2022 People's Proposed Budget Sustaining The Legacy of Real Change For The Future Generations

About the Cover
The Duterte Administration began its journey with

the Filipino people with the vision and commitment
to make real change happen in the country. As the
Administration concludes its years of service, and even
amidst a global health crisis, it continues to persevere
in transforming this vision into reality through the
sustained implementation of strategic programs and
policies that will ensure a bright future for generations
of Filipinos. This commitment is clearly reflected in the
priorities of its last fully-enacted financial plan – the
2022 National Budget.
The cover design is inspired by Filipinos from all walks of

life to whom the current Administration wishes to leave
a legacy of real, positive change for all generations.
Ang 2022 Badyet: Mula sa pangangailangan ng tao

para sa kapakanan ng tao
Cover design and description by: Junrey E. Rosales
Photo credits: Presidential Communications Operations Office, Philippine National Police, Armed Forces of the Philippines, Department
of Education, Commission on Higher Education, Department of Environment and Natural Resources, Department of Agriculture,
Commission on Population, and Department of Public Works and Highways
Table of Contents
2 Foreword Malasakit: Strengthening the Social Fabric
The Proposed 2022 National Budget 40 Governance

Patuloy na Pag-unlad:
4 Sustaining the Legacy of Real Change Increasing Growth Potential
for the Future Generations
42 Science and Technology
6 Primer on the Supreme Court Ruling 44 Population
on the Mandanas-Garcia Case
Pagpapatibay: Fortifying the Foundations
for Sustainable Development
2022 Budget Dimensions
46 Infrastructure
8 By Sector (Traditional System)
50 Environment
10 By Sector (COFOG)
52 Peace, Public Order, and Safety
12 By Expense Class
14 By Recipient Unit
Financing the National Budget
16 By Region
18 By Special Purpose Fund
56 The 2022 Budget and the Economy
20 By Appropriation Source
58 Fiscal Program
60 Revenues
Spending Priorities
61 Comprehensive Tax Reform Program
Pagbabago: Inequality-Reducing 62 Borrowings
Transformation
The Basics of Budgeting
24 Health
28 Nutrition 64 The Budget Cycle
32 Education 66 Glossary
34 Social Protection 67 Off-Budget Accounts
36 Labor and Employment
38 Housing 68 COVID-19 Transparency Nook
70 Ask Your Government

71 Survey Feedback Form
Foreword
financial health of the people and the nation, this proposed
National Budget holds even greater significance. While
we now seem to have survived the worst of the crisis,
much damage has been inflicted on our country. Our
people have suffered, the economy has taken a beating,
and development has been derailed. But fortunately, only
temporarily – because the Administration has always
been in control. The leadership has always been on
top of the situation, fully understanding the problems,
and committed to addressing them immediately and
appropriately.
The Proposed 2022 National Budget reflects this

commitment – to heal and recover. And, even beyond this,
it reveals the determination of the Duterte Administration
to ensure that the journey continues towards full
realization of its vision and goals for the Filipino people.
As President Duterte declared during the last Budget

Message he delivered, “We need to give back to our
people the dreams that they have almost abandoned, as
T
they struggled to survive the pandemic. We need to get
he Proposed National Budget for Fiscal Year on the road to recovery and resume our journey to peace
2022, submitted by President Rodrigo Roa and progress.”
Duterte to the 18th Congress on August 23, 2021,
These theme and narrative are highlighted in the 2022
affirms the Administration’s commitment in the People’s Proposed Budget. It keeps the focus on
coming year to decisively address the continuing ensuring the country’s recovery from the pandemic
challenges of the global health crisis without through strategies and measures that would reduce if
compromising on the Filipino people’s desire for not finally halt the spread of the COVID-19, and cushion
change and their aspirations for a better life. the economic and social shocks of the pandemic. This,
without losing sight of the Duterte Administration’s
The PhP5.024 Trillion Proposed 2022 National Budget is goals and priorities aimed at building a better Philippines
the last full-year government budget to be enacted under through change for positive transformation and the
the Duterte Administration. This proposal is equivalent fulfillment of national aspirations.
to 22.8 percent of the country’s Gross Domestic Product
(GDP) and higher by 11.5 percent than last year’s National The Proposed 2022 National Budget will ensure that the
Budget. legacy of real change – the Duterte Administration’s
mandate from and promise to the Filipino people – will
Though this financial program covers an entire fiscal year, live on and bear lasting fruit in the strongly-rooted,
with the scheduled turn-over to the next administration comfortable, and secure lives of future generations of
by mid-year, its implementation will transition from the Filipinos.
present administration to the next. This reality was at the
core of and shaped the planning process for the country’s In this publication, the 2022 People’s Proposed Budget, the
expenditure program for 2022. Department of Budget and Management (DBM) provides
a concise but comprehensive presentation of how these
Undeniably, this proposed National Budget will be crucial, objectives, priorities, and strategies will be pursued and
not only to support a smooth and efficient transition, but achieved in the coming year, and even beyond the Duterte
to serve as a critical link between the present and the Administration. This is our blueprint, the strength of our
future, maintaining the momentum of development and roadmap for the sure way forward.
sustaining the legacy of change – promised and delivered
– for Filipinos today and for the future generations.
TINA ROSE MARIE L. CANDA
Moreover, against the backdrop of a still raging pandemic
that has already severely impacted the physical and Officer-in-Charge
2 2022 PEOPLE’S PROPOSED BUDGET

Department of Trade and Industry Department of National Defense
Department of Trade and Industry
Department of Agriculture
Research Institute for Tropical Medicine

The Proposed 2022 National Budget
THE PROPOSED 2022 NATIONAL BUDGET
Sustaining the Legacy of Real Change

for the Future Generations
R eal change that is felt in all levels of society: this has been
the Duterte Administration’s battle cry from the moment
it crafted its first Budget in 2017. Since then, landmark laws
and legislations have been passed and enacted to positively
change the life of every Filipino—the Universal Access to
Quality Tertiary Education Act, Universal Health Care Law,
Free Irrigation Service Act, and Bangsamoro Organic Law,
to name a few.
The PhP5.024 Trillion Proposed 2022 National Budget, the

last under the current Administration, will prepare the way
for the country’s next leader to build on the achievements
and progress achieved during the past five years. It will fund
key programs and projects that will help guide the nation
back on the path towards a matatag, maginhawa, at panatag
na buhay, as well as sustain the legacy of real change for
the benefit of the future generations.
Department of Public Works and Highways
Department of National Defense
Presidential Communications Operations Office

Commission on Population and Development
Department of Health

Design Center of the Philippines
2022 Budget Philosophy

The proposed 2022 National Budget was crafted in
pursuit of and will be guided in its implementation
by the following pillars:
Bangko Sentral ng Pilipinas
Building Resilience
amidst the Pandemic
Safeguarding public health and reducing the
severe impacts of the COVID-19 pandemic on Sustaining the Momentum
vulnerable groups are critical for a strong recovery.
towards Recovery
This is why 38.3% of the proposed 2022 National
Budget, or PhP1.922 trillion, has been allocated for The Philippine economy grew by 11.8% in the
social services to fund health-related programs second quarter of 2021, a huge leap from the
and projects and provide cash subsidies for the -17% recorded in the same period last year.
hardest-hit sectors.
To sustain this growth momentum, the
Continuing the Legacy government will ensure sufficient funds for
programs and projects that will spur economic
of Infrastructure Development activity and strengthen the country’s workforce.
Committed to fulfilling the promise of a “golden Also, the implementation of the Supreme Court
age of infrastructure” in the Philippines, the (SC) Ruling on the Mandanas-Garcia Case
Administration continues to invest in the starting 2022 is expected to have a positive
construction of vital infrastructure, such as impact on the economy.
roads and bridges, that will improve mobility and
connectivity across the country and encourage With this policy shift, local government units
foreign investments that will lead to the creation of (LGUs) will now receive their just share in the
more jobs for Filipinos. national taxes, which is equivalent to PhP959.0
billion in FY 2022. This is PhP263.5 billion, or
For 2022, the Build, Build, Build Program will receive 37.9%, higher than the FY 2021 shares of LGUs.
PhP1,180.5 billion or the equivalent of 5.3% of GDP. More funds will enable LGUs to create more jobs
The bulk of the infrastructure budget, or PhP655.0 and livelihood opportunities for the people, thus
billion, will go to the Department of Public Works contributing more to economic recovery.
and Highways.
Please see pages 6 to 7 for more information on the SC
Ruling on the Mandanas-Garcia Case.
THE PROPOSED 2022 NATIONAL BUDGET 5

Primer on the Supreme Court Ruling

on the Mandanas-Garcia Case
C rucial in achieving good governance is the empowerment of local governments. As the
national government’s (NG) counterpart in the grassroots level, local government units (LGUs),
as observed during the COVID-19 pandemic, are the most capable in performing timely assessments
and implementing effective measures that will directly benefit the people.
The implementation of the landmark Supreme Court (SC) Ruling on the Mandanas-Garcia Case
starting next year will provide the LGUs their just share from the national taxes, thus strengthening
fiscal decentralization and upholding the local autonomy and responsibility of LGUs in the delivery
of goods and services to the Filipinos.
What is the SC Ruling on the Mandanas-Garcia Case?

The SC Ruling on the Mandanas-Garcia Case To smoothly implement the full devolution
refers to the final decision of the SC on the measure, Executive Order (EO) No. 138
petitions filed by former Batangas Congressman directing the full devolution of certain
and now Governor Hermilando I. Mandanas functions of the Executive Branch to the LGUs
and former Bataan Governor and Congressman was issued on June 1, 2021.
Enrique Garcia, Jr. on how the NG should
determine and compute the just share of LGUs EO No. 138 directs the preparation of
in the national taxes. Devolution Transition Plans both by the
National Government Agencies and LGUs that
The SC ruled in favor of the petitioners that would facilitate the devolution of relevant
the “just share” from national taxes should be functions from FYs 2022 to 2024.
based not only on the national internal revenue
taxes (NIRT) collected by the Bureau of Internal In addition, said EO established the
Revenue (BIR), but should include ALL national Growth Equity Fund, which shall serve as
taxes, including the collections (customs financial assistance to the identified poor,
duties) by the Bureau of Customs (BOC), and disadvantaged, and lagging LGUs for the
be henceforth referred to as the National Tax implementation of their identified priority
Allotment (NTA). projects to gradually enable the full and
efficient implementation of the functions and
With the implementation of the SC Ruling, the services devolved to the local government.
FY 2022 NTA shares of LGUs shall be PhP959.0
billion based on the certifications submitted to
the Department of Budget and Management
Key Changes
by the BIR, BOC, and Bureau of the Treasury on
the actual collections of national taxes in FY
2019. This is PhP263.5 billion, or 37.9% higher, Name
than the FY 2021 shares of LGUs. Internal Revenue National Tax
Allotment (IRA) Allotment (NTA)
Thus, with the increase in the just share of
LGUs in the national taxes, it is expected that Share in Taxes
40% share of ALL taxes
they will now be primarily responsible in the 40% share of taxes collected by the BIR,
delivery of devolved services as prescribed collected by the BIR BOC, and other agencies
under Section 17 of the Local Government
Code of 1991 (Republic Act No. 7160)
and other pertinent laws.
6 DEPARTMENT OF BUDGET AND MANAGEMENT

Benefits of this SC Ruling
Department of the Interior and Local Government
Quezon City Government

Pasig City Government
Promotes fiscal Improved delivery
More accountability
decentralization of services
With 40% of all national taxes Local governments will now
With the increase in the shares
collected by the BIR, BOC, have more fiscal resources
of LGUs, the public can benefit
and other agencies to be to provide improved services
more from better services
allotted for LGUs, more funds and to foster participatory,
from their local governments.
will be available at the local accountable, responsive, and
levels. transparent local governance.
Municipality of Baliuag, Bulacan
Increased economic
Better partnership between the NG and LGUs
participation
Jobs and livelihood opportunities As LGUs gradually fully assume more devolved functions,
will be further expanded at the the NG will continue to work closely with local governments
grassroots level, giving LGUs more to achieve the goal of building a society where no one
opportunities to contribute to is left behind.
the country’s economic growth.
Always be informed on where your taxes go.

