The Department of Budget and Management (DBM) turned over the FY 2026 National Expenditure Program (NEP) to Congress in a ceremony at the House of Representatives on Wednesday,

The 2026 NEP amounts to P 6.793 trillion. This is 7.4 percent higher than the enacted FY 2025 budget and equivalent to 22 percent of gross domestic product.

''The economic team carefully considered the available fiscal space and worked diligently to tighten the budget,'' said Budget Secretary Amina Pangandaman in her address to the House of Representatives,

''In fact, we received total budget proposals amounting to P10.101 trillion, and only those within the available fiscal space were considered. This ensures that even as we strengthen the economy and strive to achieve the nation’s full potential, we

remain committed to reducing the budget deficit,'' she said.

For 2026, the Social Services sector will receive the biggest share in the proposed national budget with P 2.314 trillion. This will cover priority projects on education, culture, and manpower development with the total allocation of P1.194 trillion, health care with P 331.4 billion, and social security, welfare, and employment with P295.8 billion, among others.

"While we have always met the Constitutional mandate to 'assign the highest budgetary priority to education,' I am proud to announce today that for the first time, the budget for basic and higher education has been increased monumentally to meet UNESCO's recommended education spending target of at least 4.0 percent of the country's GDP," she said.

The Economic Services sector will receive P1.868 trillion to stimulate economic activity nationwide, comprising of communications, roads, and other transport projects at P777.2 billion. Agriculture and agrarian reform programs will receive an allocation of P 256.5 billion, water resources development and flood control measures will be allocated with a total of P259.3 billion, and tourism efforts will get P 6.5 billion.

A total of P1.202 trillion will go to General Public Services to finance public order and safety activities with an allocation of P 494.2 billion, and general administrative expenses of the government with P 309.4 billion, among others.

The Defense sector will get P430.9 billion to boost domestic security and defense capabilities. Most of this budget will go to the Department of National Defense with a P291.6 billion allocation. DBM