GOCC subsidies drop 17.8% to P6 B in Aug

MANILA, Philippines — The national government provided P6.09 billion in financial support to government-owned and-controlled corporations in August, 17.79 percent lower than the P7.40 billion in subsidies extended to state firms in the same period in 2016, data from the Bureau of the Treasury (BTr) showed.

On a year-to-date basis, subsidies to GOCCs amounted to P81.17 billion from January to August, 2.41 percent up from P79.26 billion in the same period last year.

The national government provides subsidies to state firms to cover their funds for programs and projects as well as operational expenses.

According to Treasury data, the largest subsidy during the month was received by the National Irrigation Administration (NIA) at P2.82 billion.

The government grants financial support to NIA for the implementation of irrigation projects all over the country as well as its free irrigation program.

NIA was followed by the Philippine Crop Insurance Corp. (PCIC), which received P1.4 billion in subsidies during the month.

The PCIC is an attached agency of the Department of Agriculture mandated to provide insurance protection to farmers against losses from national calamities, pest infestations and plant diseases.