GOCC subsidies fell by 31% in July

The Philippine government has once again scaled back its subsidy releases to state-owned corporations in July, with total assistance falling by nearly a third from a year earlier, data from the Bureau of the Treasury showed.

According to the Treasury’s latest cash operations report, subsidies to government-owned and controlled corporations (GOCCs) totaled P6.76 billion in July, down 31 percent from P9.74 billion a year earlier.

The July releases were also less than half the P16.56 billion released in June, when the Treasury made a one-time P10-billion payment to Food Terminal Inc. (FTI).

In the January-July period, however, total subsidies surged 95 percent to P121.34 billion from P62.23 billion a year earlier.

The sharp increase was largely due to the return of P60 billion to the Philippine Health Insurance Corp. and the FTI subsidy.

The seven-month total already accounted for 46 percent of the P264.82 billion in subsidies programmed for GOCCs for 2026.

Of the July amount, government financial institutions received no subsidy for the third straight month, compared with P1 billion released in the same month last year.

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Subsidies to major non-financial government corporations fell 32 percent to P2.91 billion from P4.25 billion a year earlier.

The National Irrigation Administration received the largest allocation in this group at P2.23 billion, followed by the National Food Authority with P405 million.

Subsidies to other government corporations fell 34 percent to P3.86 billion from P5.85 billion a year earlier.