

The 2026 National Budget no longer contains any provision that would allow the national government to take and reallocate the “reserve,” “excess,” or “surplus” funds of government agencies.
Senator Sherwin Gatchalian, chair of the Senate Committee on Finance, assured the public that lawmakers removed Provision No. 4, which previously permitted the transfer of surplus funds. He noted that this same provision was cited by the Department of Finance (DOF) when it took ₱60 billion from PhilHealth and transferred it to the National Treasury—an action later declared unconstitutional by the Supreme Court.
Gatchalian said a total of ₱113 billion has now been allocated to PhilHealth for 2026. This includes the ₱60 billion ordered returned under the Supreme Court ruling and ₱53 billion for the agency’s annual subsidy.
The senator expressed hope that the increased funding will boost PhilHealth’s case rates and support the implementation of President Marcos’ Zero-Balance Billing Program.
