Budget Secretary Amenah Pangandaman admitted that the Philippines cannot keep up with international benchmarks in key social sectors due to budget shortfalls and said the 2026 budget would already reach its limit.
During the House Committee on Appropriations hearing on Thursday, August 18, Pangandaman responded to House Deputy Minority Leader Chel Diokno of Akbayan Partylist, who questioned why allocations for education, health, and social protection remain far below global recommendations.
“The proposed 2026 budget allocates just around 3.5% of the GDP (Gross Domestic Product) for education versus the 4% to 6% recommended by UNESCO...about 2.2% percent for social protection versus the 5.1% of the GDP recommended by the International Labor Organization, and 1% for health as against the 5% percent GDP recommended by the World Health Organization. Bakit po paulit-ulit na parang ang pamumuhunan ng gobyerno natin para sa tao ay kulang?" Diokno asks.
“Bakit po paulit-ulit na parang ang pamumuhunan ng gobyerno natin para sa tao ay kulang? Kulang tayo sa edukasyon, kulang tayo sa kalusugan, kulang tayo sa social protection kumpara sa pamantayan ng ibang mga bansa,” the lawmaker added.
Pangandaman acknowledged the gap, saying that despite the ₱10.1-trillion proposed national budget for 2026, the government cannot fully fund the standards set by international organizations.
“Hindi po natin kaya pondohan lahat ng standards na ibinibigay ng mga international development partners. I think, if we add the percentages altogether, sosobra na po sa budget level natin, kasi kailangan po natin i-prioritize rin yung mga programang dapat pondohan,” Pangandaman explained.
She noted that budget priorities are anchored on the Philippine Development Plan (PDP) and roadmaps from different departments. For 2026, education remains the top priority, with the DBM trying to meet at least the 4% of GDP recommended for basic and tertiary education.
“'Yan po ay nakapaloob sa Philippine Development Plan atsaka sa mga road maps ng ating mga departamento… Sinubukan po natin na at least kahit papaano matugunan iyong 4% [of GDP] na kinakailangan para po sa ating basic education at tertiary education. Sinubukan po talaga natin,” she added.
While there are other sectors that remain to be important to look after, DMB also gives an eye to health, agriculture and social protection items that were all increased along with infrastructure spending which accounted for 5 to 6% of the GDP.
Apart from education, the DBM also raised allocations for health, agriculture, and social protection, while infrastructure spending was pegged at 5% to 6% of GDP.
