ASEAN Beat

Who Controls the Philippine Budget?

Recent Features

ASEAN Beat | Politics | Southeast Asia

Who Controls the Philippine Budget?

The investigation of Vice President Sara Duterte, under scrutiny for alleged misuse of government funds, has highlighted the need for greater transparency.

Who Controls the Philippine Budget?
Credit: ID 21587548 © Dguyler | Dreamstime.com

For Philippine Vice President Sara Duterte, two officials control the country’s budget: House of Representatives appropriations committee chair Rep. Elizaldy Co and Speaker Ferdinand Martin G. Romualdez, the first cousin of President Ferdinand “Bongbong” Marcos Jr.

In a taped interview released to media, Duterte claimed that several lawmakers lobbied for separate funding for the construction of classrooms in 2023 and 2024. As education secretary during that time, she refused; but House leaders managed to access the requested funds by inserting the item in the approved budget. She said that the meddling of Romualdez and Co in the education budget was one of the reasons for her resignation as education secretary.

She added that there’s no point in answering queries from legislators during the budget deliberations if only two people can control the budget. Her refusal to answer questions led to the deferring of her proposed budget for 2025.

She accused the House leadership of fabricating narratives about her alleged misuse of funds. She attended a committee hearing that sought to probe the questionable spending of her office, but she insisted that legislators only intended to build an impeachment case against her

“I will not allow myself to be subjected to an inquiry based on an empty privilege speech just so you can attack me and indirectly do what you failed to do directly during the budget hearings,” she said in her opening statement.

Her combative stance is not helping her win allies in Congress.

“Instead of focusing on delivering results, we’re now seeing what others suspect all along, that the vice president is resorting to squid tactics – using smokescreens and diversionary moves to escape accountability,” said House Majority Leader Manuel Jose Dalipe.

Responding to Duterte’s accusation, Co advised the vice president to account for the funds used by her office.

“Before making accusations against others, she should answer the people’s questions: Where did the public funds go?” Co said in a media interview.

Co was referring to audit reports flagging Duterte’s confidential funds in 2022 and the “irregularities” in the distribution of aid by her office.

When the budget proposal was submitted to the plenary for discussion, Speaker Romualdez said that the House “would take a zero-tolerance approach toward those who undermine accountability while conveniently ignoring their own malfeasance.” He didn’t mention any name but it was only Duterte who recently engaged in a verbal spat with legislators while being accused of mishandling funds.

“We cannot ignore the reality that there are those who seek to undermine our work – critics who speak of accountability while conveniently ignoring their own misuse of public funds,” Romualdez said in his speech. “This chamber will not tolerate hypocrisy, nor will it stand idle in the face of such blatant disregard for public trust,” he added.

This unfolding political drama reflects the intensifying rift among former allies in the ruling coalition led by the Marcos and Duterte camps. Duterte resigned from the Cabinet in July while her brother and supporters have called for the resignation of the president. Meanwhile, Marcos allies in Congress have conducted hearings about the human rights abuses during the enforcement of the “war on drugs” under the presidency of Rodrigo Duterte, the vice president’s father. The political squabble is expected to worsen leading to the 2025 midterm polls in May and the presidential election in 2028.

As politicians bicker over who committed more crimes against the people, it is important to broaden the coverage of the Congress hearings. Duterte may be liable for misspending funds, but Congress should also exert the same vigilance in probing the expenses of President Marcos. After all, he retained his confidential funds and his office has the discretion to distribute billions of special purpose funds, which critics believe are being used for political patronage.

Duterte may be stonewalling the search for the truth about whether she misappropriated public funds, but stakeholders should take advantage of the heightened attention on the budget process to demand greater transparency and accountability over how public officials and agencies deliberate, modify, approve, and spend the national budget.