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September 10, 2009

Social and economic services not prioritized in 2010 budget; Civil society and legislators put forward alternative budget proposals

Social Watch Philippines (SWP) warned that millions may plunge into poverty next year as economic and social services are not priorities in the proposed 2010 national budget.

 Former National Treasurer and SWP lead convenor Leonor Magtolis Briones noted that the budget for Social Services increased by only P27.7 billion. Allocations for Economic Services, which includes agriculture, environment, trade, power and energy and water resources decreased by P25 billion. The total budget for Departments was also reduced by P51 billion. Meanwhile, the greatest increase was in Debt Service-Interest Payments which is P88 billion more than last year.

 “Figures clearly show that the that the eight percent increase in the budget for 2010 is not geared towards greater spending for programs that will have the greatest impact on economic and social development,” Briones added.

 She explained that the increase in the budget is due to higher amounts for Automatic Appropriations and Special Purpose Funds (SPF) which increased by P123 billion and P166 billion, respectively. SWP has been consistently calling for the realignment of SPF which are unreasonably big budget items with no special provisions and are highly discretionary.

 She also warned that out of P914 billion new general appropriations, the Programmed Appropriations, or the budget available for release in 2010 is only P845. The remaining P69 billion is Unprogrammed Appropriations which can only be used if there are additional funding.

  “The proposed 2010 expenditure program is a ‘maintenance’ budget and not designed to lay ‘the groundwork for a full-scale revving up of the economy in the coming years’ as proclaimed in the President’s Budget Message,” Briones said

 With this warning, 60 nongovernment organizations led by SWP, yesterday (September 10) presented their alternative budget proposals for the 2010 national budget to legislators in a meeting in Quezon City. Civil society groups and legislators, through the Alternative Budget Initiative (ABI) campaign has been formulating and lobbying for increased allocation for health, agriculture, environment and education.

 Among those who attended the meeting for the alternative budget proposals are Congressman Roilo Golez, Congressman Teofisto Guingona III. Also present were senior legislative staff of Senators Panfilo Lacson, Loren Legarda and Allan Peter Cayetano and Representatives Edcel Lagman, Ronaldo Zamora, Alfonso Umali Jr. and Lorenzo Tanada III. A director of the Congressional Planning and Budget Division (CPBD) and a senior staff of the Senate Economic Planning Office (SEPO) also participated in the meeting.

 “We are very happy that legislators are supporting our alternative budget proposals,” said Rene Raya of Action for Economic Reforms (AER). “This provides a bit of hope for 12.2 million hungry Filipinos, especially when the magnitude of poor population among basic sectors has been steadily increasing.” he added.

 A total of P5.3 billion allocations for social development and P6.3 billion for environment, agriculture, education and health were added in the national budget in 2007 and 2008 respectively as proposed through the ABI. For the 2009, ABI was able to push for P7.7. billion increases in the budget for social and economic services.

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