THE Aquino administration jacked up its financial aid to government-owned or controlled corporations in the first seven months of the year given the narrower budget gap for the period.
Data from the Bureau of the Treasury revealed that the national government shelled out P15.26 billion to GOCCs, almost 65 percent more than the P9.26 billion subsidy released during the same seven-month period in 2010.
In July alone, monetary support to state firms amounted to P1.803 billion, or P700 million more than the P1.103 billion released a year ago.
The biggest recipient of state support that month was the National Housing Authority, which got P569 million.
The Philippine Rice Research Institute received P105 million, followed by Philippine Heart Center with P100 million.
For the seven-month period, the Philippine Health Insurance Corp. hogged the biggest subsidy at P5.12 billion.
Other top recipients were the National Food Authority, P2.5 billion; NHA, P2.18 billion; National Power Corp., P2 billion; and National Livelihood Development Corp., P1.38 billion.
Under the law, the Department of Budget and Management is mandated to release equity, subsidy and net lending to GOCCs as well as government financial institutions.
The Aquino administration has been giving substantial amounts to state firms with mandates on health, housing, livelihood development, rice self-sufficiency.
The government has programmed a budget deficit ceiling of P300 billion this year.
It has incurred a deficit of P43.71 billion in the first seven months of the year, almost 81 percent lower than the P229.42 billion recorded a year ago. The year-to-date fiscal gap was also 77 percent lower than the P191.2-billion deficit that was programmed for the period this year.
