November infra spending up 44.8%, disbursements up 10.4%: DBM

January 4, 2018

A sharp uptick in infrastructure and capital spending was reported in November as infrastructure disbursements reached P43.8 billion, registering a 44.8 percent year-on-year increase.

The boost in infrastructure spending also buoyed total disbursements in November, as it reached P252.1 billion, or a 10.4 percent increase. In sum, national government disbursements from January to November have amounted to P2.494 trillion, up by 10.1 percent from the comparable period in 2016.

“The statistics on government disbursements only bolster our thrust for efficient and effective public service delivery,” said Department of Budget and Management (DBM) Secretary Benjamin Diokno in a statement Thursday.

“The rise in infrastructure spending can be attributed to our ambitious Build Build Build program, which will usher in the Golden Age of Infrastructure in the Philippines,” Diokno added.

For the month of November, personnel services and infrastructure and other capital outlays served as the main growth drivers of disbursements. Personnel services reached P97.6 billion, P14.3 billion or 17.1 percent higher than the level in the previous year on account of the release of the year-end bonus and cash gift of government employees; the release of 2016 performance-based bonus of some agencies; as well as the requirements for the creation/filling of pension (DepEd, SUCs, and PNP); and retirement gratuity benefits of retirees in various agencies (DILG and DND).

Infrastructure disbursements reached P43.8 billion, or a year-on-year increase of P13.6 billion or 44.8 percent. Some of the major projects that contributed to the steep rise in infrastructure disbursements include: completed road infrastructure projects of the Department of Public Works and Highways (DPWH), such as flood control projects, and the construction, concreting, and widening of road networks nationwide; acquisition of various equipment under the capability enhancement program of the Department of Interior and Local Governance-Philippine National Police (DILG-PNP); and payments for supplies, repair and maintenance of patrol vessels of the Philippine Coast Guard.

“I assure you that the DBM, in coordination with the line agencies, have exerted all its efforts to ensure the expedient and prudent management of public resources,” said Diokno. “We have actively sought to limit underspending, defined as the deviation of program from actual disbursements, and expect to see even better results with the full-year FY 2017 disbursement report,” he added. “In essence, the DBM will not let up in its reform initiatives and will strive for continual improvement,”Diokno said. DMS