DOLE, DPWH post lowest NCA utilization rates
Several national government agencies had yet to fully utilize their cash allocations as of end-August, with the Department of Labor and Employment (DOLE) and the Department of Public Works and Highways (DPWH) posting the lowest utilization rates among major departments.
As of the end of August, several national government agencies had not fully utilized their allocated funds, with the Department of Labor and Employment (DOLE) and Department of Public Works and Highways (DPWH) showing the lowest utilization rates among major departments. The Department of Budget and Management (DBM) reported an eight percent increase in cash allocation notices (NCAs) to P3.62 trillion, up from P3.36 trillion in the same period last year.
Agencies utilized 92.7 percent of the NCAs, a slight decrease from the 93.8 percent utilization rate in the previous year. Out of the total released funds, P3.36 trillion had been spent, leaving P264.05 billion unspent.
NCAs are disbursal orders issued by the DBM to government banks for the release of funds to agencies, primarily to cover program and project expenses. Line departments, which include the main departments directly under the Cabinet, received the largest share of NCA releases, totaling P2.47 trillion. The remaining P1.15 trillion was allocated to other agencies, such as state-run firms and local governments.
Department utilization rates varied, with the DPWH, currently facing a flood-control scandal, posting one of the weakest rates at 78.4 percent. This was lower than the 94.3 percent rate recorded a year earlier, as the public works agency utilized only P324.23 billion of its P413.69 billion cash allocation. DOLE's utilization rate stood at 71.6 percent, with P31.44 billion spent from its P43.9 billion allocation, leaving P12.46 billion unspent.
The Office of the President had the lowest utilization rate at 68.4 percent, using P8.37 billion from its P12.23 billion in NCAs. Meanwhile, the Department of Education, which received the largest share of NCA releases at P569.2 billion, recorded a 93.2-percent utilization rate, spending P530.71 billion and leaving P38.49 billion unspent.
Other departments, such as the Office of the President, Department of Foreign Affairs, Department of Energy, Department of National Defense, Department of the Interior and Local Government, and Department of Social Welfare and Development, all posted utilization rates above 90 percent. None of the line departments achieved a full 100 percent utilization rate during the period.
Combined budgetary support to government-owned and controlled corporations and allocations to government units had a high utilization rate of 99.4 percent.
Written by urgent.news from Philippine Star Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
