Makabayan: Secret funds swell to P12B in 2026 budget
A coalition of progressive groups in the House of Representatives sounded the alarm over a multibillion-peso surge in confidential and intelligence funds (CIF) in the proposed 2026 national budget now awaiting President Marcos’ signature, warning that the allocations could be a tool for corruption.
In their initial analysis of next year’s budget, the Makabayan coalition flagged the “significant increases” to all but two agencies that requested CIF, which they have long marked for their lack of transparency.
It also challenged President Marcos, whose office is set to receive the biggest chunk of CIFs, to veto these items.
“[…] It is clear to the coalition and to the Filipino people that the proposed 2026 budget that Congress is set to ratify is full of funds that are vulnerable to corruption and fascism,” Makabayan said in a statement. “This, while it has underfunded critical services like education, health, and other social services that the public truly needs.”
Comparing the National Expenditure Program (NEP) proposal to the Senate version of the 2026 general appropriations bill, confidential funds rose by P876.6 million to a total of P5.24 billion, while intelligence funds were increased by P231.15 million to P6.63 billion. This amounts to P11.87 billion, or almost P12 billion, for both.
Substantial boosts
Based on the Senate version, the coalition said, the country’s CIF are highly concentrated within the Office of the President (OP), which controls a combined P4.56 billion in secret funds.
The OP holds 43 percent (P2.25 billion) of the government’s total confidential funds and 35 percent (P2.31 billion) of the total intelligence funds.
Beyond the presidency, several agencies saw substantial boosts to their confidential allocations in the Senate version compared to the NEP:
• Department of Justice (DOJ)-Office of the Secretary: P729.9 million, nearly double the P364-million proposal;
• Bureau of Customs: P250 million, a significant increase from P79.5 million;
• Department of the Interior and Local Government-Office of the Secretary: P300.6 million, up from P100.6 million; and
• National Bureau of Investigation: P300.4 million, up from P174.4 million.
The bicameral conference committee has yet to officially release its final report, but based on the figures flashed onscreen during the livestream of its meeting, both panels have approved the figures for the OP, NBI, DOJ and the Bureau of Customs.
‘Bloated’ funds
In a move described by the coalition as a historical first, the Anti-Red Tape Authority was also granted P6.7 million in confidential funds.
The budget also earmarks significant intelligence funds for the country’s security apparatus. The Philippine National Police is set to receive P871.3 million, while the Armed Forces of the Philippines General Headquarters has been allocated P1.216 billion.
The coalition criticized the Senate for “bloating” these funds, which undergo a different audit process and therefore could not be publicly scrutinized.
They challenged the President to reject these provisions alongside the equally problematic allocations for what other civil society groups call pork and patronage programs, which all saw their budgets double in the bicameral version.
Aid programs
Among the most contentious items were the sharp increases to what it called “soft pork” programs which are implemented at the discretion of lawmakers or elected officials—particularly the Department of Social Welfare and Development’s Assistance to Individuals in Crisis Situations (AICS), the Department of Labor and Employment’s Tulong Panghanapbuhay sa Ating Disadvantaged/Displaced Workers (Tupad) and the Department of Health’s Medical Assistance to Indigents and Financially Incapacitated Patients (Maifip) programs.
All three programs saw their budgets more than double from the original proposal under the NEP: Maifip, from P24 billion to P51 billion; AICS from P27 billion to P63 billion; and Tupad from P12 billion to P25 billion.
At the same time, the bicam upheld the P243 billion in unprogrammed appropriations despite public clamor to strip it after being revealed to have been used to fund anomalous projects after the enactment of the budget.
Mr. Marcos is expected to sign the budget on Jan. 5, according to Executive Secretary Ralph Recto.
