President Ferdinand Marcos Jr. has postponed signing the General Appropriations Bill (GAB), the 2025 national budget proposal, on Wednesday to allow additional time for its review.

“The scheduled signing of the General Appropriations Act on 20 December will not push through to allow more time for a rigorous and exhaustive review of a measure that will determine the course of the nation for the next year,” Executive Secretary Lucas Bersamin said in a statement.

Marcos, he added, is reviewing the budget proposal and consulting with key department heads.

The GAB became embroiled in issues after lawmakers did not allocate funds for the Philippine Health Insurance Corporation (PhilHealth) and slashed P10 million from the budget of the Department of Education (DepEd).

Senators argued that PhilHealth has P600 billion in reserve funds which is more than enough to fund its services for a year. Marcos earlier shared a similar sentiment.

The budget slashed from the DepEd, however, was intended for the purchase of computers for the public schools.

Marcos said the reduced budget was “contrary” to the government’s objectives and assured stakeholders that efforts would be made to restore the budget to the DepEd.

Meanwhile, amid the budget cuts, the Ayuda para sa Kapos ang Kita Program (AKAP) and Assistance to Individuals in Crisis (AICS) still needed to be funded, which earned the ire of several lawmakers who said the programs were “useful” come election time.

Line items to get veto

Without disclosing specific items, Bersamin confirmed that certain items and provisions in the national budget bill would be vetoed “in the interest of the public welfare.”

“We can confirm that certain items and provisions of the national budget bill will be vetoed in the interest of public welfare, to conform with the fiscal program, and in compliance with laws,” he said.

The new date for the budget signing has not been announced.

Senate respects Marcos decision

Marcos’ decision to postpone the signing of the budget is a sign of a healthy democracy, Senator Grace Poe said.

Poe, chair of the Senate Committee on Finance, emphasized that the Senate supports the checks and balances inherent in the budgetary process.

“The President has the authority to assess the budget and approve or veto the proposed GAA. I believe his economic managers are giving him the best advice possible given the situation,” she told reporters in a text message.

“The GAA is the most important piece of legislation that can determine our economic stability and our GDP growth in 2025,” she added.

Senate President Francis “Chiz” Escudero echoed the same sentiments, stressing that the President has the right to scrutinize his administration’s budget for the coming fiscal year.

“It’s part of the legislative process and the system of checks and balances in our Constitution,” Escudero said in a separate text message to reporters.

“The executive is well within its rights and prerogatives to review, study, and make line-item vetoes — as is usually done every year with the General Appropriations Bill, especially given its length, complexity and detail,” he added.

Last Wednesday, Congress ratified the 2025 GAA, which included the highest allocation for the Department of Public Works and Highways for next year, amounting to P1.113 trillion.

Lawmakers approved the bicameral conference committee report that suggested budget cuts to the Department of Social Welfare and Development and PhilHealth, amounting to P96 billion and P74.4 billion, respectively.

The budget bill also did not provide subsidies for the Philippine Health Insurance Corporation, depriving the state-run health insurer of P74.4 billion in funding for non-paying members.

The budget includes a P26-billion allocation for the controversial Ayuda para sa Kapos ang Kita Program, or AKAP of the Department of Social Welfare and Development, which was earlier defunded by the Senate in its final version of the budget bill.