Budget release slowed as of June

Before the Aquino administration ended in June, it already released 87.2 percent of the 2016 national budget, a slower pace than a year ago, the latest Department of Budget and Management (DBM) data showed.

During the first half, the DBM released P2.618 trillion of the record P3.002-trillion budget, including continuing appropriations under the 2015 national budget as well as other automatic appropriations.

To compare, 89.5 percent or P2.331 trillion of the P2.606-trillion 2015 budget was released as of June last year.

For releases covering the original 2016 general appropriations act, allotment releases reached P2.588 trillion at end-June or 86.2 percent of the program.

Comprehensive releases to government departments during the first six months amounted to almost P1.52 trillion or 93.8 percent of the programmed P1.62 trillion.

As for special purpose funds, P193.5 billion or 42.9 percent of the P451.2 billion programmed for 2016 was released as of end-June.

Automatic appropriations—programmed over a period prescribed by law through outstanding legislation requiring periodic action by Congress—worth P875.2 billion or 94 percent of the P930.7-billion program for this year was released in the first six months.

These automatic appropriations included retirement and life insurance premiums, internal revenue allotment for local government units, pensions of former presidents as well as ex-presidents’ widows, grants and donations and interest payments.

Also released in the first half was P29.967 billion from continuing and automatic appropriations for departments, special purpose funds, as well as for grants and donations, military camps sales proceeds fund, and Armed Forces of the Philippines Modernization Act trust fund.

A balance of P383.4 billion must still be released before yearend.

The budgets released will be obligated by agencies for specific projects. Upon award of the projects, the allotted amounts will be disbursed for payments to contractors and suppliers. Ben O. de Vera

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