Business groups welcome Marcos veto of P92.5-B in unprogrammed appropriations

The country’s most influential business organizations welcomed President Ferdinand Marcos “Bongbong” Marcos Jr.’s veto of P92.5 billion worth of line items under the unprogrammed appropriations in the P6.793-trillion 2026 General Appropriations Act (GAA).

In a statement on Tuesday, Philippine Chamber of Commerce and Industry (PCCI) president Ferdinand “Perry” Ferrer said he welcomes “Marcos’ move to veto approximately P92.5 billion unprogrammed funds,” describing it as a “decisive step toward promoting fiscal discipline, accountability, and transparency in government spending.”

Ferrer also urged the adoption of strong fiduciary safeguards and institutionalized stakeholder dialogues during the budget execution phase, ensuring that allocations must be translated into tangible economic value that strengthens investors’ confidence and sustains public trust.

“We welcome the passage of the 2026 GAA and we hope that the taxpayers’ money will be judiciously spent and utilized in ways that benefit all Filipinos. It should drive inclusive growth and economic progress across the country,” the PCCI chief said.

Moreover, Ferrer said he supports the CADENA Act or Citizens’ Access and Disclosure of Expenditures for National Accountability, which seeks to make every peso of public spending fully transparent, traceable, and accountable to the public.

“It is not enough to know what projects are created and funded but rather the detailed cost of the project should be transparent to ensure efficient use of taxpayers’ money. There has to be proper check and balance in every project spending,” he added.

Other business groups, the Roundtable For Inclusive Development, the Catholic Bishops’ Congress of the Philippines, and academe.

Meanwhile, the Makati Business Club said Marcos’ veto of P92.5 billion of unprogrammed appropriations “shows that the President is responsive to feedback from the private sector.”

The President, in vetoing P92.5 billion line items in the unprogrammed appropriations, said that the unprogrammed appropriations in the 2026 national budget was reduced to its “absolute bare minimum” or at the lowest level since 2019. 

“Let me be clear—the unprogrammed appropriations are not blank checks. We will not allow the unprogrammed appropriations to be misused or treated as a backdoor for discretionary spending,” Marcos said, adding that “utilization is provided with safeguards and is only available when clearly defined triggers and tests are met and will be released only after careful validation.”

The Makati Business Club said that while the President assured that the funds’ utilization is provided with safeguards, these “safeguards are yet untested, and experience has shown that patronage will find a way.”

“The implementation phase will be critical,” it said.

Nevertheless, Makati Business Club said that “the 2026 General Appropriations Act is an improved budget compared to those of the previous years, both in terms of allocation focus, and in the improved process transparency.”

“Information and transparency are necessary in the fight against corruption. But the real antidote will come from a truly engaged citizenry. The Makati Business Club, together with other members of the People’s Budget Coalition, commit to continue our active participation in the budget and implementation monitoring process,” it said.

Likewise, the Financial Executives Institute of the Philippines (FINEX) said that it “welcomes the President’s decision to veto P92.5 billion in unprogrammed appropriations, as well as his clear statement that unprogrammed funds must not be used as a backdoor for discretionary spending and that releases will occur only after careful validation and with full transparency.”

“This commitment sends a strong signal to markets, taxpayers, and institutions that fiscal discipline and accountability remain priorities,” FINEX said.

“Economic stimulus should not come at the expense of transparency, and every peso, whether programmed or unprogrammed, must be guided by clear objectives, measurable outcomes, and strong oversight,” the group said.

Executive Secretary Ralph Recto, during a press briefing, said some of the vetoed line items under the 2026 GAA are the following:

• Budgetary support for Government-Owned or Controlled Corporations (GOCCs) —P6.895 million
• Fiscal support for Comprehensive Automotive Resurgence Strategy (CARS) program —P4.32 billion
• Insurance for government assets —P2 billion
• Prior years LGU shares —P14 million
• RAISE program —P250,000
• GOP counterparts, foreign assistant projects —P35.769 million
• Payment of PS requirement —P43.345 billion
• Public Health Emergency Benefits —P6.7 billion
• Marawi Siege Victims' Compensation Fund —P2 billion

''Ang natira na lang ay tatlong items: support to foreign-assisted projects na P97.305 billion; revised AFP Modernization Program na P50 billion; at Risk Management Program na P3.6 billion," Recto added.

(Only three items remained: support to foreign-assisted projects na P97. 305 billion; revised AFP Modernization Program na P50 billion; at Risk Management Program na P3.6 billion.)

FINEX, meanwhile, said that it is prepared to collaborate with government and other stakeholders to promote sound fiscal management, disciplined execution, and strict governance standards.

“A budget that boosts the economy while maintaining transparency, accountability, and the rule of law is essential for building investor confidence and achieving long-term, inclusive growth for the Philippines,” it said. — RF, GMA Integrated News