allocated for social services, following President Ferdinand R. Marcos, Jr’s directive “to ensure that spending for the final stretch of 2025 directly benefits the Filipino people,” the DBM said.

The DBM said P2.74 billion was allotted for the National Disaster Risk Reduction and Management Fund (NDRRMP), which will go to the Quick Response Fund (QRF), as well as emergency cash transfers.