MANILA — President Ferdinand Marcos Jr. on Monday announced that he vetoed nearly ₱92.5 billion worth of projects listed under unprogrammed appropriations (UA) in the 2026 national budget, saying the move was meant to reduce discretionary spending to its bare minimum.
Speaking after signing the ₱6.79-trillion national budget for 2026, Marcos said Congress had already curtailed unprogrammed items to essential needs, but he opted to further cut them down, resulting in the lowest UA level since 2019.
Unprogrammed appropriations are standby funds that can only be released if government revenues exceed targets or when additional grants and foreign financing become available.
However, these have long been criticized as a potential source of discretionary spending and corruption.
Marcos stressed that his administration would not allow unprogrammed funds to serve as a “backdoor” for discretionary allocations, assuring the public that releases would undergo strict validation and be made transparent.
He emphasized that unprogrammed appropriations are not “blank checks,” noting that safeguards are in place and that funds can only be accessed once clearly defined conditions and tests are met.
The President said these safeguards would be enforced without exception to protect public interest and support national development goals.
Marcos also said the 2026 budget is designed to help bring the country closer to achieving a single-digit poverty rate by 2028.
In addition, he announced stricter enforcement of the ban on political involvement in the distribution of cash assistance and other forms of financial aid, stressing that only government agencies should handle disbursements to ensure beneficiaries receive full support without political patronage.