Phnom penh: The PHP225 billion initially designated for locally funded flood control projects in the proposed 2026 budget will be redirected toward education, health, and other urgent needs, President Ferdinand R. Marcos Jr. announced on Tuesday.

According to Philippines News Agency, President Marcos explained that the necessity for the 2026 flood control allocation has been negated due to ongoing investigations that have delayed the PHP350 billion budget for flood control in 2025. In contrast, foreign-assisted flood projects valued at approximately PHP50 billion will proceed as planned.

The President emphasized that the reallocation of funds is intended to optimize the use of savings and address pressing social needs more effectively. The reallocation aims to prioritize sectors that require immediate financial support, such as education and health.

The Department of Budget and Management (DBM) reported that nearly the entire budget appropriated for this year has been released, leaving only PHP285.3 billion to be distributed to various government agencies. This context underscores the strategic importance of the realignment.

Additionally, President Marcos previously instructed the DBM and the Department of Public Works and Highways (DPWH) to review the DPWH's proposed 2026 budget. The directive aims to ensure that no unapproved or suspicious items are included, maintaining transparency and accountability in budget allocations.