BTr’s May data: State firms’ subsidies decline

The national government’s subsidies to government-owned and controlled corporations (GOCCs) declined by 18.6 percent to P7.9 billion in May, compared to the P9.7 billion recorded in the same month of 2024.

Data from the Bureau of the Treasury showed that the bulk of GOCC subsidies, amounting to P3.5 billion, was directed to the National Irrigation Administration (NIA). The amount, however, was lower than the P3.8 billion posted in April.

The National Electrification Administration (NEA) received the second-largest subsidy, worth P1.3 billion, after the national government’s non-allocation to the government agency in April.

Meanwhile, the National Food Authority (NFA) received P750 million, making it the third-largest recipient of government subsidies in May. The exact amount was given to the NFA in April.

In the first five months, NIA secured the most significant subsidies, amounting to P15.3 billion, compared to the other 36 GOCCs.

NIA registered mostly rising subsidies after the government started implementing the Rice for All and BBM Rice programs in September 2024.

Inputs plus cash to farmers

Under these programs, NIA provides P50,000 worth of farm inputs and cash to Irrigators Associations across the country in providing income to farmers while keeping rice prices affordable to the poorest sectors under the Pantawid Pamilyang Pilipino Program.

The irrigation agency supports farmers planting rice on 1,290 hectares of agricultural land.

Meanwhile, NEA, which provides financial aid to electric cooperatives for rural electrification, targets to distribute 50,000 to 60,000 solar home systems in far-flung communities this year. As of July, NEA already installed 26,292 of these systems.

It also plans to electrify more schools this year through 295 projects.

Meanwhile, NFA Administrator Larry Lacson said rice stocks already climbed to 437,000 metric tons as of June 2025.

NFA also purchases rice from farmer groups to build up stocks for distribution to the public in case of emergencies and to replace aging stocks.

Cumulatively, the national government reduced the total GOCC subsidies by 21 percent to P45.05 billion from P57.05 billion last year.

The new figures came amid the Department of Budget and Management’s reminders to all government agencies to increase their fund utilization rates in accelerating public service. As of end-May 2025, GOCCs achieved a 96 percent utilization rate.