NDRRMF gets P10 billion augmentation fund for typhoon victims

MANILA, Philippines — The Department of Budget and Management (DBM) has infused an additional P10 billion into the government’s disaster response fund, bringing the available funds for typhoon victims to over P11 billion.

In a text message, Budget Secretary Wendel Avisado reiterated that the government has enough funds for disaster response after his department augmented the National Disaster Risk Reduction and Management Fund (NDRRMF) with another P10 billion.

This is on top of the P5-billion replenishment received by the NDRRMF following the onslaught of Super Typhoon Rolly earlier this month.

“We just augmented the NDRRM Fund with P10 billion. Plus the previous augmentation of P5 billion, we have now augmented out NDRRM Fund for 2020 by a total of P15 billion, from the original approved budget of P16 billion or an overall total of P31 billion,” Avisado said.

He said the augmentation was made in compliance with the directive of President Duterte to provide additional funds to local government units badly hit by Typhoons Rolly, Quinta and Ulysses.

During a situation briefing on the effects of Ulysses on Sunday, Budget Assistant Secretary Kim Robert de Leon told the President that the DBM’s augmentation brought the total available NDRRM Fund to P11.774 billion.

For his part, Finance Secretary Carlos Dominguez III said the government would assess the extent of damage caused by the recent typhoons to determine if a supplemental budget or a third Bayanihan package would be needed.

Cash available

Meanwhile, Senate President Pro Tempore Ralph Recto said the government has at least P1 trillion in cash it can use to fund the purchase of coronavirus vaccines, boost calamity funds and finance programs that can strengthen the economy.

Recto disclosed the availability of cash in the government coffers at the plenary deliberations on the proposed P4.5-trillion national budget where he also hit the Department of Finance for its lack of transparency on public finances.

He said the government has been borrowing in excess of what is programmed in the General Appropriations Act, the proceeds of which apparently remain in the hands of the National Treasury.

Sen. Sonny Angara, who is defending the proposed budget as chairman of the Senate finance committee with the help of economic managers attending the deliberations in plenary and via video conference, said this year the excess borrowing was at P513 billion.

Angara said in 2019, the excess borrowing was at around P316 billion, and in 2018 it was slightly lower.

“If I add those three, we should have a trillion pesos in cash in excess of programmed spending. So we are borrowing more than the deficit, we’re building up cash and I’m not against that,” Recto said after prodding economic managers for answers.

“The reason why I brought that out is to make a point that you do have the cash. Cash is not the problem, the problem is spending is slow, especially now with all the calamities,” he said.

Angara said the government is expected to borrow around P3 trillion next year to augment the projected revenues of over P2 trillion.

In a separate interview, Recto said the cash is “net” or available as the programmed borrowings already covered the shortfall in the budget.

Even if a portion was spent – of which a public accounting must be made – there should still be enough to help fund emergency expenses, like the rehabilitation of areas hit by recent typhoons, he said. – Paolo Romero