The country’s capital outlay expenditure surged by 62.7 percent in June from a year earlier as the government accelerated its investments in infrastructure projects.
Data released by the Department of Budget and Management (DBM) on Wednesday showed that infrastructure spending in June rose to P24.4 billion from 15 billion in June 2013.
However, the Budget agency reported that the year-on-year spike in infrastructure disbursements in June was due largely to the release of P4.9 billion for the Aircraft Acquisition Project under the revised AFP Modernization Program of the Armed Forces of the Philippines (AFP).
Key infrastructure projects under the Department of Public Works and Highways (DPWH) also contributed to the increase in infrastructure spending for the month, the DBM said.
In a statement accompanying the data, the agency said the June capital outlay spending was consistent with the government’s goal of pouring more investments into economy-driving sectors.
“The Administration continues to devote more investments toward infrastructure to help drive our growth momentum. At the same time, these infrastructure projects actually open up job opportunities, helping us bring immediate- and long-term benefits to communities around the country,” Budget and Management Secretary Florencio Abad said.
Meanwhile, Abad said that the national government’s budget this year continues to respond to the country’s development requirements.
“Now that we’re in the second semester of the year, it’s even more important to make sure that disbursements proceed at a faster rate.
We plan to work more closely with implementing agencies to ensure that they make the most of the funds released to them, and that the programs and projects supported by their respective budgets are duly implemented,” he said.