GOVERNMENT infrastructure spending and other capital outlays breached the first-half program, the Budget department reported on Wednesday.
Budget Secretary Benjamin E. Diokno presented the government’s first-half disbursement performance in a media briefing, with infrastructure and other capital outlays reaching P352.7 billion, 41.6% more than the P249.1 billion recorded in 2017’s first six months. That was also 4.3% more than the P338.3-billion program for last semester.
“This is attributed to infrastructure projects of various agencies, especially the road infrastructure projects of the Department of Public Works and Highways (DPWH),” Mr. Diokno said.
In June alone, infrastructure and other capital outlays grew 38.5% to P71.9 billion from P51.9 billion in June last year, and by 23.8% from May’s P58.1 billion.
“Specific to June 2018, these projects include the construction, widening, upgrading and preventive maintenance of road networks under the DPWH, the repair and rehabilitation of classrooms and school facilities under the Department of Education and State Universities and Colleges, acquisition of hospital and medical equipment of the Department of Health, and rail transport projects and purchase of airport security equipment of the Department of Transportation,” said the Budget chief.
Mr. Diokno also noted that the government has front-loaded the construction of some infrastructure projects in the first six months of the year, given the appropriate dry season for public works.
Overall government disbursements reached P1.604 trillion last semester, 20.5% more than P1.331 trillion the past year and 2.2% more than a P1.57-trillion program.
“The performance of government spending is unprecedented, because we are ahead of the program for the first time in history,” Mr. Diokno said. “This is a result of the reforms we have implemented in planning and budgeting. The quicker spending should translate to more classrooms for our students, better transport systems for our commuters, improved health and social protection programs for the poor, among other public service provisions.”
Of the total first-half disbursements, personnel services accounted for P460.5 billion, 20.1% more than the year-ago P383.3 billion and 5.6% above a P436-billion target mainly due to the release of retirement and gratuity benefits, as well as the pension of military and police retirees.
Maintenance and other operating expenses grew 16.3% to P242.1 billion from P208.2 billion and exceeded a P238.1-billion program by 1.7%.
Allotments to local governments increased by 8.1% to P210.6 billion from P194.8 billion, but fell 0.6% short of a P211.8-billion program.
Interest payments totaled P165.5 billion, 9.2% more than P151.6 billion last year but 4.3% short of a P173-billion program. — Elijah Joseph C. Tubayan

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