President Ferdinand R. Marcos Jr. has ordered the release of about PHP1.307 trillion in programmed appropriations to stimulate the Philippine economy, Malacañang said on Thursday.

In a press briefing, Palace Press Officer Claire Castro said the fund release aims to ensure the speedy recovery of the country, especially the communities hit by recent calamities.

Castro said the utilization of the programmed appropriations, most of which would be allocated for social services for the rest of 2025, would drive a “multiplier effect” on the economy.

“Naniniwala ang pamahalaan na kapag nagagamit nang tama ang pera ng bayan para sa imprastruktura, kalusugan, edukasyon o mga direktang subsidiya, mas maraming pera ang pumapasok na tutulong sa pagpapalago ng ekonomiya ng bansa (The government believes that when public funds are used properly for infrastructure, health, education, or direct subsidies, more money circulate, helping stimulate the country’s economy),” she said.

“Mayroon ding tinatawag na ‘multiplier effect’ ang pag-gastos ng pamahalaan sa mga mahahalagang programa. Ibig sabihin, bawat pisong inilalabas ay nakalilikha ng higit pa sa isang pisong halaga ng aktibidad sa ekonomiya (Government spending on essential programs also have a ‘multiplier effect’. Meaning, every peso spent generates more than one peso’s worth of economic activity).”

Of the PHP1.306 trillion, about PHP2.74 billion will be used to augment the National Disaster Risk Reduction and Management Fund, the DBM said in a separate statement, noting that the allotted budget would cover the Quick Response Fund replenishment and Emergency Cash Transfers, in anticipation of possible typhoons in the remainder of 2025.

The DBM said the Department of Social Welfare and Development will receive PHP9.52 billion for the distribution of conditional cash transfers to beneficiaries of the Pantawid Pamilyang Pilipino Program; PHP7.03 billion for payouts for the Assistance to Individuals in Crisis Situation Program; PHP5.77 billion for indigent senior citizens’ social pension benefits; and PHP4.83 billion for the Ayuda sa Kapos ang Kita Program.

The Department of Agriculture will also get PHP7.33 billion for the implementation of the National Rice Program, and an additional PHP2.47 billion for the National Livestock Program.

The DBM said PHP2.29 billion would go to the National Food Authority (NFA) for the buffer stocking program and targeted rice distribution program to ensure the availability of rice, especially in case of unforeseen domestic and global headwinds.

The DBM also assured the public that education remains a priority to harness the youth’s potential, noting that about PHP203.82 billion would be released to the Department of Education.

“This includes allocations for Personnel Services totaling PHP153.71 billion, which will cover the year-end benefits of teachers and personnel, including year-end bonus; and PHP11.4 billion for the Salary Standardization Law (SSL) adjustments,” it said. “Meanwhile, PHP23.62 billion is released for the operations of schools, while PHP32.79 billion is earmarked for Government Assistance and Subsidies.”

The DBM also released PHP31.78 billion to state universities and colleges (SUCs) and the Commission on Higher Education, in support of the implementation of key higher education programs.

The funded initiatives include the free higher education and tertiary education subsidy, as well as the funding of personnel benefits and requirements of SUCs, in consideration of the sustained implementation of the Universal Access to Quality Tertiary Education Act or Republic Act 10931 and the overall delivery of quality higher education services nationwide.

To ensure sustained employment, the DBM earmarked PHP4.89 billion for the Department of Labor and Employment’s (DOLE) continued implementation of livelihood and emergency employment programs, including the Tulong Panghanapbuhay sa Ating Disadvantaged Workers Program, Government Internship Program, DOLE Integrated Livelihood Program, and the Adjustment Measures Program.

The programs implemented by the DOLE aim to generate immediate employment, support income recovery, and enhance livelihood opportunities for vulnerable sectors.

The DBM said about PHP4.3 billion would be used to cover the operational expenses of hospitals run by the Department of Health in Metro Manila, and an additional PHP9.96 billion for regional hospitals.

Another PHP787.95 million has also been released for subsidies under the Medical Assistance to Indigent and Financially-Incapacitated Patients, and PHP179 million for the Cancer Assistance Fund to ensure continued assistance and ease the burden of patients seeking medical treatment.

For our Overseas Filipino Workers (OFWs), PHP528.09 million has been earmarked for the Department of Migrant Workers’ programs, such as the OFW Hospital, the Agarang Kalinga at Saklolo para sa mga OFWs na Nangangailan Fund, and the National Reintegration Center for OFWS.

About PHP321 million of the PHP528.09 million will be allotted for the Emergency Repatriation Program of the Overseas Workers Welfare Association, the DBM said.

The DBM said a total of PHP63.7 billion would be used to cover the year-end benefits of government employees, including teachers.

DBM Secretary Amenah Pangandaman said the bulk of the released programmed appropriations would be used primarily for social services to ensure that spending for the final stretch of 2025 directly benefits the Filipino people.

“Our programmed spending for the fourth quarter will boost year-end economic growth and thus impact overall economic growth for the year,” Pangandaman said. (PNA)