Adoption of the budget for 2023 to stimulate the growth of HOs — Diokno

Treasury Secretary Benjamin Diocno praised Congress for passing the 2023 national budget ahead of schedule, which is critical in fueling optimism about next year’s growth prospects.

In the annual report, the chief economic manager of President Ferdinand Marcos Jr. said the swift passage of the General Appropriations Act (GAA) of 2023 is one of many reasons for his optimism about the country’s economic outlook. “This means that the programs and projects of the national government will start working from the first day of the new year,” Diokno said.

“This is especially true for public construction, which accounts for about one-fifth of the national budget of 5.2 trillion pesos,” he added.

Early adoption of the spending plan for 2023 will allow agencies to start implementing their programs and projects as early as January. This is especially important for infrastructure departments such as the Department of Public Works and Highways and the Department of Transportation, as construction is best done within the first six months of the year.

“Ideally, public construction should start in the first half of the year due to favorable weather conditions: more sunny days, less rainy days,” Diokno said.

Get the latest news


delivered to your mailbox

Subscribe to The Manila Times daily newsletters

By registering with an email address, I acknowledge that I have read and agree to Terms of Service and Privacy Policy.

The 2023 GAA is the fastest national budget passage the administration has seen in years.

Marcos has already expressed gratitude for the strong support of the legislature, led by Speaker of the House Ferdinand Martin Romualdez and Chairman of the House Appropriations Committee and Party Representative Ako Bicol. Elizaldi Co.

The President said that the timely passage of the GAA will allow the country to position itself in the new economy.

Many institutions and experts have predicted a global recession in 2023 and have consequently downgraded the Philippine Gross Domestic Product (GDP) growth forecast to less than six percent. The Interministerial Development Budget Coordinating Committee expects the economy to grow by 6.0-7.0% in 2023 in the face of external headwinds.

“But an average GDP growth of 6.5% is no reason to sneeze: it is still one of the highest, if not the highest, growth rate among the ASEAN+6 countries,” Diokno said.

In addition to the budget, Diokno also praised Congress for speedily passing the first-ever Medium Term Financial Framework (MTFF) for fiscal year 2023-2028, which President Marcos introduced in his State of the Union Address.

Diokno said the MTFF serves as a guiding light for the new administration as it pushes through economic and social transformations as part of a fiscal consolidation regime.

“In the spirit of national unity, both houses of Congress quickly supported the MTFF through a joint resolution,” Diokno said.

“As a result, both the executive and legislative departments of the government are on the same wavelength, pursuing the same national aspirations for at least the next three years,” he added.

He said that this unprecedented achievement and demonstration of unity could be the envy of all democratic governments in the world.

“As long as the country remains united and its political leaders and politicians remain focused on economic growth, the future of the Philippines remains bright. Its growth trajectory will make the country one of the leading economies in the Asia-Pacific region.” the financial director said.