THE AQUINO administration expects to spend at least P287.587 billion next year for priority projects aimed at spurring rapid and inclusive economic growth.
Massive investments in infrastructure, agriculture and tourism are expected to propel the country to economic growth of 6-7% next year, data from the Department of Budget and Management (DBM) showed.
For infrastructure development, the Department of Public Works and Highways (DPWH) will receive P130.642 billion in 2013, up 15.61% from this year’s P112.998 billion.
Construction and rehabilitation of roads and bridges will account for P106.473 billion while flood control projects will get P18.219 billion. Some P3 billion will also support the DPWH’s public-private partnership projects, and another P909 million will be used to purchase right-of-way claims.
The Department of Transportation and Communication, meanwhile, has a P22.073-billion allocation for next year, up slightly from P21.199 billion in 2012.
A total of P11.503 billion will go to rail transport, such as the operation and subsidy for the capital’s Metro Rail Transit Line 3. Road transport — bus terminal and access roads — will get P5.475 billion, while maritime transport has been allotted P1.13 billion.
For agriculture development, significant funding has been set for the production of selected crops: rice (P7.454 billion), corn (P1.524 billion) and coconut (P1.739 billion). The government aims to produce 20 million metric tons (MT) of rice in a bid to attain self-sufficiency next year.
A total of P27.32 billion, meanwhile, will finance the creation, restoration and rehabilitation of irrigation systems on some 217,401 hectares of land.
The government also expects to construct 750 kilometers of farm-to-market roads worth P6.977 billion and provide crop insurance for 251,762 farmers to the tune of P1.183 billion.
Tourism will be also one of the priority industries next year as the government aims to lure 5.5 million tourists. About P12 billion will be used to finance the construction of 630 kilometers of access roads to strategic destinations. Some 15 airports and nine ports and wharves will also be developed for P3.515 billion. The continuation of the “It’s more fun in the Philippines” branding campaign will cost an added P1.25 billion.
More than economic growth, the other key result areas of the Aquino administration are poverty reduction, good governance, rule of law and climate change mitigation.
To bring down poverty, the government is looking to invest in basic education, social protection and universal health care.
The Department of Education will get P25.268 billion for basic educational facilities next year, up significantly from this year’s P16.42 billion. This will finance the creation of nearly 18,638 classrooms and the repair of another 3,850.
About 61,510 teaching personnel and 3,500 non-teaching personnel will also be hired, while some 31 million textbooks and teachers’ manuals will be procured.
Meanwhile, the conditional cash transfer program will cover 3.8 million households next year, with a sizeable P44.256 billion allocated. The National Health Insurance Program will also cover 5.2 million households, with P12.612 billion set for premiums.
Under good governance, the largest projects are the facilitation of clean and fair elections next year (P8.383 billion), integrated tax compliance and enforcement efforts (P4.37 billion) and local government capacity-building (P1.651 billion).
To keep the rule of law, the government will also roll out the Autonomous Region in Muslim Mindanao Investment Plan worth P13.438 billion, with funding for basic education, technical and vocational courses, health services and infrastructure.
Also, P8.361 billion will support fire prevention, suppression and investigation, while P5 billion will be used to modernize the Armed Forces of the Philippines.
Lastly, major investments to protect the environment are the National Greening Program (P5.888 billion), e-Tricycle Program (P3.096 billion) and forest protection (P1.001 billion).
The P2.006-trillion national budget was approved by President Benigno S. C. Aquino III last week. It will be presented to Congress on July 24 and the government hopes to have it passed into law before the yearend.
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Source: D. C. J. Jiao, BusinessWorld (15 July 2012)
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