Subsidies to GOCCs drop by 36% in March

Subsidies provided to government-owned and -controlled corporations (GOCCs) fell by 36.3% in March, the Bureau of the Treasury (BTr) said.

Data from the BTr showed that budgetary support to GOCCs declined to PHP 6.872 billion in March from PHP 10.795 billion a year earlier.

Month on month, subsidies dropped by 46% from PHP 12.715 billion in February.

The government provides subsidies to GOCCs to help cover operational expenses not covered by their revenue.

The National Irrigation Administration (NIA) was the top recipient in March, receiving PHP 3.224 billion. This accounted for nearly half or 46.9% of overall subsidies.

This was followed by the National Electrification Administration (NEA) with PHP 2.088 billion in subsidies and the Philippine Fisheries Development Authority with PHP 382 million in subsidies. The two agencies did not receive any subsidies in the previous month.

Other top recipients were the Cultural Center of the Philippines (PHP 156 million), Philippine Heart Center (PHP 152 million), Small Business Corp. (PHP 125 million), Philippine Children’s Medical Center (PHP 118 million), and the National Kidney and Transplant Institute (PHP 104 million).

Other GOCCs that received more than PHP 50 million during the month were the Tourism Promotions Board (PHP 83 million), Light Trail Transit Authority (PHP 72 million), Lung Center of the Philippines (PHP 53 million), and the Philippine Coconut Authority (PHP 50 million).

Meanwhile, the Local Water Utilities Administration, National Food Authority (NFA), National Power Corp., Philippine National Railways, Philippine Postal Corp. and Social Housing Finance Corp. did not receive any subsidies in March.

FIRST-QUARTER SUBSIDIES
In the first three months, subsidies to GOCCs stood at PHP 19.587 billion, 8% lower than PHP 21.308 billion in the same period a year ago.

The NIA received the bulk of subsidies in the first quarter, taking in PHP 10.317 billion. This accounted for more than half (52.7%) of the total subsidies released during the period.

This was followed by the NFA with PHP 2.25 billion and the NEA at PHP 2.088 billion.

Last year, subsidies to GOCCs amounted to PHP 163.54 billion. — Luisa Maria Jacinta C. Jocson