MANILA, Philippines — Reports of a P3-billion surplus in the Pasig city government’s budget are inaccurate, Mayor Vico Sotto said, stressing that excess funding should not be treated as an achievement.
He said the government should not hoard funds, but instead release the amount for programs that benefit the people and boost the economy.
“Government ‘surplus’ or savings is not an accomplishment. The government should not stockpile money. It should be spent to help people and to grow the economy,” Sotto posted on Facebook over the weekend.
The city government, he explained, recorded more savings due to reforms aimed at fighting corruption, particularly in the procurement process.
With open biddings and the removal of kickbacks, Sotto said projects that used to cost P100 million can now be completed for P80 million or less.
The city government is catching up with its “absorptive capacity” or ability to efficiently utilize its budget, which doubled from P10 billion in 2019 to P20 billion this year, he said.
Expenditures have nearly doubled from about P9 billion to P16 billion, Sotto said.
He cited long-term reforms in planning, procurement and project implementation, which ensured that public funds are used properly.
No debt has been inherited from the previous administration in 2019, Sotto said.
However, he said the reported P15-billion cash-in-bank left by the past administration was “misleading” as it consisted of continuing appropriations, accounts payable and savings from unfilled plantilla positions.
“Credit where credit is due,” he said.