ILOILO – The Iloilo provincial government is seeking a nearly P1-billion increase in its annual budget for 2027, proposing a record P7.86-billion spending program that prioritizes infrastructure development, district hospital operations and essential public services.
The proposed P7,860,387,336 budget represents an increase of approximately P980 million from the province’s P6.88-billion budget for 2026, reflecting an expansion in government spending supported by rising National Tax Allotment (NTA) revenues.
Gov. Arthur Defensor Jr. submitted the proposed budget to the 15th Sangguniang Panlalawigan (SP) on September 30, seeking legislative approval for the province’s financial program for the coming fiscal year.
Of the total proposed allocation, P6,101,660,416 will go to the General Fund, while P1,758,726,920 has been earmarked for Local Economic Enterprises (LEE), which include the province’s district hospitals.
The General Fund allocation is approximately P571 million higher than the P5.53 billion approved for 2026, while funding for local economic enterprises will increase by about P409 million from P1.35 billion.
Defensor said the Provincial Engineering Office will receive the largest share of departmental funding because of its responsibility for implementing infrastructure projects, including the construction and improvement of roads, schools and other public facilities.
The governor also emphasized that the proposed spending program contains no confidential funds, although approximately P20 million has been allocated for peace and order initiatives, including assistance to the Philippine National Police (PNP).
“Confidential fund? No, but we have a peace and order fund nga pareho man ina sia galing ang peace and order fund, indi sia confidential fund. Ginabulig na naton sa Philippine National Police,” Defensor said.
The governor’s clarification distinguishes the province’s regular peace and order allocation from confidential funds, which are subject to different government accounting and auditing requirements.
Meanwhile, the SP Committee on Appropriations, chaired by Provincial Board member Dominic Paul Oso, has begun deliberations on the proposed budget.
The committee hearings will examine the provincial government’s spending priorities, proposed appropriations and other financial requirements before the budget is submitted for legislative approval.
Under the proposed General Fund, P1,314,178,433 has been allocated for Personnel Services, P2,292,176,853 for Maintenance and Other Operating Expenses, and P160,820,000 for Capital Outlay.
The proposed special-purpose appropriations include P1,165,850,000 for the 20-percent NTA Development Fund, which supports development projects, and P305,083,021 for the five-percent Provincial Disaster Risk Reduction and Management Fund (PDRRMF).
Other allocations include P4 million in aid to barangays, P33,354,189 in assistance to the Commission on Elections (Comelec), P33,354,189 for terminal leave payments, and P824,476,920 in advances to local economic enterprises for 2027.
The substantial development fund allocation underscores the provincial government’s emphasis on infrastructure and other capital-intensive programs, while the disaster management allocation provides resources for preparedness, response and other disaster-related activities.
Defensor attributed the continued expansion of the provincial budget to the annual increase in Iloilo’s share of the NTA, which provides local governments with a major source of revenue to finance their programs and operations.
The proposed 2027 budget is significantly higher than the approved 2026 spending program of approximately P6.88 billion, consisting of P5,530,518,632 for the General Fund and P1,349,611,359 for local economic enterprises.
With deliberations underway, the provincial board will scrutinize the proposed appropriations to determine whether the spending priorities adequately address Iloilo’s infrastructure, healthcare, disaster preparedness and other public service requirements./PN
