DBM HOLDS FIRST-EVER FISCAL POLICY CONFERENCE

The Department of Budget and Management (DBM) held its first-ever Fiscal Policy Conference on November 22, 2024, at the University of Asia and the Pacific (UA&P).   

An initiative led by DBM Principal Economist Dr. Joselito R. Basilio and Assistant Secretary Romeo T. Balanquit of the Budget Policy and Strategy Group, the 2024 Fiscal Policy Conference gathered the country's economic luminaries to discuss strategies on how to address current challenges and, ultimately, lead the country to a stronger fiscal future.  

The panelists for the plenary discussion on “Efficient Governance Towards a Stronger Fiscal Future” were University of the Philippines (UP) Diliman School of Economics Professor Emeritus and National Scientist Dr. Raul V. Fabella; Bangko Sentral ng Pilipinas (BSP) Monetary Board Member Dr. Benjamin E. Diokno; and Ateneo de Manila University (AdMU) Professor and Brain Trust Inc. Chairperson Dr. Cielito F. Habito. The event's Master of Ceremonies was DBM Undersecretary Margaux Salcedo.  

Achieving a Stronger Fiscal Future  

UP Professor and National Scientist Dr. Fabella gave a comparative analysis of the investment rates of the Philippines’ neighboring countries and highlighted how they benefited from it. Dr. Fabella then raised a challenge to the current generation and Administration to foster an investment environment that will boost the country’s 22.4 percent investment rate to the standard 25 to 35 percent and ensure that the Philippines is at par with close competitors, including Vietnam’s 33.4 percent, Indonesia’s 29.4 percent, and Thailand’s 27.9 percent.   

Meanwhile, Monetary Board Member Dr. Diokno discussed how the BSP ensures a whole-of-government approach by aligning its monetary policy with the Development Budget Coordination Committee (DBCC) and other government agencies’ fiscal policy. He added that the International Monetary Fund (IMF) recognized how the DBCC’s fiscal consolidation strategy, which is laid out in the country’s Medium-Term Fiscal Framework (MTFF), complements the BSP’s monetary stance and gives the Philippines sufficient policy space to address future adverse shocks.   

AdMU Professor Dr. Habito underscored