For more information on how this SC Ruling will affect you
and your community, please visit the official websites and
social media pages of the following government agencies:
Department of Budget and Management (DBM)

Department of the Interior and Local Government (DILG)
Presidential Communications Operations Office (PCOO)
League of Provinces of the Philippines (LPP)
League of Cities of the Philippines (LCP)
League of Municipalities of the Philippines (LMP)


By Sector (Traditional System)
T o support the government’s COVID-19 response and recovery agenda and other crucial
expenditures, the proposed 2022 National Budget invests heavily in the Social and Economic
Services sectors. Health, social welfare, and infrastructure development continue to be prioritized in
order to manage the risks of the outbreak and boost economic growth.
Budget by Sector, 2021-2022

(in billion Pesos)
224.4
206.8
541.3
560.2
862.7
747.8
1,473.5
1,323.1
Social Services
Economic Services
General Public Services

1,668.0 1,921.8
Debt Burden
(includes Net Lending)
2021 2022 Defense
Note: Figures may not add up due to rounding off.
Social Services will get 38.3% of the proposed General Public Services will receive
2022 National Budget with PhP1.922 trillion, PhP862.7 billion to ensure public order and
15.2% more than in 2021. The amount is safety, as well as the efficient management
earmarked for programs on health system of government funds, among others.
improvement, education, social protection, and
employment assistance, among others. Debt Burden will be allocated PhP541.3 billion
to cover interest payments for domestic and
Economic Services will receive 29.3% of the foreign debts, and net lending assistance.
proposed National Budget, or PhP1.474 trillion,
an increase of 11.4% over its 2021 allocation. Defense will get PhP224.4 billion to safeguard
It will primarily fund efforts to revitalize the national security amid the pandemic.
economy, such as the Build, Build, Build Program
and agricultural development.

Key Items Under Each Sector
Department of Education
Social Services PhP1.922 T

Of which:
Education, Culture, PhP803.0 B
and Manpower Development
Subsidy to Local PhP380.7 B
Government Units (LGUs)
Social Security, Welfare, PhP475.9 B

and Employment
Health PhP252.4 B
Economic Services PhP1.474 T

Of which:
Communications, Roads, PhP771.8 B
and Other Transport
Commission on Higher Education
Subsidy to LGUs PhP360.1 B

Agriculture and Agrarian Reform PhP152.1 B
Water Resources Development PhP90.0 B
and Flood Control
General Public Services PhP862.7 B

Of which:
Public Order and Safety PhP321.0 B
Subsidy to LGUs PhP288.1 B
General Administration PhP190.5 B
Debt Burden PhP541.3 B

Debt Service-Interest Payments PhP512.6 B
Net Lending PhP28.7 B
Defense PhP224.4 B
Domestic Security PhP224.4 B
Philippine National Police


By Sector (COFOG)
T he government also presents the National Budget through the Classification of the Functions
of Government (COFOG) System. The COFOG System classifies all expenditures into 10 major
sectors: General Public Services; Economic Affairs; Public Order and Safety; Defense; Environmental
Protection; Education; Social Protection; Health; Housing and Community Amenities; and Recreation,
Culture, and Religion.
What is COFOG?
A classification system developed by the Organisation for Economic Co-operation and Development
that categorizes expenditures based on their functions, regardless of the implementing agency
A more accurate way of monitoring where the National Budget goes
Sectors that Benefit

Society as a Whole
General Public Services

PhP2,211.3 B (44.0%)
PhP1,031.9 B: Executive and legislative organs,
financial and fiscal affairs, external affairs

PhP527.1 B: Public debt transactions
Department of Justice
PhP520.7 B: General services
Economic Affairs
PhP756.3 B (15.1%)
PhP591.2 B: Transport
PhP121.5 B: Agriculture, forestry, fishing,
and hunting
PhP14.1 B: General economic,
commercial, and labor affairs
Public Order and Safety

PhP268.9 B (5.4%)
PhP176.0 B: Police services
PhP33.2 B: Law courts
PhP23.7 B: Fire protection services
Defense
PhP201.8 B (4.0%)
PhP200.2 B: Military defense
PhP1.5 B: Civil defense

Environmental Protection
PhP24.4 B (0.5%)
PhP10.4 B: Protection of biodiversity
and landscape
PhP3.9 B: Waste management
PhP2.8 B: Pollution abatement

Sectors that Directly
Benefit Individuals
Education
PhP774.4 B (15.4%)
Department of Social Welfare and Development

PhP292.8 B: Pre-primary and primary
education
PhP248.2 B: Secondary education
PhP114.1 B: Tertiary education
Department of Education
Social Protection
PhP509.2 B (10.1%)
PhP115.7 B: Pantawid Pamilya Program
PhP76.1 B: Survivors (Gender and
Development, Internally Displaced
Persons, and Relief Assistance)
PhP23.7 B: Old age (Senior citizens)
Health
PhP248.4 B (4.9%)
PhP80.0 B: Health insurance
PhP70.7 B: Public health services
PhP67.8 B: Hospital services
Housing and Community

Amenities
PhP25.6 B (0.5%)
PhP21.6 B: Water supply
PhP2.1 B: Community development
PhP1.5 B: Housing development
Recreation, Culture,
and Religion
PhP3.3 B (0.1%)
National Housing Authority
PhP1.5 B: Cultural services

PhP647 M: Broadcasting and
publishing services
PhP571 M: Recreational and
sporting services


By Expense Class
T he proposed 2022 National Budget may be classified into four major expenditure classes, namely:
Maintenance and Other Operating Expenses (MOOE), Personnel Services (PS), Capital Outlays
(CO), and Financial Expenses (FinEx).
Maintenance and Other Operating Expenses

2022: PhP2,072.6 B
2021: PhP1,744.9 B
2020: PhP1,633.5 B
Day-to-day operations of national government

agencies, covering expenses for basic utilities
and maintenance, among others Department of Science and Technology
Funding for government programs and services,

such as the Pantawid Pamilyang Pilipino
Program, National Health Insurance Program,
and Universal Access to Quality Tertiary 1
Education, among others
Subsidies to Government-Owned and/or
-Controlled Corporations
Allotment to local government units (LGUs)1/
1/
Inclusive of National Tax Allotment (formerly Internal Revenue Allotment), Special Shares in the Proceeds of National Taxes, Local
Government Support Fund, Special Shares in the Proceeds of Fire Code Fees, Barangay Officials Death Benefits, Allocation for the
Metropolitan Manila Development Authority, and Bangsamoro Autonomous Region in Muslim Mindanao
Personnel Services
2022: PhP1,456.1 B
2021: PhP1,299.6 B
2020: PhP1,184.8 B
Salaries and other compensation of civil servants

Implementation of the third tranche of the Salary

Standardization Law V
Hiring of additional health care workers and
teaching/non-teaching personnel under the
Department of Health and Department of
2
Education, respectively
Pensions of military and uniformed personnel

Capital Outlays
2022: PhP981.1 B
2021: PhP928.8 B
2020: PhP829.4 B
Infrastructure programs and projects of various

national government agencies, such as the
Department of Public Works and Highways and
the Department of Transportation, among others
Purchase of goods and services that add to the
assets of the National Government 3
Financial Expenses
2022: PhP513.8 B
2021: PhP532.7 B
2020: PhP452.4 B
Management supervision/trusteeship fees,

interest expenses, guarantee fees, bank charges,
commitment fees, and other financial charges
incurred when owning or borrowing an asset
or property
Interest payments on domestic and foreign debts 4
Budget by Expense Class, 2020-2022

(in billion Pesos)
Particulars 2020 2021 2022
MOOE 1,633.5 1,744.9 2,072.6
PS 1,184.8 1,299.6 1,456.1
CO (includes Net Lending) 829.4 928.8 981.1
FinEx 452.4 532.7 513.8
Total 4,100.0 4,506.0 5,023.6


By Recipient Unit
N ational government agencies (NGAs) will receive the largest share of the proposed 2022 National
Budget, amounting to 63.5% or PhP3.188 trillion, for the continued implementation of priority
programs on health, education, infrastructure, and social protection, among others.
Local government units (LGUs) will be supported

with an increased budget of PhP1.116 trillion,
equivalent to 22.2% of the proposed 2022 National
Budget. The largest component of this is the
PhP959.0 billion National Tax Allotment (NTA),
which refers to the LGUs’ just share in all national
taxes pursuant to the Supreme Court ruling on
the Mandanas-Garcia case. The NTA will support
the LGUs in fulfilling the devolved functions and
services pursuant to Section 17 of the Local
Government Code of 1991 and other pertinent laws.
Subsidy to government-owned and/or -controlled

corporations (GOCCs) will amount to PhP178.0
billion, while loan repayments to creditors will
reach PhP541.3 billion in 2022, inclusive of interest
payments and net lending assistance to GOCCs.
Budget by Recipient Unit, 2021-2022

(in billion Pesos)
2021 2022
3,500.0 2,942.8 3,187.9
3,000.0
2,500.0
2,000.0
1,500.0 844.6 1,116.4
1,000.0 560.2 541.3
500.0 158.4 178.0
0
NGAs LGUs GOCCs Creditors

Top 10 Departments
The total allocation for the top 10
departments/recipients amounts to
PhP2.710 trillion, or 53.9% of the proposed
2022 National Budget. Among these,
Department of Transportation
the Transportation, Labor and Employment,
and Health departments will receive the largest
increases over their previous year’s budgets.
1 PhP773.6 B
Education
2.9% 8.2% PhP191.4 B
Social Welfare 6
(DepEd, CHED, (DSWD)
SUCs, TESDA) 2021: PhP176.9 B
2021: PhP751.7 B
2 PhP686.1 B
Public Works
1.4% 72.2% PhP151.3 B
Transportation
7
and Highways (DOTr)
2021: PhP87.9 B
(DPWH) PhP2.710 T
2021: PhP695.7 B
Budget for the
3 PhP250.4 B
Interior and
0.4%
Top 10 Departments
2021: PhP2.563 T 0.8% PhP103.5 B
Agriculture
8
Local Government (DA, NIA)
2021: PhP102.7 B
(DILG)
2021: PhP249.3 B
4 PhP242.0 B
Health
15.1% 0.7% PhP45.0 B
The Judiciary
9
(DOH, PhilHealth) 2021: PhP45.3 B
2021: PhP210.2 B
5 PhP222.0 B
Defense
7.9% 21.0% PhP44.9 B
Labor and
10
(DND) Employment
2021: PhP205.8 B
(DOLE)
2021: PhP37.1 B


By Region
T o ensure the fair distribution of resources and foster inclusive growth across all regions, PhP3,195.8
billion, or 63.6% of the proposed 2022 National Budget, will be earmarked for development in both
urban and rural communities.
Proposed Regionalized Budget
Provincial Government of Bohol

City Government of Vigan
Luzon Visayas
PhP1,055.1 B PhP487.1 B
Per Capita: PhP21,197 Per Capita: PhP23,145
CAR Region I Region VI

PhP71.7 B PhP126.8 B PhP175.0 B
Per Capita: PhP39,012 Per Capita: PhP23,685 Per Capita: PhP21,790
Region II Region III Region VII

PhP114.1 B PhP235.5 B PhP167.2 B
Region IV-A MIMAROPA Region VIII

PhP249.3 B PhP95.4 B PhP144.9 B
Region V
Notes:
PhP162.4 B • Figures may not add up due to rounding off.
Per Capita: PhP25,988 • Per capita allocations are based on the projected mid-year
population of the Philippine Statistics Authority
(as of July 1, 2022)

National Capital
Region
PhP997.2 B
Per Capita: PhP70,630
Non-Regionalized Budget
Department of Environment and Natural Resources-Environmental
Management Bureau Region XIII
Mindanao Nationwide Allocations1/

PhP656.5 B
Per Capita: PhP24,648 2022: PhP1,584.1 B
2021: PhP996.6 B
Region IX Region X Nationwide Allocations consist of

PhP100.6 B PhP125.1 B special purpose funds and lump sums
Per Capita: PhP26,239 Per Capita: PhP24,398 that will be distributed to various
regions during the budget year.
Region XI Region XII

PhP116.1 B PhP98.3 B
Central Office Allocations
Per Capita: PhP21,298 Per Capita: PhP19,469
2022: PhP243.7 B
2021: PhP397.0 B
CARAGA ARMM
PhP83.5 B PhP132.8 B Central Office Allocations represent
Per Capita: PhP29,726 Per Capita: PhP30,458 the allocations managed by the head
office of departments/agencies for
their respective units.
1/
These include the Allocation to Local Government
Units (ALGUs), National Disaster Risk Reduction and
Management Fund, Pension and Gratuity Fund,
and Debt Service Fund.


