GOCC subsidies decline 17.5% in Oct.

GOVERNMENT corporations took in less budgetary support in October compared to a year earlier, with the biggest allocations granted to the National Irrigation Administration (NIA), the National Housing Authority (NHA), and the Philippine Fisheries Development Authority (PFDA), according to the Bureau of the Treasury (BTr).

Preliminary data from the BTr indicate that subsidies to government-owned and controlled corporations (GOCCs) dropped 17.5% year-on-year to P5.206 billion.

They also fell 43% from the September total of 9.16 billion.

The NIA remained the biggest recipient of subsidies, taking in P2.402 billion, up 9.3% from a month earlier but down 43% year-on-year. The agency’s subsidy accounted for nearly half or 46.13% of the total during the month.

The National Housing Authority received P1.098 billion, much higher than the P252 million received in Oct. 2020 but lower than the P3.059 billion in September.

The Philippine Fisheries Development Authority received P319 million in October, up sharply from the P32 million in September. The agency received no budgetary support in Oct. 2020.

The National Home Mortgage Finance Corp. (P172 million), Civil Aviation Authority of the Philippines (P100 million), National Kidney Transplant Institute (P107 million), Philippine Heart Center (P147 million), and the Philippine Postal Corp. (P135 million) all received subsidies exceeding P100 million.

Government corporations receiving more than P50 million were the Light Rail Transport Authority (P85 million); Philippine National Railways (P82 million); Development Academy of the Philippines (P68 million), IBC-13 (P84 million), and the Philippine Children’s Medical Center (P87 million).

Agencies that received no subsidies in October were the Local Water Utilities Administration, National Electrification Administration, National Food Authority, National Power Corp., Cagayan Economic Zone Authority, Philippine Crop Insurance Corp., Philippine Health Insurance Corp. (PhilHealth), Small Business Corp., and the Tourism Infrastructure and Enterprise Zone Authority.

Government subsidies in the first 10 months of 2021 amounted to P151.081 billion, down 8.5% from a year earlier.

PhilHealth received the biggest subsidy during the 10 months of P76.063 billion.

Subsidies are granted to GOCCs to cover operational expenses not supported by their revenue. — Luz Wendy T. Noble