PHP20-B Budget Cut May Affect DOTr Projects but Mitigation Possible, Says Undersecretary

CAPAS — The Department of Transportation (DOTr) faces a potential impact from a PHP20-billion budget cut in its proposed 2025 budget, but there are ways to mitigate these effects, DOTr Undersecretary Timothy John Batan said on Thursday. Speaking at the Build Better More Infrastructure Forum in New Clark City, Batan acknowledged that the budget reduction could slow down project operations.

According to Philippines News Agency, the majority of the DOTr’s upcoming projects are foreign-assisted, with loans already secured. “Since they are foreign-assisted, we already have the loans in place,” he said. Additionally, Batan mentioned that the DOTr might tap into unprogrammed appropriations in the budget. “We’re able to tap that whenever we are not given the full amount requested for in the programmed section of the budget. There will still be effects because it takes time; there’s a process in tapping unprogrammed appropriations,” he said.

Transportation Secretary Jaime Bautista highlighted that some infrastructure projects, including their social components worth around PHP20 billion, were left out of the 2025 National Expenditure Program (NEP) prepared by the Department of Budget and Management (DBM) and approved by President Ferdinand R. Marcos. The President approved the government spending plan for 2025 earlier this month. The NEP, the national government’s spending plan for the next fiscal year, will become the General Appropriations Act upon approval by Congress and signing into law.

For 2025, the proposed national budget is set at PHP6.352 trillion.