By Special Purpose Fund
F or 2022, Special Purpose Funds (SPFs) will amount to PhP2.154 trillion, 20.1% higher than the
PhP1.793 trillion in 2021. SPFs are budgetary allocations for particular socioeconomic purposes
that are lump sum in nature and may only be distributed to recipient agencies when the specific
programs and projects to be funded have been identified during budget execution.
PhP1,593.6 B
Disaggregated SPFs
These are funds that are already broken down and allocated for specific agencies, programs, and projects.
PhP1,115.7 B PhP232.9 B
Allocations to Local Government Units (LGUs)1/ Pension and Gratuity Fund
Share of LGUs in the national revenue collection Payment for civil servants’ pension, retirement and
that are given in the form of subsidies terminal leave benefits, separation pay, and monetized
leave credits
PhP959.0 B National Tax Allotment
PhP206.7 B
PhP74.8 B Bangsamoro Autonomous Budgetary Support to Government Corporations
Region in Muslim Mindanao Financial assistance to government corporations in the
form of equities and/or subsidies, including net lending
PhP51.2 B Local Government
Support Fund
PhP38.2 B
PhP26.3 B Special Shares in the Miscellaneous Personnel Benefits Fund
Proceeds of National Taxes Personnel-related expenditures, such as funds for
the creation of new positions, filling of authorized
PhP4.5 B Metropolitan Manila positions, and various benefits of government
Development Authority personnel, among others
Disaggregated SPFs, 2021-2022

(in billion Pesos)
% Increase/
Particulars 2021 2022
(Decrease)
Allocations to LGUs1/ 844.1 1,115.7 32.2
Budgetary Support to
187.1 206.7 10.5
Government Corporations
Pension and Gratuity Fund 152.9 232.9 52.3
Miscellaneous Personnel
29.3 38.2 30.4
Benefits Fund
1/
Excludes the Special Shares in the Proceeds from Fire Code Fees and the Barangay Officials Death Benefits Fund
under the Lump Sum SPFs

PhP560.8 B
Lump Sum SPFs
These are funds that are not yet disaggregated and/or can
only be implemented when certain conditions are met.
PhP20.0 B
National Disaster Risk Reduction
and Management Fund (NDRRMF)
Emergency funds to be used for aid, relief, repair, and
rehabilitation of communities and areas affected by
natural and human-induced disasters
PhP14.5 B
Tax Expenditure Fund
Tax and customs obligations of agencies, LGUs, and
government corporations
PhP13.0 B
Contingent Fund
Standby funds for urgent and/or new projects and
activities of government agencies and corporations that
must be implemented or paid for during the fiscal year
PhP679 M
Allocations to Local Government Units
PhP629 M Special Shares in the
Proceeds from Fire Code Fees
PhP50 M Barangay Officials Death Benefits
PhP512.6 B
Debt Interest Payments
Payment for costs incurred from domestic and
foreign borrowings
Lump Sum SPFs, 2021-2022

(in billion Pesos)
% Increase/
(Decrease)
NDRRMF 20.0 20.0 -
Tax Expenditure Fund 14.5 14.5 -
Contingent Fund 13.0 13.0 -
Debt Interest Payments 531.5 512.6 (3.6)
Allocations to LGUs 0.5 0.7 40


By Appropriation Source
F or 2022, New General Appropriations will total PhP3.351 trillion, comprising 66.7% of the proposed
2022 National Budget and higher by 8.5% than its 2021 level of PhP3.087 trillion. The bulk of this
amount is allotted for national government agencies. On the other hand, Automatic Appropriations
will reach PhP1.673 trillion, or 33.3% of the proposed National Budget, an increase of 17.9% from its
previous year’s allocation of PhP1.419 trillion.
New General Appropriations Automatic Appropriations

PhP3,350.7 B PhP 1,672.9 B
Refers to the portion of the proposed National Refers to funds that do not require periodic
Budget that is submitted to the Congress action by the Congress and are already
annually for approval and legislation programmed annually through enabling laws,
and thus need not be included in the legislation
Departments/Agencies PhP2,798.4 B of the proposed National Budget
Special Purpose Funds PhP552.3 B
National Tax Allotment PhP959.0 B
Debt Service - Interest Payment PhP512.6 B
Bangsamoro Block Grant PhP67.0 B
Others1/ PhP134.3 B
Percentage Share of the National Budget, 2021-2022
66.7%
2022
33.3%
68.5%
2021
31.5%
0 10 20 30 40 50 60 70 80 90 100
New General Appropriations Automatic Appropriations
Retirement and Life Insurance Premiums (PhP60.0 B); Net Lending (PhP28.7 B); Special Account in the General
1/
Fund (PhP31.1 B); Tax Expenditure Fund (PhP14.5 B); and Pension of Ex-Presidents and their Spouses (PhP0.480 M)

Philippine News Agency (PNA) by Joseph Razon
Unprogrammed
Appropriations
PhP151.6 B
Pertains to standby or additional funds that
are available for the use of agencies when
additional revenues (e.g., excess revenues
from non-tax sources and new revenue
collections) are collected and when grants
or foreign loans are secured
Department of Agrarian Reform
Major Items under the 2022

Unprogrammed Appropriations
PhP45.4 B
Procurement of COVID-19 Vaccine

Booster Shots
PhP27.7 B
Support for Infrastructure Projects
and Social Programs
PhP25.0 B
Budgetary Support to Government-
Owned and/or -Controlled Corporations
PhP20.2 B2/
Support to Foreign-Assisted Projects
Subic Clark Railway Project PhP11.3 B
Safe Philippines Project (Phase 1) PhP4.5 B
Solar-Powered Fertigation PhP2.3 B
System Project
Support to Parcelization of Lands PhP2.0 B
for Individual Titling (SPLIT) Project
2/
Figures may not add up due to rounding off.

Spending Priorities
Government programs, activities, and projects (PAPs) that are envisioned
and will continue to uplift the lives of the present and future generations
of Filipinos will be sustained and further supported by the proposed
2022 National Budget. This section highlights PAPs that aim to promote
inequality-reducing transformation (pp. 24-39), enhance the social fabric
(pp. 40-41), increase the country’s growth potential (pp. 42-45), and fortify
the foundations for sustainable development (pp. 46-53).
SPENDING PRIORITIES
Health
A s the Philippines continues to battle against the COVID-19 pandemic, the government responds
by prioritizing the people’s health and building resilience while pursuing economic recovery.
For 2022, the proposed budget for the Health sector is PhP252.4 billion, signifying the Administration’s
intent to not only address the current health crisis, but also to restore social and economic stability
that will enable the country to achieve its long-term goal of improving the lives of Filipinos.
Fortifying the National

Health Care System
PhP80.o B PhP30.0 B
National Health Purchase and Allocation of
Insurance Program Drugs, Medicines, and Vaccines
To provide affordable and accessible To ensure the smooth procurement
health insurance for all Filipinos, in and distribution of medicines,
line with the Universal Health Care vaccines, medical drugs, and medical
(UHC) Law and dental supplies to government
health care facilities
Target beneficiaries include:
• 13.2 million indigent families
identified under the National
Household Targeting System
• 7.3 million senior citizens,
pursuant to Republic
Act No. 10645 or the Expanded
Senior Citizens Act of 2010
PhP53.0 B
Health Facilities
Operations Program
To fund the operations of the
Department of Health (DOH)-
administered hospitals and other
health care facilities, especially for
the provision of food, drugs and
medicines, medical supplies, and
other necessary equipment

Photos from the Antimicrobial Resistance Surveillance Reference Laboratory of the DOH
PhP19.6 B PhP17.0 B PhP3.8 B

Health Facilities Human Resources COVID-19 HRH
Enhancement Program for Health (HRH) Emergency Hiring
To construct, upgrade, expand, Deployment To ensure the continuous
and procure equipment for health To fund the salaries and other emergency hiring of COVID-19
facilities and hospitals benefits of 26,035 personnel to response personnel
be employed for the provision of
• PhP1.2 B promotive and curative services in
Requirements for Newly areas where they are most needed
PhP106 M
Established Government One Hospital
Hospitals • PhP721 M Command Center
To construct and equip newly DOH Pre-Service
established government To formulate a comprehensive
Scholarship Program
hospitals and coordinated pandemic
To cover 2,763 pre-service
response, provide health system
scholarship grants
capacity data analytics, and
PhP17.0 B optimize critical care
Medical Assistance
to Indigent Patients
To provide hospitalization and
other health assistance to
1.8 million indigent patients
PAGBABAGO: INEQUALITY-REDUCING TRANSFORMATION 25

SPENDING PRIORITIES
Regional Allocation for the Health Facilities Operations Program

(in Pesos)
Dangerous
Blood Centers
Drugs Abuse National
and National
Region DOH Hospitals Treatment and Research
Voluntary
Rehabilitation Laboratories
Blood Services
Centers
CAR 2,387,730,000 4,428,000 - -
I 2,809,075,000 111,453,000 3,868,000 -
II 2,787,140,000 62,460,000 1,000,000 -
III 3,952,224,000 141,783,000 7,109,000 -
NCR 15,843,720,000 312,084,000 457,563,000 300,603,000
IV-A 1,425,309,000 108,635,000 - -
MIMAROPA 498,588,000 - - -
V 2,275,227,000 143,133,000 5,182,000 -
VI 2,222,441,000 67,649,000 - -
VII 4,001,978,000 143,487,000 9,724,000 -
VIII 1,217,871,000 73,157,000 1,866,000 -
IX 2,368,956,000 8,409,000 5,535,000 -
X 2,749,641,000 94,796,000 1,865,000 -
XI 4,457,755,000 13,041,000 10,692,000 -
XII 1,088,173,000 13,042,000 1,866,000 -
CARAGA 745,379,000 83,414,000 - -
TOTAL 50,831,207,000 1,380,971,000 506,270,000 300,603,000
Strengthening Health Technology and Research and Development (R&D)
PhP983 M PhP619 M PhP140 M

Establishment of the Health Information Philippine Genomic
Virology Science and Technology Information and
Technology Institute To fund the capacity building Resource Hub (PGIRH)
of the Philippines (VIP) and information and To strengthen the capacity of the
To establish the country’s premier communications technology UP Philippine Genome Center to
virology facility, including the operating requirements and conduct genomic biosurveillance
procurement of equipment and equipment in support of the and immune-biosurveillance of
other R&D materials implementation of the UHC COVID-19 variants
Law and the DOH’s COVID-19
response activities

Preventing Disease and Improving Well-Being
PhP45.4 B PhP5.1 B
Procurement of COVID-19 COVID-19 Laboratory
Vaccine Booster Shots Network Commodities
To ensure procurement of 94 million To fund the procurement of
COVID-19 booster shots for fully GeneXpert cartridges and other
vaccinated Filipinos. This budget is laboratory supplies
lodged under the Unprogrammed
Appropriations.
PhP1.4 B
Prevention and Control of
PhP8.2 B Non-Communicable Diseases
Prevention and Control To fund programs and projects that
of Communicable Diseases seek to prevent and treat chronic
To curb and prevent the spread of diseases, such as hypertension,
infectious diseases among Filipinos diabetes, cancer, and mental illness
• PhP7.0 B PhP113 M
Provision for Communicable Provision for COVID-19
Diseases Commodities
To ensure the steady supply
Surveillance
of medical commodities for To facilitate disease surveillance and
leprosy, filiariasis, malaria, monitoring of COVID-19 and other
dengue, tuberculosis, and other respiratory infections
communicable diseases, as
well as requirements for Rabies
Control Program
• PhP819 M
Provision for Personal
Protective Equipment (PPE)
To cover the procurement
of 758,700 sets of PPEs for
distribution to health facilities,

laboratories, and isolation units,
among others
• PhP297 M
Provision for RT-PCR cartridges
To fund the procurement of
RT-PCR cartridges and other
laboratory supplies
For details of programs and projects on nourishment and sustenance,

please see the Nutrition section on pages 28 to 31.

