CenPEG Calls for People’s Audit, Stronger Oversight on 2026 National Budget

PRESS RELEASE

August 18, 2025

Manila, August 2025 – The Center for People Empowerment in Governance (CenPEG) today raised serious concerns over the proposed ₱6.793 trillion national budget for 2026, describing it as a continuation of past flawed fiscal priorities that fail to address the country’s deepening social crises.

Prof. Emmanuel “Noel” Leyco, CenPEG Fellow and Trustee, pointed out that while government justifies the huge allocations for the Department of Public Works and Highways (DPWH) as necessary for economic growth, questions remain on whether these truly serve urgent public needs.

“Napakalaki pa rin ng para sa DPWH. Ang sinasabi ay kailangan ito para sa ekonomiya, pero ang totoo, ginugugol sa flood control, roads, and bridges – samantalang kulang na kulang ang badyet para sa school buildings. Napakasama na ng education crisis ngayon, dapat ito ang binibigyan ng mas malalim na pansin,” Prof. Leyco said.

According to CenPEG, the proposed ₱928 billion for DepED, of which, only P25.4B(2.7%) is directly allocated for school buildings, is gravely insufficient given the thousands of classrooms needed across the country. Despite the private sector being able to build classrooms more efficiently and at lower cost, government allocations remain skewed in favor of infrastructure projects with questionable impact.

Prof. Leyco also flagged concerns on allocations for the Department of Social Welfare and Development (DSWD) and the persistence of confidential and intelligence funds, which have long been criticized for lack of transparency and accountability.

On the country’s debt burden, he added, “Tuloy-tuloy ang pagtaas ng utang – projected at ₱19 trillion sa susunod na taon. Ang debt service ay nasa halos 14.4% ng budget. Ito ay malinaw na pagpapatuloy lamang ng mga nakaraang badyet, na walang malinaw na developmental direction.”

CenPEG emphasized that the budget should directly address the classroom shortage through programmed, monitored, and evaluated interventions. The Commission on Audit (COA), according to Prof. Leyco, should proactively include these deficiencies in its audit scope.

CenPEG’s Call: A People’s Audit

CenPEG reiterated its call for a People’s Audit, a mechanism that will allow third-party, independent, and non-partisan entities to assess project implementation and ensure accountability.

“Good governance is not just about numbers. It is about whether the budget truly reaches the people. Kaya mahalaga ang People’s Audit,” Prof. Leyco stressed.

CenPEG Recommendations

To ensure participatory and responsive budgeting, CenPEG recommends that those directly affected be consulted in the legislative process. For example, in education – teachers must be heard, particularly on classroom shortages, their work load and their compensation needs; in health – patients and health workers should be included in deliberations to reflect the real state of public health; in housing – urban poor communities must be consulted prior to demolitions and relocation, especially in waterways and informal settlements.

CenPEG urges legislators to align the 2026 budget with genuine developmental goals by prioritizing people’s welfare over debt payments, excessive infrastructure spending, and opaque confidential and intelligence funds.