Malacañang and local government units (LGUs) have strengthened their partnership to accelerate grassroots development, with 29 provincial governors meeting Palace officials to finalize the rollout of the P82.3-billion fund for local projects this year.

The governors, joined by 16 city and municipal mayors and seven representatives of other provincial executives, gathered at Malacañang Palace on 19 February for a high-level discussion on implementing the Local Government Support Fund (LGSF).

The meeting was led by Executive Secretary Ralph Recto, who underscored the administration’s commitment to empowering LGUs to directly carry out priority programs under the 2026 national budget.

Of the P82.3 billion earmarked for grassroots initiatives, P57.88 billion has been allocated to the LGSF under the 2026 General Appropriations Act. The fund will finance projects identified and implemented by LGUs based on a menu of programs that include food security, health, education, infrastructure, and livelihood development.

Funding for the LGSF was increased by P37.4 billion following instructions from Ferdinand R. Marcos Jr. to expand the role of LGUs in project implementation. 

The President has emphasized that bringing development programs closer to communities would help ensure faster and more efficient delivery of services.

Recto noted that while the LGSF allocation is substantial, it represents only a portion of the P1.393 trillion national tax share allocated to provinces, cities, municipalities, and barangays for 2026.

“In ordering a hike in the LGSF allocation, President Marcos believes that LGUs have the capacity, experience, and means to implement national projects,” Recto said.

He added that the President has consistently maintained that LGUs should not merely receive national projects but actively take part in implementing them.

“The President has repeatedly said that LGUs should not be passive recipients of national projects but must be active implementors of the same,” Recto said.