SPENDING PRIORITIES
Nutrition
W ith the pandemic resulting in increased consumer food prices and unemployment rates,
more Filipinos have been experiencing hunger and malnutrition. To address this growing
concern and ensure a healthy and productive workforce that will continue to drive economic growth,
the Duterte Administration puts a premium on nutrition and food security in 2022.
Ensuring Good Nutrition

The proposed 2022 National Budget seeks to provide affordable and nourishing food for all,
especially for nutritionally at-risk children and mothers.
Supplementary School-based
PhP4.2 B Feeding Program PhP3.3 B Feeding Program
To provide meals and milk for To provide 1.72 million severely
1.94 million children ages two (2) wasted and wasted learners with
to five (5) years who are not formally nutritious food products and fresh
enrolled in kindergarten schools milk in order to improve their
nutritional condition
Complementary Early Childhood Care

PhP250 M Feeding Program PhP139 M and Development in the
To purchase therapeutic milk and First 1,000 Days Program
protein-enriched meals in order to To support local government units in
supplement the diets and improve providing additional sustenance to
the nutrition of 13,755 children ages 19,290 nutritionally at-risk pregnant
six (6) to 23 months and lactating women living in 5th to 6th class
mothers municipalities

Agricultural Training Institute
Feeding the
Next Generations
Throughout the Duterte
Administration’s term, landmark
laws and measures have been
implemented to improve the
nutrition of Filipinos, achieve food
Philippine Carabao Center
security, and ultimately end

hunger in the country.
Philippine Plan of Action RA No. 11203

for Nutrition 2017-2022 or the Rice Tariffication Law
Provided a framework for nationwide Lifted the quantitative restrictions on
nutritional improvement consisting rice imports to lower the price of rice
of nutrition-specific and nutrition- and make the rice sector more
sensitive programs competitive
Republic Act (RA) No. 11037 Enhanced Partnership against

or the Masustansyang Pagkain Hunger and Poverty Program
para sa Batang Pilipino Law Converged various government services
Established the National Feeding that specifically address hunger and
Program to address malnutrition poverty, and promote sustainable growth
among children
Executive Order No. 101, s. 2020

RA No. 11148 Directed the creation of a Zero Hunger
or the First 1,000 Days Law Task Force to formulate a national
Provides government support for health food policy and ensure a coordinated
and nutrition services focused on the approach in attaining zero hunger
first 1,000 days of child development

SPENDING PRIORITIES
Strengthening
the Country’s Food
Production System
Comprehensive food production systems
adequately provide for the people’s nutritional
needs while also contributing to economic
growth. Since agriculture is the backbone
of the Philippines’ food production system,
PhP152.1 billion of the proposed 2022
National Budget is earmarked for agriculture
and agrarian development in 2022.
The Department of Agriculture (DA)

will receive PhP72.0 billion to ensure
continued food production and assist farmers
and fisherfolk, while the Department of
Agrarian Reform will get PhP12.8 billion
to distribute land to landless tillers.
All photos are from the Department of Agriculture

PhP28.2 B PhP7.0 B
Banner Programs Buffer Stocking Program
and Projects of the DA To procure 368,421 metric tons
of palay and assure sufficient rice
Of which: 2020 GAA
supply during emergencies and crises
National Rice Program PhP15.7 B
National Livestock Program 1/
PhP5.1 B
National Fisheries Program PhP3.4 B
PhP4.5 B
Crop Insurance Program
National Corn Program PhP1.5 B
To provide full insurance premiums
National High Value Crops
PhP1.5 B to 2.3 million subsistence farmers
Development Program
and protect them from crop losses
National Organic due to natural disasters and plant
PhP519 M
Agriculture Program infestations
Intensified Community-
based Dairy Enterprise PhP477 M
Development Project PhP4.2 B
Fisheries Infrastructure
Development Program
PhP22.9 B To construct, upgrade, and operate
Irrigation Services various fish ports and post-harvest
To irrigate 24,089.45 hectares of farmland facilities nationwide
year-round through the national and
communaal irrigation systems managed
by the National Irrigation Administration PhP2.7 B
(PhP21.8 billion) and small-scale irrigation Land Acquisition and Distribution
projects of the DA (PhP1.1 billion)
To distribute 42,743 hectares of
agricultural lands to 34,965 agrarian
PhP10.0 B reform beneficiaries through the
Comprehensive Agrarian Reform Program
Rice Competitiveness
Enhancement Program
PhP2.5 B
To enhance the rice sector’s productivity
through mechanization, distribution of Credit Support Services
high-yielding rice seeds, and provision To improve credit access for 21,550
of credit support and capacity building small farmers and fisherfolk and 130
programs for small rice farmers micro and small enterprises
1/
Includes the PhP4.1 billion for the implementation of the Swine Recovery and Repopulation Program in areas
affected by the African swine fever outbreak

SPENDING PRIORITIES
Education
A s the pandemic shows no immediate signs of slowing down, it will continue to seriously threaten
and affect the country’s education system. In response to this, the government has allotted
PhP773.6 billion to the Education sector for the implementation of adaptive measures that will help
mitigate the adverse impacts of the current health emergency on student learning.
Department of Education - Region III
Supporting Basic Education
For 2022, the Department of Education (DepEd) will be given PhP630.8 billion to ensure that all Filipino
youths will continue to receive quality basic education even with the shifts in the educational landscape.
PhP28.4 B PhP11.6 B
Government Assistance DepEd Computerization Program
and Subsidies To procure and distribute 108,177
To offer financial aid to 2,623,005 junior multimedia packages for public schools
and senior high school students under the
Education Service Contracting Program
PhP5.4 B
for Private Junior High School, Voucher
Program for Senior High School, and Joint Basic Education Facilities
Delivery Voucher Program To construct 1,168 classrooms, rehabilitate
2,458 classrooms, and procure 9,536 school
seats, among others
PhP20.1 B
Human Resource for Education
PhP3.3 B
To create additional 10,000 new teaching
positions and fill existing teaching positions School-Based Feeding
Program
PhP15.1 B To continue providing nutritious meals
and milk to 1,723,808 severely wasted
Self-Learning Modules
and wasted learners
To develop, reproduce, and deliver
845,962,644 learning modules and
other instructional materials to
19,925,036 students

Expanding Opportunities through Quality Tertiary
and Technical-Vocational Education
Admist the pandemic, the government will continue to provide equitable, accessible, and quality higher
education and technical-vocational education and training through the sustained implementation of
the Universal Access to Quality Tertiary Education Law and other programs and projects in these
sectors.
Higher Education
Tertiary Education Free Higher Education Student Financial
Subsidy To cover the tuition and other Assistance Programs
To provide grants-in-aid for school fees for 1,337,171 To provide scholarships and
832,918 students, including students in SUCs and CHED- grants-in-aid programs for
379,062 grantees of the Tulong recognized LUCs 32,174 student beneficiaries
Dunong Program, enrolled in
State Universities and Colleges
(SUCs), Commission on Higher
Education (CHED)-recognized
Local Universities and Colleges
(LUCs), and private higher
education institutions with
authorized programs and are
subject to prioritization
Technical-Vocational Education and Training

Training for Work Special Training for Tulong Trabaho
Scholarship Program Employment Program Scholarship Program
To offer specific courses in To provide community-based To support the education of
different subject areas, such as trainings for approximately 19,691 qualified beneficiaries of
agri-fishery, agribusiness/agri- 84,623 beneficiaries selected training programs
industry, and tourism, among
others, to 155,546 enrollees

SPENDING PRIORITIES
Social Protection
S ocial welfare has always been among the Administration’s top priorities. With the continuing
national health crisis highlighting and further exposing the vulnerabilities of the poor,
disadvantaged, and marginalized sectors of the population, the government has set the focus of
the proposed 2022 National Budget on specifically addressing this concern. Thus, 10.14% of this, or
PhP509.2 billion, will be earmarked to expand access to social protection programs and ensure that
everyone, especially those in need, will be safeguarded from the harsh effects of the pandemic.
Protecting Every Filipino

Conditional Cash Transfer Social Pension for Indigent
Program (Pantawid Pamilyang Senior Citizens
Pilipino Program) To fund the PhP500 monthly stipend
To provide education and health of 3,835,066 million indigent senior
grants, as well as rice subsidies, to citizens for their daily sustenance and
4.4 million families. It will benefit medical needs
indigenous persons, families in need
of social protection, and homeless
street families, among others.
PhP18.0 B
Protective Services
for Individuals and Families
PhP80.0 B in Difficult Circumstances
National Health
To give food, medical, and
Insurance Program educational assistance to 1,389,339
To promote equal access to health families and individuals in difficult
care programs for all Filipinos, and situations, as well as to cover the
to subsidize the health insurance construction, upgrading, and repair
premiums of 13.2 million indigent of day care and senior citizens care
families and 7.3 million senior centers
citizens


PhP4.9 B
Sustainable Livelihood
Program
To reduce inequality and create
employment and livelihood

opportunities for 153,684 household
beneficiaries, particularly:
• 122,376 regular household

beneficiaries;
• 15,733 former rebels and
households in conflict-vulnerable
areas;
• 4,500 households registered PhP2.7 B
under the program on the post- Balik Probinsya,
disaster response in Marawi City; Bagong Pag-asa Program
and
• 11,075 households registered To provide hope for a better future for
under the Zero Hunger all Filipinos by supporting activities
Convergence Program and projects that will promote
countryside development and ensure
the equitable distribution of resources
all over the country
PhP172 M
Social Welfare for Distressed
Overseas Filipinos (OFs) and
Trafficked Persons
To fund programs and projects
that safeguard OFs from abuse,
exploitation, trafficking,
and violence overseas

SPENDING PRIORITIES
Labor and Employment

C onsistent with the government’s COVID-19 response and recovery program, the proposed 2022
National Budget seeks to protect and empower workers and small businesses as it supports job-
generating measures to revitalize the economy.
Strengthening Employment Safety Nets

To mitigate the impacts of COVID-19 on the country’s workforce, the Department of Labor and Employment
(DOLE) will receive PhP44.9 billion in 2022. This is 21.0% higher than the 2021 level of PhP37.1 billion.
Department of Labor and Employment
PhP22.3 B
Livelihood and Emergency
Employment Program
To help displaced, disadvantaged, and unemployed
workers, particularly those affected by the pandemic,
Overseas Workers Welfare Administration
find alternative employment and livelihood

opportunities
PhP21.0 B Tulong Panghanapbuhay sa Ating

Disadvantaged/Displaced Workers
and Government Internship Programs
To provide emergency employment
and internship opportunities for PhP11.2 B
1,719,856 beneficiaries Emergency Repatriation Program
PhP810 M DOLE Integrated Livelihood Program To implement measures that aim to assist Overseas
To provide grant assistance for Filipino Workers (OFWs) who are forcibly repatriated
livelihood and entrepreneurial ventures in the event of conflicts, disasters, or pandemics
for 24,040 beneficiaries
PhP53 M Reintegration Services Program
PhP492 M Adjustment Measures Program (DOLE-OWWA)
To aid displaced formal workers* and To facilitate the productive return
assist companies in restructuring of OFWs to their families and
their work policies communities
*Demand-driven

Developing Productive and Resilient Industries
For 2022, the Department of Trade and Industry (DTI) will receive PhP23.0 billion. A portion of this budget
will be used to enhance the productivity and resilience of micro, small, and medium enterprises (MSMEs).
PhP3.4 B
MSME Development Program
To support the growth and recovery
of the MSME sector
PhP1.0 B Pangkabuhayan sa Pagbangon

at Ginhawa Program
To provide assistance packages to

individuals and families affected by
calamities such as fires, typhoons,
and disease outbreaks
PhP825 M Rural Agro-Enterprise Partnership

for Inclusive Development Growth
To benefit 25,000 rural farming
households through various interventions
that will help increase their income
PhP728 M Establishment of Negosyo Centers

and Other Projects Promoting MSMEs
To assist 10,586 MSMEs through
the maintenance of 1,266 Negosyo
Centers (PhP558 million) and the
implementation of the Shared Service
Facilities (PhP78 million) and One
Town, One Product: Next Generation
(PhP92 million)
PhP203 M Livelihood Seeding Program

