The government increased its budgetary support to government-owned and -controlled corporations (GOCCs) by 32 percent in May, with the bulk of the subsidies intended to support the agriculture sector.
Preliminary data released by the Bureau of the Treasury (BTr) showed that subsidies to state-run firms amounted to P9.740 billion in May 2024, up from the P7.376 billion posted at the same time in 2023.
The government provides financial assistance to government-owned and controlled corporations (GOCCs) to cover their operational costs that their own revenues do not fully support.
National Irrigation Administration (NIA), which serves as the country’s irrigation development and management, is the top recipient for the month with P7.270 billion, up 72.11 percent from last year’s P4.224 billion.
The Philippine Rubber Research Institute (PRRI), which is mandated to strengthen the research and development on rubber and other aspects of the industry, secured the second-highest subsidy at P629 million.
The Philippine Fisheries Development Authority (PFDA) came in third with P359 million. PFDA is responsible for inpromoting the development of the fishing industry in the country.
Other top subsidy recipients during the month also include the Philippine Children’s Medical Center (PCMC) at P207 million, and Philippine Heart Center (PHC) at P168 million.
Meanwhile, subsidies to GOCCs in the first five months of the year totaled P57.047 billion, up by 51.55 percent from the P36.641 billion released in the same period last year.
NIA also received the lion’s share of the subsidies released to state-run firms during the first five months of the year, amounting to P29.012 billion.
The Power Sector Assets and Liabilities Management Corp. (PSALM) is the second biggest recipient for the period with P8 billion.
PSALM is mandated to privatize all transferred assets from the National Power Corp. with the objective of liquidating all of the latter’s financial obligations.
Other top recipients are the National Housing Authority (NHA) with P3.749 billion, National Food Authority (NFA) with P2.250 billion, and the National Electrification Administration (NEA) with P2.088 billion. (TCSP)
