DBM pledges to follow Supreme Court order on 2026 budget unprogrammed funds

The Department of Budget and Management issued a statement confirming its intention to adhere to the Supreme Court’s directives on unprogrammed appropriations in the 2026 national budget, while still executing provisions of the General Appropriations Act that were not struck down. It clarified that disbursements already made from the unprogrammed funds were exclusively for foreign-assisted projects, which are subject to a distinct funding framework untouched by the court’s decision.

The Supreme Court had previously ruled the unprogrammed-fund clauses in the 2024, 2025 and 2026 budgets unconstitutional, citing budget increases approved by Congress. The Malacañang Palace, via Undersecretary Claire Castro, expressed respectful disagreement and indicated a motion for reconsideration will be filed. The Office of the Solicitor General acknowledged receipt of the ruling, respected it, but intends to contest the portions that limit budgetary discretion. The DBM said it will coordinate with the OSG and other agencies to evaluate the legal, fiscal, technical and operational impacts and to protect fiscal stability while ensuring delivery of mandated services.