Gov't infra spending surges by 40.9% in end-August

Consistent with the Duterte administration’s goal of speeding up infrastructure spending this year, the Department of Budget and Management (DBM) announced that expenses for infrastructure and capital outlay as of end-August had surged by 40.9 percent year-on-year.

Totaling to P34 billion in August, the government has spent an additional P8.6 billion in infrastructure as compared the P25.4 billion disbursements in the previous year. However, the amount this August  is 12.3 percent lower than July's Php 38. 7 billion.

The DBM attributed August's surge to “the continuous rollout of road infrastructure programs of the DPWH mainly for road network services and maintenance and construction of other infrastructure assets, including convergence programs implemented for the month.”

Furthermore, the DBM said that capital expenditures also includes the repair and rehabilitation of school facilities, and construction of classrooms and school buildings, upgrading of health facilities in hospitals, and payment of completed irrigation projects. 

In terms of maintenance spending, government disbursement amounted to P25.6 billion in August, P7.3 billion lower than the P32.8 billion recorded in the previous year.

“Although maintenance and other  operating expenditures have increased for some agencies such as school operations and implementation of the Senior High School Program, relief assistance extended to workers stranded in the Kingdom of Saudi Arabia, and scholarship programs, it was countered by the minimal disbursements recorded in the Department of Social Welfare and Development,” the DBM said.

August is the second full month of the Duterte Administration. 

Source: Department of Budget and Management, Philippine Daily Inquirer, and Malaya Business Insight