DBM: Infrastructure, capital expenditures breach P1 trillion

MANILA, Philippines — Expenditures of the national government for infrastructure and other capital outlays grew to P1.02 trillion from January to November 2023 from only P861.8 billion in the same period in 2022, according to the Department of Budget and Management.

The latest figure translates to an increase of P159.8 billion or 18.5 percent in infrastructure spending based on the November 2023 national government disbursement report.

The increase in infrastructure and other capital outlays was largely attributed to the disbursements made by the Department of Public Works and Highways (DPWH) to cover the implementation of various priority projects; and capital outlays, such as construction, rehabilitation, renovation, repair and improvement of roads and bridges, as well as flood control structures. The implementation of various rail transport foreign-assisted projects of the Department of Transportation (DOTr) also contributed significantly to the growth of infrastructure spending.

“Government spending is vital to national growth. Thus, to help buttress robust economic growth, government agencies must continue to execute their programs and projects as authorized in the annual budget and deliver planned results in a timely manner,” Budget Secretary Amenah Pangandaman said.

To continue the infrastructure development through the Build Better More program, total infrastructure outlays have been allocated with P1.510 trillion in the enacted 2024 budget. This is P180 million higher than the P1.330 trillion amount allotted for infrastructure in the 2023 budget.

The Build, Better, More program aims to expand the country’s infrastructure by developing road, rail, mass transport, and flood control infrastructure projects to allow for growth in far-flung municipalities, as espoused by the vision of a Bagong Pilipinas.

This infrastructure allocation is equivalent to 5.5 percent of the country’s projected gross domestic product for this year, well within the 5.0 to 6.0 percent target of the government. This includes the Public Sector Infrastructure budget of the DOTr and DPWH amounting to P26.580 billion and P981.999 billion, respectively.