The Department of Budget and Management (DBM) has allocated P21.7 billion for the first tranche of base pay increases for military and uniformed personnel (MUP), which took effect on 1 January 2026.

In a press briefing in Malacañang on Wednesday, DBM Acting Secretary Rolando Toledo said the allocation covers the initial phase of the base pay adjustment approved under Executive Order No. 107, signed by President Ferdinand R. Marcos Jr. on 3 December 2025.

The pay adjustment applies to military personnel under the Department of National Defense and uniformed personnel under the Department of the Interior and Local Government, Philippine Coast Guard, Bureau of Corrections, and the National Mapping and Resource Information Authority.

The base pay increase will be implemented in three tranches, with the first effective 1 January 2026, the second on 1 January 2027, and the third on 1 January 2028.

Of the P21.7 billion allocated for the first tranche, P15.4 billion is for active-duty personnel, while P6.3 billion is for pension obligations.

The DBM also said P71.1 billion has been allocated for the increase in subsistence allowance to P350 per day, effective January 1, 2026.

In addition, the agency allotted P4.06 billion for the creation of 10,077 new military and uniformed personnel positions this year.

Toledo said funds for salaries, allowances, and pension benefits have already been transferred to the concerned agencies to ensure timely payment and implementation.