- Negosyo Serbisyo sa Barangay
To provide 3,460 barangays with 15,460
livelihood kits, and 312,405 individuals
in various barangays with information on
livelihood opportunities and assistance
PhP1.5 B
Pondo sa Pagbabago at Pag-Asenso
Program (P3)
To provide affordable loans to 40,000 small business
owners and help them address cash flow constraints
and difficulties in operating their businesses

SPENDING PRIORITIES
Housing
D ecent and affordable shelter is essential for all Filipinos to lead comfortable and secure lives.
To fulfill this objective, the proposed 2022 National Budget will sustain the government’s efforts
to provide homes equipped with basic utilities and extend housing assistance to poor families.
Expanding Access to Housing
PhP4.0 B
To implement the Comprehensive and
Integrated Housing Program which seeks to:
Construct 1,925 additional housing units

for the resettlement of informal settler
families (ISFs) affected by the clean-up of
the Manila Bay area
Provide families affected by calamities with

permanent housing or financial assistance
for rebuilding partially or totally damaged
houses through the Housing Assistance
Program for Calamity Victims or the
Emergency Housing Assistance Program,
respectively
PhP1.0 B
National Home Mortgage
and Finance Corporation
To finance the Socialized Housing Loan Take-out
of Receivables (SHeLTeR) Program which aims to:
Social Housing Finance Corporation
Assist 1,887 low-income families in 2021

Purchase PhP1.0 billion worth of socialized
housing loan receivables from socialized
housing originators
PhP899 M
Department of Human Settlements
and Urban Development PhP500 M
To oversee the operations of key shelter agencies Social Housing Finance Corporation
and achieve the following targets in 2022:
To ensure safe and flood-resilient housing
16.21% of families provided with secure solutions for 2,128 ISFs living in danger areas
tenure in available public housing and along the waterways in Metro Manila
80% of cities and municipalities provided with through the High Density Housing Program
capacities to develop public housing and To provide housing loans to legally organized
human settlements associations of low-income groups nationwide
1,500 families provided with secure housing under the Community Mortgage Program
tenure through the issuance of Presidential
Proclamations

Providing Household Access to Water and Energy
PhP1.6 B
Sitio Electrification Project
To provide electricity to 1,085 targeted sitios
PhP1.2 B
Missionary Electrification Program
National Electrification Administration
To provide additional generating capacity

of 39.83 megawatts for Small Power Utility
Groups in 11 areas
PhP500 M
Total Electrification Program
To energize 10,000 households nationwide
PhP53 M
Renewable Energy Development
To develop and utilize renewable energy
resources for improved access to clean
and sustainable energy
Local Water Utilities Administration
PhP527 M
Water Supply and Sanitation Program
To increase the percentage of households in
operational water districts with direct access to
level III potable water supply and sanitation from
a baseline of 37.39% in 2019 to 42.98% in 2022
PhP56 M
Water Resources Enforcement
and Regulatory Program
To monitor and assess 4,112 water sources facilities

SPENDING PRIORITIES
Governance
A s a key factor in promoting economic stability, ease of doing business, and a peaceful society,
good governance further builds the people’s trust and confidence in the government.The
proposed 2022 National Budget seeks to reflect this and thus aims to ensure responsive, accessible,
modernized, and inclusive public service delivery. This will also promote efficiency, reduce corruption,
and sustain economic development and stability regardless of any circumstances or challenges.
Modernizing Governance
through Digitization
PhP6.4 B
Information and Communications
Technology (ICT) Systems
and Infostructure Development
PhP1.08 B
To support the Department of Information and Digitizing the Tax System
Communications Technology’s National Broadband
Plan, Free Internet Wi-Fi Access in Public Places, To fund the existing ICT programs and projects of
National Government Data Center, and National the Bureau of Internal Revenue and develop new ICT
Government Portal, among others systems to improve revenue collection
PhP4.8 B PhP574 M
Philippine Identification (ID) System Community-Based Monitoring System
To accelerate the rollout of the national ID system To assess the impacts of anti-poverty measures and
in order to facilitate the systematic distribution of macroeconomic reforms at the barangay, municipal,
assistance to low-income families and individuals city and provincial levels, especially in the 5th and 6th
affected by the pandemic income classes
Building Confidence through Streamlined

Government Services
PhP249 M Of which:
Anti-Red Tape Authority (ARTA) PhP117 M Ease of Doing Business
and Efficient Delivery
To improve government services delivery through the of Government Services Program
institutionalization and implementation of effective
To continue the improvement of
and efficient policies and practices to reduce red
public service through the Ease of
tape and promote ease of doing business
Doing Business (EODB) Law and the
monitoring and evaluation of agency
compliance with the EODB Law, among
others

Anti-Red Tape Authority
Department of tJustice
Department of tJustice
Supreme Court of the Philippines
Bureau of Corrections
Ensuring Accessible Justice

through Sustained Efficiency
PhP45.0 B PhP26.3 B
The Judiciary Department of Justice (DOJ)
PhP39.8 B Operations of the Supreme Court PhP6.6 B Law Enforcement Program
and the Lower Courts PhP4.5 B Free Legal Services to Indigents
PhP1.3 B Construction, Completion, Repair, and Other Qualified Persons
and Rehabilitation of Halls of Justice (Public Attorney’s Office)
PhP1.1 B Appellate Adjudication Program PhP3.9 B Custody and Safekeeping of Prisoners
(Bureau of Corrections)
PhP452 M Sandiganbayan Adjudication Program
PhP1.3 B Crime Detection and Investigation
PhP194 M Tax Appellate Adjudication Program (National Bureau of Investigation)
PhP19 M Justice Sector Convergence Program PhP851 M Community-based Rehabilitation
and Re-integration of Offenders
(Parole and Probation Administration)
PhP4.0 B
PhP26 M Anti-Cybercrime Enforcement
The Ombudsman
PhP5 M National Justice Information System
PhP697 M Anti-Corruption Investigation Program
PhP538 M Anti-Corruption Enforcement Program
PhP102 M Corruption Prevention Program
MALASAKIT: ENHANCING THE SOCIAL FABRIC 41

SPENDING PRIORITIES
Science and Technology

T he COVID-19 pandemic shed light on the importance of having a solid foundation and support for
innovation. For 2022, the government has allocated PhP24.3 billion for the Department of Science
and Technology (DOST) and PhP10.1 billion for the Department of Information and Communications
Technology (DICT) to fund programs and projects that will boost the country’s Science, Technology,
and Innovation (STI) sector.
Developing Human Resources and Businesses in STI
PhP8.1 B
Grants-in-Aid Program
To provide financial aid to various
programs and projects in science-
Department of Science and Technology

and-technology-related fields
PhP7.2 B
Scholarship Programs
To fund the scholarships under the
Philippine Science High School and
Science Education Institute
PhP983 M
Establishment of the Virology
Science and Technology Institute
of the Philippines
To fund the creation and construction
of a virology research facility that will
primarily focus on the research and
study of viruses and viral diseases
PhP948 M
Small Enterprise Technology
Upgrading Program (SETUP)
To increase the productivity and
competitiveness of micro, small,
and medium enterprises by providing
assistance for the improvement of
Department of Information and Communications Technology
their products and services
PhP152 M
Balik Scientist Program

To encourage Filipino science and
technology experts who are living
overseas to return and share their
expertise for the development of
various industries in the country

Enhancing STI Infrastructure
PhP2.6 B
Free Wi-Fi Internet Access
in Public Places
To increase connectivity nationwide
by providing free internet access in
public places and state universities
and colleges
PhP1.7 B
National Government
Data Center Infrastructure
To develop and improve the DICT’s data

center in order to enhance public service
delivery in the post-pandemic life
PhP1.5 B
National Broadband Plan
To expand access to cheaper, faster,
and more reliable internet connection
by installing fiber optic cables in
various locations nationwide
PhP317 M
National Government Portal
To fund the one-stop gateway for all
web-based government information
and services
PATULOY NA PAG-UNLAD: INCREASING GROWTH POTENTIAL 43

SPENDING PRIORITIES
Population
A s the Philippine population is expected to reach 112 million1/ by 2022, the government
intensifies its efforts in managing the country’s population by continuing to support
measures that promote reproductive health and responsible family planning. A total of PhP537
million will go to the Commission on Population and Development (POPCOM) for its programs,
activities, and projects on population management that will ultimately improve the quality of life
of all Filipinos.
PhP40.6 B
National Program on Population
and Family Planning (NPPFP)
To support the implementation of approved national,
sectoral, and regional population plans and programs of the
government. With the POPCOM as its lead implementing
agency, all government efforts on population management
will be harmonized to ensure national development.
PhP10.8 B PhP315 M PhP82 M

Family Health, Nutrition, Philippine Population National Demographic
and Responsible Management Program Health Survey
Parenting To fund the family planning To collect, evaluate, and provide
To promote responsible activities of the POPCOM, data and information on the
parenting by addressing the such as lessons on reproductive country’s population, health, and
needs and aspirations of health and psycho-social nutrition situation. This survey is
the family, while considering counselling, among others conducted every five years by the
their overall health, economic Philippine Statistics Authority.
situation, and sociocultural
concerns, among others
All photos are from the POPCOM

Updated Targets to Achieve a Demographic Dividend
Particulars Baseline 2022
Demographic transition accelerated
95
Maternal Mortality Rate (per 100,000 live births) decreased 108.02/
(2016)
31.0
Under-five mortality rate (per 1,000 live births) decreased 22.0
(2013)
Adolescent birth rate (aged 15-19 years) decreased 57.1
37.0
(number of births per 1,000 women in that age group) (2013)
Proportion of women who are using modern contraceptive methods (%)
23.5
All reproductive age (15-49 years old) 30.0
(2013)
Source: Updated 2017-2022 Philippine Development Plan (PDP)
Updated Projected Mid-Year Population for the Philippines Based on the 2015 POPCEN Results: 2020-2025
1/
”The COVID-19 pandemic is assumed to have an impact on the access of women to essential sexual and reproductive health
2/
services – that may lead to an increase in deaths in 2020. Recalibration of the MMR target for 2022 is viewed to ensure the
attainment of the country’s 2030 SDG MMR target of 70 per 100,000 livebirths.” (Source: Updated 2017-2022 PDP)
PATULOY NA PAG-UNLAD: INCREASING GROWTH POTENTIAL 45

SPENDING PRIORITIES
Infrastructure
C ognizant of the numerous productive economic opportunities that will be unlocked through
infrastructure development, the government will continue the full-swing implementation of the
Build, Build, Build Program. As a top priority for 2022, the Program will be provided PhP1.180 trillion
to stimulate the economy and sustain the momentum towards recovery.
Build, Build, Build - Philippine Infrastructure Transparency Portal

PhP1,180.5 B Build, Build, Build Program (5.3% of GDP)

PhP395.5 B Road Networks PhP12.6 B Hospitals and Health Centers
PhP191.8 B Development Fund of LGUs PhP8.5 B School Buildings
PhP177.3 B Flood Control Systems PhP7.5 B Water Supply Systems
PhP111.5 B Railways PhP4.5 B Housing and Community Facilities
PhP55.8 B Buildings PhP3.5 B Power Supply Systems
PhP35.5 B Right-of-Way Acquisitions PhP2.7 B Reforestation Projects
PhP21.8 B Irrigation Systems

Regional Breakdown
of the Public Infrastructure
Budget, 2021-2022
(in billion Pesos)

