Marcos on vetoes to 2025 national budget: 'We must not compromise our future'

President Ferdinand "Bongbong" Marcos Jr. released a statement on Tuesday after he vetoed over P194 billion worth of line items in the P6.326-trillion budget for 2025.

"The aim of this Administration in our Medium-Term Fiscal Program is to ensure that government targets will respond more directly to the needs of the Filipino people as strategic growth-enhancing fiscal consolidation is pursued," Marcos said in his veto message to Congressional leaders. 

"We must be clearly driven by this goal because much as we want to do everything we wish for our people immediately and al at the same time, our finite resources compel us to exercise sound judgment to ensure our fiscal sustainability - we must not compromise our future, thus, the imperative need to program our priorities," added Marcos. 

Marcos signed into law the proposed national budget for fiscal year 2025 on Monday and said that he directly vetoed over P194 billion worth of line items that are not consistent with his administration's priorities, including some programs of the Department of Public Works and Highways (DPWH).

''We take our role as stewards of our taxpayers’ money seriously. And for this reason, after an exhaustive and thorough review, we have directly vetoed over 194 billion worth of the line items that are not consistent with our programmed priorities,'' Marcos said. 

''These include allocations for certain programs and projects of the Department of Public Works and Highways, and those under the Unprogrammed Appropriations, which increased by 300%,'' he added. 

Marcos also said that the government would pursue conditional implementation on certain items to guarantee that public funds will be used in accordance with their authorized and stated purpose.

Consentious spending

Marcos, meanwhile, emphasized that spending for the 2025 budget "should be consentious."

"The P6.326 trillion national budget for 2025 is a result of the liberal exercise of the Congress' power of the purse alongside ensuring pursuit of the Philippine Development Plan 2023 to 2028. I call on the conscientious utilization of this budget with the end of sustaining the country's high-growth trajectory and managing inflation while accelerating the implementation of well-targeted social services and structural reforms," said Marcos in a message to the Senate and House leaders.

"It is understood that the increases in appropriations and new budgetary items introduced by the Congress in this budget will be subject to the national government's cash programming, observance of prudent fiscal management, applicable budget execution rules and procedures, and approval by the President based on the programmed priorities of the government," Marcos added.

These congressional initiatives on budget increases, the President said, will have corresponding effects on the outputs and outcomes of the agencies concerned and therefore, the Department of Budget and Management should inform the said agencies of the changes in their respective appropriations and require the submission of their revised performance targets.

"While the final version of the national budget has significant distinctions from the President's proposed Budget, we remain determined to pursue the continued implementation and innovation of reforms in public financial management, procurement, and digitalization through a whole-of-government and a whole-of-society approach for a more efficient and transparent public service," he added.

2025 GAA

To recall, several lawmakers have apprehensions as regards some provisions of the 2025 General Appropriation Bill as its final version was only discussed by the chairpersons of the Senate Committee on Finance and the House Committee on Appropriations when the bicameral conference was convened.

Members of Congress specifically raised concerns about the P26-billion funding for the controversial Ayuda sa Kapos ang Kita Program or AKAP, the reduction in the budget of the Department of Education (DepEd), and the zero subsidy for the Philippine Health Insurance Corporation (PhilHealth).

The budget cuts in the DepEd were also made despite a provision under the 1987 Constitution indicating that the State shall assign the highest budgetary priority to the education sector.

In the signed GAA, the education sector, including the DepEd and other education offices, was allotted with P1.055 trillion while DPWH was given P1.007. The President vowed that education would remain as the top priority of his administration. 

''Titiyakin namin na mananatiling prayoridad ang social services, kasama na rin diyan ang edukasyon, ayon sa mandato ng ating Saligang Batas, pati na rin ang kalusugan,'' Marcos said.

(We will ensure that social services, including education and health, would remain our priority in accordance with our mandate under the 1987 Constitution.)

LIST: Line items vetoed, programs put in conditional implementation under 2025 GAA

—VAL, GMA Integrated News