Malacañang on Monday announced that it has received the P7.2 trillion National Expenditure Program for fiscal year 2027 from the Department of Budget and Management.

Acting Budget Secretary Kim De Leon personally delivered the proposed spending plan to President Ferdinand Marcos Jr. ahead of its formal submission to Congress on Tuesday, 11 August.

“The budget focuses on education, health, livelihood, security and strengthening communities under the theme ‘People-Centered Growth for an Inclusive and Resilient Future.’ It aims to make every peso of public funds more useful through better services and more opportunities for Filipinos,” Palace Press Officer and Presidential Communications Office Undersecretary Claire Castro said.

Castro said the NEP’s submission to Congress will mark the next step in the national budget process.

Under Section 22 of the Constitution, the President is required to submit the proposed national budget to Congress within 30 days from the opening of the regular legislative session.

The Development Budget Coordination Committee earlier said the proposed P7.2 trillion budget is equivalent to 21.7 percent of the country’s gross domestic product.

The proposal is six percent higher than the P6.793 trillion national budget for 2026.

According to National Budget Memorandum No. 158, the proposed spending plan will prioritize programs aimed at creating opportunities, addressing the needs of Filipinos and building a more resilient future.

The DBM’s 2027 Budget Priorities Framework identifies human capital development, food security, infrastructure, climate and disaster resilience, and digital transformation as key areas for public investment.

De Leon earlier acknowledged that the government faces limited fiscal space due to automatic appropriations, including the National Tax Allotment for local governments and interest payments, as well as funding requirements arising from newly enacted laws and other mandatory expenditures.

“In crafting the proposed FY 2027 budget, the government is confronted with a very narrow fiscal space,” De Leon said.