Nationwide 1/
165.9 205.7
Central Office 2/
531.6 683.1
Cordillera Administrative
18.6 12.2 Ensuring Safe
Region (CAR)
Region I 16.9 14.5 and Reliable Road Networks
Region II 18.0 15.9 and Flood Mitigation Structures*
Region III 30.8 27.0 For 2022, a total of PhP686.1 billion will be allotted
National Capital Region to the Department of Public Works and Highways
55.8 45.0 (DPWH). Of this amount, PhP378.7 billion will be
(NCR)3/
used to finance the following major programs:
Region IV-A 33.6 23.2
MIMAROPA 14.7 11.3 PhP148.9 B Road Network Development Program
Region V 25.7 23.2 To improve connectivity and mobility

across the country through the
Region VI 21.7 15.4 construction of 1,137.95 kilometers
Region VII 20.7 15.0 (km) of new roads and the widening
Region VIII 21.6 19.3 of 651.180 km of existing roads
Region IX 11.8 8.8 PhP131.1 B Flood Management Program

Region X 20.0 12.9 To help develop long-term flood
Region XI 22.6 12.4 management solutions through the
construction of 894 flood mitigation
Region XII 12.3 9.4
structures and drainage systems, and
CARAGA 11.6 7.6 the construction/rehabilitation of 435
Bangsamoro Autonomous existing flood control facilities in major
19.7 18.5 and principal rivers
Region in Muslim Mindanao4/
Total 1,073.8 1,180.5 PhP63.3 B Asset Preservation Program
To ensure the safety and reliability of
Note: Figures may not add up due to rounding off. the country’s road system through the
1/
Nationwide allocations pertain to allocations that are yet to be
preventive maintenance of 1,073.833
distributed to various regional offices of departments/agencies km of roads and the rehabilitation,
and to multi-user special purpose funds (e.g., Calamity Funds). reconstruction, and upgrading of
2/
Central Office allocations consist of infrastructure allocations 228.576 km of damaged paved roads
being managed by the head offices of departments/agencies
for their respective units. PhP35.4 B Bridge Program
3/
Regional allocations for NCR include funding requirements
of departments/agencies located in the NCR with nationwide To strengthen the country’s bridge
coverage, but without regional operating units. systems through the construction of
4/
Inclusive of infrastructure projects located in BARMM 33,285 lineal meters of bridges, and
(and former ARMM) provinces
the maintenance and rehabilitation of
281 bridges
PAGPAPATIBAY: FORTIFYING THE FOUNDATIONS FOR SUSTAINABLE DEVELOPMENT 47

SPENDING PRIORITIES
DPWH
Enhancing the Public Transportation System

A total of PhP151.3 billion will be given to the
Department of Transportation (DOTr) to improve
and modernize the country’s public transport systems
in preparation for the post-pandemic life.
PhP110.9 B Rail Transport Program5/

PhP58.6 B North-South Commuter Railway
PhP34.6 B Metro Manila Subway Project Phase 1
PhP7.1 B Subsidy for Mass Transport (MRT 3)
PhP3.5 B LRT Line 1 Cavite Extension Project
DOTr
PhP3.1 B MRT 3 Rehabilitation Project

PhP3.0 B Philippine National Railways’
South Long Haul Project
PhP1.0 B Subic Clark Railway Project
PhP1.7 B Aviation
Infrastructure Program
PhP950 M Catbalogan Airport
PhP415 M Ormoc Airport
PhP264 M Tandag Airport
PhP55 M Itbayat Airport
PhP716 M Maritime
Infrastructure Program
National Economic and Development Authority
PhP550 M Sorsogon RoRo Terminal

Expansion Project
Regional Development Council XII
PhP155 M Maritime Safety Capability

Improvement Project (Phase 2)
PhP10 M New Cebu International
Container Port Project

Supporting the Information Technology (IT) Sector
To create a harmonized e-government system that
will improve productivity and efficiency in public
service delivery, PhP16.4 billion will be used to cover
expenditures for the Medium-Term Information
and Communications Technology Harmonization
Initiative (MITHI) in 2022.

Telecommunications
PhP6.4 B To fund various programs of the
Department of Information and
Communications Technology (DICT)
Governance
PhP4.8 B To fast-track the rollout of the
National ID System
PhP574 M To aid the assessment of the effects

of macroeconomic reforms
and anti-poverty measures through the
Community-Based Monitoring System
Taxation
PhP1.1 B To develop and support the information
and communications technology (ICT)
systems of the Bureau of Internal
Revenue
Health
PhP619 M To establish online information
systems for health emergencies and
enhancement of nutrition, among
others
DICT
Strengthening Cooperation between Sectors

Through its Convergence Program, the DPWH manages funds and various infrastructure projects
in other sectors.
Access Roads to: Facilities for:

PhP16.8 B Tourist destinations PhP6.2 B National security
PhP9.1 B Trade, industries, and economic zones PhP1.0 B Disaster management
PhP2.1 B Seaports PhP0.5 B Programs for persons with disabilities,
PhP1.5 B Airports senior citizens, and gender
responsiveness
PhP0.2 B Railway stations

SPENDING PRIORITIES
Environment
R apid urbanization and population growth in the country
has led to several environmental challenges that may
increase the risks and negative impacts of climate change.
To address these, the government adopts effective and
sustainable strategies for environmental protection to ensure
that the future generations will still be able to enjoy a clean,
healthy, and resilient environment.
Creating a Healthier and

Disaster-Resilient Environment
The government undertakes initiatives that promote and protect environmental integrity and
improve disaster risk reduction and management to help communities prepare for possible
disasters and emergencies.
PhP3.7 B PhP1.8 B
National Greening Program Manila Bay Rehabilitation
To sustain the rehabilitation of forestlands To clean, rehabilitate, and maintain the water
through the establishment of nurseries, planting quality of the Manila Bay, as well as the esteros
of 72,900,557 seedlings in 83,006 hectares of and waterways connected to it
forests, and conservation of 229,941 hectares of
forests and watersheds
PhP272 M
Coastal and Marine
PhP1.0 B Ecosystems Management
Protected Areas Development
To protect and manage marine biodiversity and
and Management coastal habitats, such as coral reefs, sea grass
To conserve the country’s ecosystems by beds, mangrove forests, mudflats, and plankton
protecting environmental reserves and communities, among others
restoring/rehabilitating degraded areas
PhP146 M
Clean Water Regulations
To improve the water quality of priority
rivers and other critical bodies of water by
monitoring and designating water quality
management areas
City Government of Davao

Flood Management Program National Disaster
To help develop long-term flood management Risk Reduction and
solutions and protect flood-prone areas across Management Fund
the country through the construction of 894
To support disaster prevention, mitigation,
flood control facilities
and preparedness activities, as well as the
rehabilitation and recovery of communities
affected by natural or human-induced
PhP6.4 B calamities
Quick Response Fund1/
To serve as standby funds to facilitate the swift
response to and recovery of the communities PhP178 M
or areas stricken by disasters, calamities, Clean Air Regulations
epidemics, or complex emergencies
To improve the country’s air quality and support
the operation, calibration, and maintenance of
102 air quality monitoring stations
PhP1.0 B
Solid Waste Management
To ensure the protection of public health and PhP53 M
the environment through the assessment and Renewable Energy
monitoring of 231 dumpsites, and construction Development Program
of one (1) Waste-to-Energy Facility in Davao City
To promote the development of technologies
for renewable energy
1/
Inclusive of PhP2.0 B under the Department of Education; PhP1.3 B under the Department of Social Welfare and
Development; PhP1.0 B under the Department of Agriculture; PhP1.0 B under the Department of Public Works
and Highways; PhP0.5 B under the Department of Health; PhP0.5 B under the Office of Civil Defense; and
PhP0.1 B under the Department of the Interior and Local Government

SPENDING PRIORITIES
Peace, Public Order, and Safety

T o build safe and peaceful communities, the proposed 2022 National Budget ensures that the
Administration’s peace-building and crime-fighting initiatives will be sustained and strengthened.
The Department of the Interior and Local Government (DILG) will be provided PhP250.4 billion to
improve its police, fire protection, and jail services, while the Department of National Defense will get
PhP222.0 billion to secure the country’s territory and sovereignty.
Maintaining Public Order and Safety
Philippine National Police (PNP)

PhP172.2 B To conduct police patrol operations
PhP190.7 B and campaigns against various crimes,
among others, through the Crime
Prevention and Suppression Program
PhP2.0 B To modernize the PNP through the

Capability Enhancement Program
PhP372 M To construct 53 police stations nationwide
Bureau of Fire Protection

PhP21.7 B To conduct fire suppression activities
PhP26.8 B and investigations
PhP2.3 B To procure fire-fighting equipment

and construct fire stations
Bureau of Jail Management and Penology (BJMP)

PhP18.1 B To support the safekeeping and
PhP21.4 B rehabilitation of 182,556 inmates
PhP49 M To fund the operations of the Jail Integrated

Command and Control Center
Philippine Anti-Illegal Drugs Strategy

To help pave the way for a drug-free Philippines by cutting
PhP2.5 B down the supply of and demand for illegal drugs through
strengthened law enforcement, rehabilitation and treatment
of drug users, and conduct of drug prevention education
and awareness programs, among others

Department of National Defense
Defending Pursuing a Just and

National Territory Sustainable Peace
Armed Forces Bangsamoro Autonomous

Region in Muslim Mindanao
PhP215.8 B of the Philippines (AFP) PhP74.8 B (BARMM)
To strengthen the country’s
military troops and fund To provide financial support
the following: to the Bangsamoro government
in the form of:
PhP102.9 B Philippine Army
PhP67.0 B Annual Block Grant
PhP32.7 B Philippine Navy
PhP5.0 B Special Development Fund
PhP32.3 B Philippine Air Force for the rebuilding, rehabilitation,
and development of conflict-affected
PhP35.0 B Revised AFP communities in the BARMM
Modernization Program
PhP2.8 B Share in taxes, fees, and charges
collected in the Bangsamoro
Autonomous Region
Support to the Barangay

PhP28.1 B Development Program
To cover the requirements for

the implementation of priority
development projects in 1,406
barangays cleared by the National
Task Force to End Local Communist
Armed Conflict (NTF-ELCAC)

Financing the National Budget
Every year, the Executive Department crafts and submits
for approval a National Budget, which is basically the
government’s plan for income and expenses for the coming
year. The Budget is prepared by determining the budgetary
levels based on the country’s macroeconomic situation,
identifying fund sources that may be tapped (e.g., revenues
and borrowings), and formulating the government’s
priorities, economic targets, projections, and financing
program. This section provides an insight into how the
proposed 2022 National Budget will be funded.
FINANCING THE NATIONAL BUDGET
The 2022 Budget and the Economy

W hile the reimposition of strict quarantine measures had dampened prospects for a strong
economic recovery in 2021, the government remains optimistic that the economy will begin to
rally back to pre-pandemic levels in 2022. To support this outlook, the proposed 2022 National Budget
will address both health and economic concerns by providing funds to sustain the proactive pandemic
response, enhance the mass vaccination program, and further boost infrastructure development.
Macroeconomic Assumptions, 2020-2024
Actual Assumptions1/
Parameters
2020 2021 2022 2023 2024
Real GDP Growth (%) (9.6) 6.0-7.02/ 7.0-9.0 6.0-7.0 6.0-7.0
Inflation (%) 2.6 2.0-4.0 2.0-4.0 2.0-4.0 2.0-4.0
Dubai Crude Oil

42.21 50-70 50-70 50-70 50-70
(US$/bbl)
FOREX (PhP/US$) 49.62 48-53 48-53 48-53 48-53
Growth of Exports (%)3/ (11.3) 10.0 6.0 6.0 6.0
Growth of Imports (%)3/ (22.9) 12.0 10.0 8.0 8.0
Reforms for Recovery

To speed up economic recovery, the government will
prioritize the passage of the following urgent reform bills:
Government Financial Institutions Unified Initiative

to Distressed Enterprises for Economic Recovery
(GUIDE) Bill
Amendments to the Foreign Investment Act, Retail
Trade Liberalization Act, and Public Services Act
Packages 3 and 44/ of the Comprehensive Tax
Reform Program
1/
Assumptions were adopted in the Special Development Budget Coordination Committee (DBCC) Meeting on July 19, 2021.
2/
GDP estimate for 2021 was revised to 4.0%-5.0% during the Special DBCC Meeting on August 18, 2021.
3/
Based on the IMF’s Balance of Payments and International Position Manual, 6th edition (BPM6)
4/
Package 3 (Real Property Valuation Reform); Package 4 (Passive Income and Financial Intermediary Taxation Act Reform)

