The Senate finance chief says slashing funds for rail lines and other loan-backed projects risks costly delays, while PhilHealth and DepEd are also in line for more
FOREIGN-ASSISTED PROJECTS – Senate finance committee chairman Sen. JV Ejercito has committed to bring back the funds the House of Representatives cut from foreign-assisted projects (FAPs) in the proposed 2027 national budget, warning in a television interview on Monday, November 2, 2026, that the reduction could stall big-ticket projects such as the North-South Commuter Railway and the Metro Manila Subway.
“I am alarmed by the huge slash in foreign-assisted projects,” Ejercito said. “I’m very particular with that. I plan to restore the slashed (funding for) foreign-assisted projects, especially the loan proceeds and the government counterpart.”
Under the House-approved version of the P7.2-trillion spending bill, the allocation for FAPs is P130 billion short of the P414 billion originally proposed by the executive branch.
Ejercito stressed that the government cannot back out of its commitments to put up counterpart funds and to pay loan proceeds owed to foreign lending institutions. “There should not be any delay because we need to honor… our commitments,” he said.
The senator has previously pointed out that the country pays commitment fees whenever these loan-backed projects are delayed, and that the projects affected by the House cut also include the Bataan-Cavite Interlink Bridge and the road network along Laguna Lake.
Aside from FAPs, Ejercito said the Senate will also restore funding for the Philippine Health Insurance Corp. (PhilHealth) and push the allocation for the Department of Education (DepEd) to at least four percent of the country’s gross domestic product. He admitted, however, that the deliberations will be tough given the government’s limited fiscal space.
On the thousands of projects lawmakers inserted into the House version, Ejercito said the Senate will be strict but fair. “Not all insertions, not all amendments are bad,” he said. “That’s why we are seeking all of these requirements,” he added, citing documents such as a certificate of implementability and approval from the regional development council.
The Department of Public Works and Highways was given until Tuesday, November 3, to submit complete supporting papers for its projects, or risk having them stripped from the bill. Senate President Win Gatchalian earlier vowed that unsupported House insertions will be removed, while Sen. Ping Lacson said watchdog groups will be allowed to observe the bicameral talks.
Ejercito’s push also drew support from the other chamber. Navotas Rep. Toby Tiangco, who voted against the House-approved budget, said he fully backs the senator’s scrutiny of the outlay.
“Accountability must begin with budget preparation, not after public funds have been spent,” Tiangco said. “Every peso allotted in the national budget should have clear reasons, complete documentary requirements and should have accountability. There shouldn’t be projects without any explanation at all.”
Tiangco, who has made public his own proposed projects for Navotas, challenged fellow lawmakers to do the same. “If I myself can release the list of my project proposals in Navotas, then I don’t see any reason why other lawmakers cannot,” he said.
The Senate will take up the budget bill when plenary sessions resume on November 9, with floor debates expected to begin on November 23. The chamber has also been tilting the 2027 budget toward the El Niño response.