The Department of National Defense (DND) has proposed redirecting funds from the Bases Conversion and Development Authority (BCDA) remittances to support the pensions of military personnel.
Defense Secretary Gilbert Teodoro made the suggestion during a budget briefing at the House of Representatives.
According to Teodoro, these funds should be allocated to military pensions instead of the Armed Forces of the Philippines (AFP) modernization program.
Under RA 7917, or the Bases Conversion and Development Act of 1992, 35% of BCDA remittances are required to be allocated to the AFP modernization program.
The Secretary explained that only P45.6 billion has been allotted by BCDA for the AFP modernization program from 1993 to 2022, equating to roughly P2 billion annually.
While this amount may not be substantial, Teodoro emphasized that it could still significantly contribute to military pensions.