Marcos Administration Allocates ₱21.47 Billion to Offset Fuel Costs and Sustain Infrastructure
President Ferdinand Marcos Jr. Has ordered the release of ₱21.47 billion (approximately $370 million USD) to mitigate the impact of rising fuel costs and maintain the momentum of key infrastructure projects across the Philippines. The move comes as escalating tensions in the Middle East contribute to global oil price volatility.
Fuel Subsidies for Public Transport
A significant portion of the allocated funds, ₱2.49 billion (approximately $43 million USD), is earmarked for the Department of Transportation’s (DOTr) Fuel Subsidy Program. This program aims to provide direct financial assistance to public utility vehicle (PUV) drivers and operators struggling with increased pump prices. By subsidizing fuel costs, the administration hopes to prevent surges in public transport fares, thereby protecting commuters and curbing inflationary pressures.
Infrastructure Development Continues
The bulk of the funding, ₱18.65 billion (approximately $323 million USD), will be channeled to the Department of Public Works and Highways (DPWH) to sustain ongoing infrastructure projects nationwide. This allocation is intended to ensure continued employment, improve road safety, and support overall economic activity. An additional ₱324.36 million (approximately $5.6 million USD) has been released to the DPWH to settle outstanding obligations for foreign-assisted infrastructure projects, facilitating their timely completion.
Government Response to Global Economic Headwinds
Budget Secretary Rolando Toledo emphasized the government’s commitment to shielding Filipinos from external economic shocks. “Every peso we release is meant to ease a burden, sustain a livelihood, or keep a service running for our people—especially at a time when global events beyond our control are affecting daily life here at home,” Toledo stated in a statement. He further highlighted the importance of supporting drivers, protecting commuters, and ensuring that the burden of global price hikes does not disproportionately fall on the transport sector.
Addressing Middle East Conflict Impact
The release of these funds is a direct response to the potential economic fallout from the ongoing conflict in the Middle East, which threatens to disrupt global oil supplies. As a net oil importer, the Philippines is particularly vulnerable to fluctuations in international oil prices. The Marcos administration views this intervention as crucial to protecting livelihoods and maintaining economic stability in the face of these external challenges as reported by The Manila Times.