In a compelling presentation at the Philippine Economic Dialogue held on the sidelines of the 58th Asian Development Bank (ADB) Annual Meeting, Department of Budget and Management (DBM) Secretary Amenah F. Pangandaman reaffirmed the Philippine government’s commitment to climate resilience, infrastructure development, and anti-corruption reforms through digital transformation.
Highlighting a historic leap in budget allocation, Secretary Pangandaman announced that the country’s climate change expenditures grew by a remarkable 152.7 percent compared to the previous year, marking the highest increase since 2015. The allocation now constitutes 18.3 percent of the proposed FY 2025 National Budget, doubling the 9.0 percent target set under the Philippine Development Plan (PDP) 2023–2028.
“Increasing our climate expenditure signals the government’s serious commitment to building climate resilience and sustainability,” Pangandaman said.
Secretary Pangandaman also reiterated that infrastructure development remains a top priority, with the Build-Better-More Infrastructure Program receiving a substantial Php 1.645 trillion, equivalent to 5.7 percent of GDP. This funding will support flagship projects that enhance connectivity and stimulate inclusive economic growth.
Key allocations include:
- PHP 624.8 billion for road networks
- PHP 350.5 billion for flood control systems
- PHP 56.42 billion for irrigation
- PHP 17.93 billion for railways
- PHP 7.70 billion for airports
- PHP 37.09 billion for school buildings
- PHP 19.43 billion for health facilities
As part of ongoing reforms, the DBM also presented the New Government Procurement Act, described as the Philippines’ most significant anti-corruption legislation in recent history. A key innovation of the law is a fully digital e-marketplace, modeled after commercial platforms like Amazon, which allows government agencies and local units to purchase supplies and equipment seamlessly.
“This e-marketplace has already been used for procuring motor vehicles, airline tickets, cloud computing services, and software licenses,” Pangandaman shared. “We will continue expanding this digital platform to further improve transparency and efficiency in government procurement.”
The event also showcased strong economic ties between the Philippines and Italy. Italian business leaders acknowledged the Philippines as a prime destination for international investment, citing sustained growth, improved regulatory frameworks, and strategic market access.
Philippine Ambassador to Italy H.E. Nathaniel G. Imperial affirmed this sentiment: “The Philippines is more than ready to do business with Italy and Europe, and we welcome further collaboration across sectors.”
ADB Director General Winfried F. Wicklein echoed the optimism, stating, “There has never been a more exciting time to invest in the Philippines.”
The Philippine delegation included top-level representatives from the Department of Finance, Department of Agriculture, Bangko Sentral ng Pilipinas, and the Asian Development Bank. The Dialogue was moderated by DBM Undersecretary Margaux V. Salcedo and co-organized by the BSP, DOF, and ADB, with support from the Philippine Embassy in Italy, the Consulate General in Milan, the Philippine Trade and Investment Center, and the Italian Chamber of Commerce in the Philippines.