Notes on Selected Macroeconomic Indicators for 2022
Board of Investments
Real GDP Growth Inflation

Higher economic growth can generate more revenues Inflation, or the general increase in prices, can boost
that can be used to finance the budget deficit or fund revenues from taxable goods and services. In 2022,
key programs and projects. For 2022, the economy is the inflation rate is projected to settle between 2.0%
expected to grow by 7.0% to 9.0%. to 4.0%.
Every 1 percentage point increase in the GDP Every 1 percentage point increase in inflation rate
= PhP28.2 billion additional revenues = PhP24.7 billion additional revenues
Philippine Ports Authority
Bureau of Customs
Foreign Exchange Imports

The depreciation of the Peso against the US Dollar Increased taxes on imports or a greater flow of
increases the costs of foreign debt and interest imports can help improve the country’s fiscal health.
payments. For 2022, the government expects that For 2022, imports growth will be maintained at 10.0%.
the exchange rate will settle between PhP48 and
PhP53 per US dollar.
Every 1 percentage point increase in imports
= PhP7.6 billion additional revenues
Every 1 Peso depreciation
= PhP9.7 billion additional revenues and
PhP2.1 billion increase in expenditures
Sources: Department of Finance and Bureau of the Treasury
FINANCING THE NATIONAL BUDGET 57

Fiscal Program1/
A sound fiscal policy is crucial in ensuring the availability of resources to manage and mitigate
the continuing risks and impacts of the COVID-19 health crisis in 2022. Aware of this, the
government remains steadfast in crafting and implementing fiscal policies that will help accelerate
economic recovery even with the limited fiscal space.
Fiscal Program, 2020-2024

(in billion Pesos and as a Percentage of GDP)
6,000
5,297.8
19.9%
5,021.4
4,954.6 20.7%
5,000 4,737.1 22.4%
23.9%
4,227.4
23.6% 3,999.3
4,000 15.1%
3,586.4
14.8%
3,289.5
14.9%
2,856.0 2,881.5
3,000 14.5%
15.9%
1,855.6
2,000 1,665.1
(9.3%) 1,434.9
(7.5%) 1,298.5
(5.9%)
1,371.4 (4.9%)
(7.6%)
1,000
2020 2021 2022 2023 2024

Actual Program Projection Projection Projection
Disbursement Revenues Deficit
Despite the expected continuing impact of the pandemic, fiscal projections for the succeeding years
indicate a positive outlook. The increase in revenues and disbursements is expected to support the
implementation of various programs in the health, social services, and infrastructure sectors, among
others. The deficit, on the other hand, is projected to decrease as the government plans to reduce its
borrowing costs in line with its fiscal consolidation strategy.
1/
Consistent with the macroeconomic and growth assumptions and fiscal program approved during the Special DBCC
Meeting on July 19, 2021

1
Fiscal Projections for 2022
Disbursements
The government will allot PhP4,954.6 billion, or
22.4% of GDP, to support its priority programs and
projects in 2022.
Revenues
Revenue collections for 2022 are projected to reach
PhP3,289.5 billion or equivalent to 14.9% of GDP.
Deficit
The deficit program is expected to decrease to
PhP1,665.1 billion, or 7.5% of GDP, as the government
remains committed to exercise discipline and
prudence in the management of public funds in order
to ensure fiscal sustainability and to gradually bring
back the country’s deficit to pre-pandemic levels.

Revenues
T o fund the country’s COVID-19 response activities and other priority expenditures, the government
expects to collect PhP3.290 trillion in revenues for 2022, 14.2% higher than the PhP2.882 trillion
programmed for 2021. The increase in revenues is anticipated as the economy slowly reopens and
tax collection efforts are intensified.
Total Revenues, 2020-2023
2020 2021 2022 2023

PhP2.856 trillion PhP2.882 trillion PhP3.290 trillion PhP3.586 trillion
(Actual) (Program) (Projection) (Projection)
15.9% of GDP 14.5% of GDP 14.9% of GDP 14.8% of GDP

Down by 9.0% Up by 0.9% Up by 14.2% Up by 9.0%
Breakdown by Revenue Source
PhP3,125.0 B
Tax Revenues
Collections of the Bureau of Internal Revenue and
Bureau of Customs (e.g., net income and profits,
properties, domestic goods and services, international
trade and transactions)
Bureau of Customs Davao
PhP164.0 B
Non-Tax Revenues
Income from Treasury Operations of the National
Government and Government-Owned and/or
-Controlled Corporations, fees and charges, and other
Philippine National Oil Company Exploration Corporation
non-tax revenues (e.g., Malampaya Royalties)
PhP500 M
Privatization
Income from the sale and lease of government
properties, among others

Comprehensive Tax Reform Program
T o fast-track the country’s recovery from the pandemic, the government will continue to implement
reforms — such as Republic Act No. 11534 or the Corporate Recovery and Tax Incentives for
Enterprises (CREATE) Law — that will enhance the competitiveness of industries and spur economic
activity.
Salient Features of the CREATE Law Pending CTRP Packages

The CREATE Law aims to help micro, small, and medium
enterprises and encourage more foreign investments in the
country through the following:
Package 2+
Tax incentives for business enterprises through the Mining Taxes
reduction of corporate income tax rates from the current
30% to 25% by 2022, and further down to 20% by 2027
Flexibility in the grant of fiscal and non-fiscal incentives Package 3
that are performance-based, strategically targeted, Real Property
time-bound, and transparent Valuation Reform
Longer sunset period for businesses currently enjoying
incentives
Package 4
Passive Income
and Financial
Intermediary
Taxation Act
(PIFITA) Reform
Motor Vehicle
Users Charge
Source: Department of Finance
Revenues Generated from CTRP, 2020-2023

2020 2021 2022 2023
Particulars
(Actual) (Program) (Projection) (Projection)
Tax Reform for Acceleration
PhP105.9 B PhP157.9 B PhP169.9 B PhP118.0 B
and Inclusion Law
Sin Tax Laws PhP32.1 B PhP43.1 B PhP52.3 B PhP67.0 B

Tax Amnesty Law PhP6.0 B - - -
CREATE Law - (PhP138.2 B) (PhP118.8 B) (PhP115.0 B)
Financial Institutions Strategic
- (PhP1.0 B) (PhP2.0 B) (PhP2.9 B)
Transfer Law
Total PhP144.0 B PhP61.9 B PhP101.4 B PhP67.1 B

Borrowings
G overnment borrowings for 2022 are expected to reach PhP2,472.8 billion. Following a 77:23
borrowing mix, wherein domestic sources are favored over foreign sources, this amount will be
used to augment government revenues and finance programs and projects for the fiscal year.
FY 2022 Total Borrowings: PhP2,472.8 B
Domestic Borrowings: PhP1,912.2 B

PhP1,860.2 B1/
Fixed Rate Treasury Bonds
PhP52.0 B
Treasury Bills
Foreign Borrowings: PhP560.6 B

PhP353.5 B
Bonds and Other Inflows
PhP126.7 B
Philippine News Agency
Program Loans
PhP80.4 B
Project Loans2/
National Government Debt Level3/

(As a Percentage of GDP)
To help the country recover from the economic

and social impacts of the ongoing COVID-19
pandemic, the government has been funding and 70%
implementing programs and projects that will
reverse these effects. As a result, the national debt 59.1% 60.8% 60.7%
60%
level is expected to settle within the sustainable 54.6%
level of 60.8% of GDP in 2022.
50%
Note: Chart baseline is at 30%.
40%
1/
Includes A/R bonds
2/
Includes relent loans assumed by the NG based on Subsidiary
Loan Agreement 2020 2021 2022 2023
3/
Consistent with the medium-term macroeconomic (Actual)
assumptions and fiscal program approved by the DBCC
on July 19, 2021

The Basics of Budgeting
Understanding government budgeting can be as easy
as A-B-C. Browse through this section and learn about
the yearly Budget Cycle, commonly-used budgeting
terms, off-budget accounts of various government
agencies, and the COVID-19 Transparency Nook
which provides a quick summary of the government’s
pandemic response expenditures for 2022.
THE BASICS OF BUDGETING
1.2
1.1 1.3
Citizen Engagement/
Issuance of Conduct of budget
Regional Development
Budget Call hearings and review of
Council (RDC)
(December of PY) Tier I for BY
Consultations
(February of CuY)
(January – February of CuY)
4.4
Conduct of audit
(Within the
The Budget Cycle
following year)
G overnment budgeting involves four distinct phases that
make up the Budget Cycle: preparation, legislation, execution,
and accountability. While the Executive Branch implements
the budget for the current year, it also plans and prepares the
budget for the succeeding year and ensures that goals are met
4.3 by monitoring, evaluating, and reporting actual performance
Publication of Mid-Year year-round. Shown here is the ideal schedule of activities that
Report for CuY and
government agencies follow during the cycle.
Year-End Report for PY
(August-September)
4.2
Posting of Disbursement
Assessment Reports
(Every month of the CuY)
Department of Transportation
4.1
Submission of quarterly
Budget and Financial
Accountability Reports CuY: Current Year BY: Budget Year (Current year + 1 year)
(Every quarter of the CuY) PY: Prior Year (Current year – 1 year)
3.6 3.5
3.7 3.4
Release of Notices of Submission of
Release of NCAs for Awarding of
Cash Allocation (NCAs) adjusted BEDs
the 2nd semester contracts
for the 1st semester based on GAA
(July of CuY) (January of CuY)
(January of CuY) (January of CuY)
Source: Joint Circular No. 2017-1 issued on June 30, 2017

(Department of Budget and Management, Department of Finance, and the National Economic and Development Authority)

1.4 1.5 1.6 1.7
Program Submission of Conduct of budget Consolidation,
convergence Tier II budget hearings and review validation, and
(April of CuY) proposals for BY of Tier II for BY confirmation
(April-May of CuY) (May-June of CuY) (June of CuY)
1.8
Approval of the
proposed National
Budget for BY by the
Cabinet (July of CuY)
n
tio Le 1.9
ra g
Submission of the
a
isl
ep
proposed National
at
Pr
Budget to the Congress

io
(July/August of CuY)
n
2.1
Budget deliberations
in the House of
Acc
Representatives and
Senate (August-
ou
November of CuY)
n
nt
io
il i
a
ut
ec
b
ty
Ex
2.2
House and Senate
ratifications on the
General Appropriations
Bill (August-November
of CuY)
3.3
Submission of Budget 2.3
Execution Documents 3.2 3.1 Enactment of the
(BEDs) based on the Submission of Monthly Early procurement General Appropriations
National Expenditure Disbursement Program activities Act (GAA)
Program (NEP) (October of PY) (August of PY) (December of CuY)
(December of PY)
THE BASICS OF BUDGETING 65

Glossary
01 02 07
Allotment Allotment Class Debt Service
The share of appropriations which Classification of expenditures The sum of debt amortization
serves as a government entity’s under the following categories: and interest payments, including
limit and basis for committing/ commitment fees and other charges
1. Personnel Services (PS)
incurring obligations, in accordance on foreign and domestic borrowings.
2. Maintenance and Other
with the purpose, documentation
Operating Expenses
requirements, and within the period
(MOOE) 08
of time as specified in any of the Disbursement
3. Financial Expenses (FinEx)
following budget authorization A settlement/liquidation/payment of
4. Capital Outlays (CO)
documents to be issued by the DBM: an obligation incurred in the current
or prior years, involving cash or
1. General Appropriations 03 noncash transactions and covered
Act as the Allotment Order Appropriation
(GAAAO) for specific by disbursement authorities.
An authorization pursuant to laws or
appropriation items
deemed released upon
other legislative enactment, hence,
required Congressional action,
09
effectivity of the GAA, Expenditure Program
directing the spending of public
i.e., “For Comprehensive The ceiling on the obligations that
funds for a specific purpose, up to
Release”; could be incurred by the government
a specified amount under specified
2. General Allotment issued in a given budget year. The said
conditions.
to all national government ceiling is supported by estimated
agencies, in general, to financial resources.
incur obligations, i.e. 04
Retirement and Life Budget 10
Insurance Premium (RLIP), The budget is the government’s Fiscal Policy
except RLIP for financial plan for a year. It is a table/ The part of government policy
the departments/agencies schedule of expenditures, based on which is concerned with raising
chargeable against Special either obligations or cash concepts of resources through taxation and
Accounts in the General and the corresponding sources of borrowing and deciding on the level
Funds (SAGFs) and financing, either from revenues, and pattern of expenditures.
those covered by special borrowings, or cash drawdown.
arrangements; and Ultimately, it is a tool that enables 11
3. Special Allotment Release the government to achieve its Gross Domestic Product (GDP)
Order (SARO) issued to development agenda. The sum of gross value added of
identified agencies to incur all resident producer units plus that
obligations not exceeding 05 part (possibly the total) of taxes on
products, less subsidies on products,
a given amount during a Budget Deficit
specified period for the A situation where government that is not included in the valuation
purpose indicated. It shall spending exceeds revenues. of output. GDP simply refers to the
cover expenditures the total value of goods and services
release of which is subject produced in a country over a specific
to compliance with specific
06 time frame, such as a quarter or a
Cash Budgeting System year. The GDP growth rate adjusted
laws or regulations, or
is subject to separate Annual appropriations that limit for prices may be used as a measure
approval or clearance by incurring obligations and disbursing of the economic development or
competent authority. payments for goods delivered and progress of a country.
services rendered, inspected and
accepted within the current fiscal 12
year. Payments of these obligations Inflation
Sources: shall be made until the Extended
2022 Budget of Expenditures Inflation refers to the rate of change
Payment Period (EPP) or within three in the average prices of goods and
and Sources of Financing;
Bangko Sentral ng Pilipinas (3) months immediately succeeding services typically purchased by
the end of the preceding fiscal year. consumers.

