The government received at least P28 billion in dividends and other forms of remittances from government-owned and -controlled corporations (GOCCs).
In a statement, the Department of Finance said that 38 GOCCs turned over the dividends to the national coffers out of their operations for the past year.
“The practice of declaring and remitting dividends is pursuant to Section 3 of Republic Act 7656, which states all GOCCs are required to ‘declare and remit at least . . . 50 percent of their annual net earnings as cash, stock or property dividends to the National Government,’” it explained.
The Finance department added that dividends this year surpassed the collections made last year, with eight GOCCs belonging to the elite circle, the so-called Billionaire’s Club for having remitted at least P1 billion to the government.
These GOCCs include new entrant Philippine Reclamation Authority, which remitted P1 billion; Philippine Ports Authority, P1.034 billion; Manila International Airport Authority, P1.547 billion; Philippine Amusement and Gaming Corp., P1.4 billion; Power Sector Assets and Liabilities Management Corp., P1 billion; the Bases Conversion Development Authority, P2.309 billion; Development Bank of the Philippines, P3.166 billion and Land Bank of the Philippines, which remitted the biggest amount for this year with P6.241 billion.
From 22 GOCCs in 2012, there were 38 GOCCs that remitted in 2013. In a ceremonial turnover of the P28 billion at Malacañang on Monday, President Benigno Aquino 3rd also lauded the P77-billion worth of dividends from GOCCs during the first three years of his administration.
He said that the previous administration only got a total of P96-billion worth of remittances in its nine and a half years in government.
“The difference between the tuwid na daan [righteous path]and the crooked trend of the previous administration can be compared to heaven and earth],” the President said in Filipino.
The President said that the funds generated from GOCCs are currently being used for the government’s various social programs such as providing education, healthcare, food and livelihood, especially the vulnerable sector.
The President credited reforms and lauded GOCCs for doing their best to perform effectively and efficiently, to contribute to national development.
In 2011, the President signed Republic Act 10149 or the Government Owned and Controlled Corp. Governance Act of 2011 “that seeks to reform the operations of state-owned enterprises and to curb the perceived abuses particularly on excessive bonuses and allowances of its officials.”