Off-Budget Accounts
O ff-Budget Accounts are authorized revenues or receipts collected by government agencies from their
operations that will be utilized to cover certain expenditures. Although not part of the General Appropriations
Act, these are still subject to audit and inspection by the Commission on Audit to ensure transparency.
Total Off-Budget Accounts for 2022

For 2022, the expected PhP100.5 billion
Revenues Expenditures off-budget revenues of government
agencies will be used to finance or
augment funds for specific expenditures
PhP100.5 B PhP107.4 B amounting to PhP107.4 billion.
Major Off-Budget Accounts
State Universities The Judiciary Department of Public

and Colleges Revenues: PhP8.4 B Works and Highways
Revenues: PhP26.4 B Expenditures: PhP17.9 B Revenues: PhP1.8 B
Expenditures: PhP27.1 B For the allowances of justices Expenditures: PhP0.2 B
For the payment of authorized and judges, equipment and For infrastructure projects/
benefits of teachers and facilities of courts, and training payment of progress billings,
some operating expenses, expenses, among others and taxes withheld from
among others creditors, among others
Department of Labor
Department of Health and Employment Department of Finance
Revenues: PhP23.2 B Revenues: PhP3.6 B Revenues: PhP1.6 B
Expenditures: PhP22.8 B Expenditures: PhP3.5 B Expenditures: PhP1.4 B
For operating expenses, For the payment of appeal For relending to local
some capital investments, bonds, monetary judgment government units and
and purchase of drugs awards, socioeconomic some operating
and medical supplies, projects, workers’ benefits, expenses, among others
among others among others
Photo from Pixabay

COVID-19 Transparency Nook

W ith the emergence of more virulent and transmissible Coronavirus variants, the government
recognizes the urgent need to further bolster its capacities in responding to the threats and
risks of the pandemic, enhance the mass vaccination program, and keep all Filipinos protected.
The proposed 2022 National Budget provides sufficient allocations for these purposes.
Strengthening the Pandemic Response
New COVID-19 Response Programs/Projects
PhP45.4 B1/ Procurement of COVID-19 Foreign-assisted Projects:

Booster Shots
PhP1.2 B Philippine COVID-19 Emergency
PhP5.1 B Procurement of GeneXpert Response Project 2
Cartridges and Other
PhP102 M Health System Enhancement
Laboratory Supplies
to Address and Limit COVID-19
Emergency Hiring of COVID-19
PhP3.8 B Research and Development:
Human Resources for Health
Virology Science and Technology
PhP819 M Purchase of Personal Protective PhP983 M
Institute of the Philippines
Equipment
PhP140 M Philippine Genomic Information
PhP106 M Operations of the One Hospital
and Resource Hub
Command Center
Regular Health Programs
PhP80.0 B National Health Insurance

Program (PhilHealth)
PhP50.8 B Operations of DOH Hospitals

and Health Facilities in
Metro Manila and Other
Regions
PhP19.6 B Health Facilities

Enhancement Program
PhP17.0 B Medical Assistance

to Indigent Patients
PhP17.0 B Human Resources

for Health Program
1/
Lodged under the 2022 Unprogrammed Appropriations

Cushioning and Coping with the Effects of COVID-19
Social Protection Livelihood
PhP115.7 B Pantawid Pamilyang PhP22.3 B Livelihood and Emergency

Pilipino Program Employment Program
PhP23.5 B Social Pension for PhP11.2 B Emergency Repatriation Program

Indigent Senior Citizens
Protective Services for Individuals PhP3.8 B Training for Work
PhP18.0 B Scholarship Program
and Families in Difficult
Circumstances Micro, Small, and Medium
PhP3.4 B
Sustainable Livelihood Program Enterprises Development Program
PhP4.9 B
PhP1.5 B Pondo sa Pagbabago
PhP2.7 B Balik Probinsya, Bagong Pag-asa
at Pag-Asenso Program
Program (DSWD) Department of Social Welfare and Development
Nutrition and Food Security Education
PhP22.9 B2/ Irrigation Services PhP49.7 B Universal Access to Quality

Tertiary Education
PhP4.5 B Crop Insurance Program Government Assistance
PhP30.1 B3/
and Subsidies
PhP4.2 B Supplementary
Feeding Program Development, Reproduction,
PhP15.1 B
and Delivery of Learning Resources
PhP3.3 B School-based for the Basic Education-Learning
Feeding Program Continuity Plan
PhP2.5 B Credit Support Services
PhP11.6 B DepEd Computerization Program
2/
Includes allocations for national and communal irrigation systems managed by the NIA (PhP21.8 B) and small-scale irrigation
projects of the DA (PhP1.1 B)
3/
Includes the DepEd’s Government Assistance and Subsidies (PhP28.4 B), CHED’s Student Financial Assistance Programs
(PhP1.5 B), and TESDA’s Private Education Student Financial Assistance (PhP200 M)

Ask Your Government
T he government remains committed to promote transparency and
keep the public well-informed on where their taxes go, especially
during this difficult time. We invite you to get involved by picking up
the phone or sending an email to know more.
Selected Public Assistance Desks/External Relations Offices in the Executive Branch

Office of the President
Department of Labor and Employment
Presidential Complaint Center
Information and Publication Service
8736-8645; 8736-8603
DOLE Hotline: 1349
[email protected]
Office of the Vice President Department of Public Works and Highways
Public Assistance Division Stakeholders Relations Service
8370-1716 to 19 loc. 113 5304-3280
[email protected] [email protected]
Public Assistance and Complaints Desk
Public Assistance and Complaints Desk
8837-2071 loc. 2036, 2053; 8838-9080
8928-8741 to 64 loc. 2136
[email protected]
Department of Education Department of Tourism

Public Assistance Action Center Tourism Information Center
8636-1663; 8633-1942 8459-5200 to 30 loc. 101, 102
[email protected]
Department of Environment
and Natural Resources
DTI Direct/Customer Contact Center
Strategic Communications
1-DTI (1-384); (0917) 834-3330
and Initiatives Service
[email protected]
8249-3367 loc. 1054, 1055; 8928-2910
Department of Foreign Affairs Department of Transportation
Office of the Undersecretary Communications and Commuter Affairs
for Migrant Workers 8790-8300; 8790-8400 loc. 305, 362, 723
8834-4996; 8834-4449 [email protected]
[email protected]
Civil Service Commission
Public Assistance and Information Office
Malasakit Program Office
8931-7993; 8932-0381; 8932-0179 F
8651-7800 loc. 1807, 1806
[email protected]
[email protected]
Department of the Interior Commission on Audit
and Local Government Public Information Office
Public Assistance and Complaint Center 8951-0934; 8951-6955
8876-3454 loc. 6700; 8925-0343; 8925-1144 [email protected]; [email protected]
Department of Justice Commission on Human Rights

DOJ Action Center (DOJAC) Citizens’ Help and Action Division
8526-3365; 8521-2930 8294-8704
[email protected] [email protected]
For more information, news, and updates on the government’s COVID-19 response,
please visit the official COVID-19 Dashboard at https://covid19.gov.ph.

Department of Budget and Management
2022 People’s Proposed Budget Publication
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DEPARTMENT OF BUDGET AND MANAGEMENT 71

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2022 People’s Proposed Budget
Produced by the Philippines’
Department of Budget and Management (DBM)
September 2021
To ensure that this publication is widely accessible, the DBM highly encourages its reproduction,
copying, printing, and/or dissemination exclusively for personal and non-commercial use, and with
proper acknowledgement of the DBM or its other sources. The DBM, however, cannot be held responsible
for any issues arising from such activities.
Production Team
Budget Information and Training Service
Data Sources
Budget and Management Bureaus A-F
Budget Technical Bureau
Fiscal Planning and Reforms Bureau
Local Government and Regional Coordination Bureau
2021
Systems and Productivity Improvement Bureau
Other DBM Offices
Overall Editing
Vivien V. Labastilla DepEd Budget
John E. Lansangan and the Shift to the Basic Education-Learning
Jesselynn G. de la Cruz Continuity Plan in response to COVID-19
Adviser
Undersecretary Rolando U. Toledo
General Solano St., San Miguel, Manila
(02) 8657-3300 [email protected]
/DBMgovph @DBMgovph
Visit: www.dbm.gov.ph

2022 People's Proposed Budget Sustaining The Legacy of Real Change For The Future Generations

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About the Cover

The Duterte Administration began its journey with

The cover design is inspired by Filipinos from all walks of

Ang 2022 Badyet: Mula sa pangangailangan ng tao

Cover design and description by: Junrey E. Rosales

The Proposed 2022 National Budget 40 Governance

70 Ask Your Government

The Proposed 2022 National Budget reflects this

As President Duterte declared during the last Budget

2 2022 PEOPLE’S PROPOSED BUDGET

Department of Trade and Industry

Research Institute for Tropical Medicine

Sustaining the Legacy of Real Change

The PhP5.024 Trillion Proposed 2022 National Budget, the

Department of National Defense

Presidential Communications Operations Office

4 2022 PEOPLE’S PROPOSED BUDGET

2022 Budget Philosophy

THE PROPOSED 2022 NATIONAL BUDGET 5

Primer on the Supreme Court Ruling

What is the SC Ruling on the Mandanas-Garcia Case?

6 DEPARTMENT OF BUDGET AND MANAGEMENT

Quezon City Government

Always be informed on where your taxes go.

Department of Budget and Management (DBM)

THE PROPOSED 2022 NATIONAL BUDGET 7

2022 Budget Dimensions

Budget by Sector, 2021-2022

General Public Services

2021 2022 Defense

Note: Figures may not add up due to rounding off.

8 2022 PEOPLE’S PROPOSED BUDGET

Social Services PhP1.922 T

Social Security, Welfare, PhP475.9 B

Economic Services PhP1.474 T

Subsidy to LGUs PhP360.1 B

General Public Services PhP862.7 B

General Administration PhP190.5 B

Debt Burden PhP541.3 B

THE PROPOSED 2022 NATIONAL BUDGET 9

2022 Budget Dimensions

Sectors that Benefit

General Public Services

Philippine National Police

PhP520.7 B: General services

Public Order and Safety

PhP1.5 B: Civil defense

10 DEPARTMENT OF BUDGET AND MANAGEMENT

Department of Social Welfare and Development

Housing and Community

PhP1.5 B: Cultural services

THE PROPOSED 2022 NATIONAL BUDGET 11

2022 Budget Dimensions

Maintenance and Other Operating Expenses

Day-to-day operations of national government

Funding for government programs and services,

Salaries and other compensation of civil servants

Implementation of the third tranche of the Salary