The Department of Budget and Management (DBM) has called on government agencies to intensify their budget disbursement and spending efforts amid the 90 percent utilization rate among agencies from January to April 2023.
According to the status of notice of cash allocation (NCA) utilization posted on the DBM website, the utilization rate in the first four months of 2023 was slightly slower than the 92 percent posted in the same period in 2022.
The NCA utilization rate four months into the year corresponds to P1.18 trillion in NCAs utilized.
The unutilized NCAs for the period totaled to P128.07 billion.
“We all know that our national budget is the lifeblood of all government programs and projects. The faster we disburse and utilize our funds, the faster we can procure and implement our projects,” Budget Secretary Amenah Pangandaman said.
“That’s why we want to remind our agencies to avoid underspending, given our very limited fiscal space. Again, we need to instill discipline in our national government agencies or we shall put the money to agencies which can really implement them. We have to remember, as early as the start of the year, we have emphasized that only implementation-ready proposals will be included in the 2024 Budget,” Pangandaman added.
NCAs are documents issued by the DBM to authorize cash allocation to agencies and operating units through government servicing banks.
These funds are essential for the implementation of various programs and projects.
As of April 30, the DBM has already released P2.982 trillion or 94.8 percent of the total agency-specific budget to various national government agencies.
The DBM has disbursed a total of P4.518 trillion, equivalent to 85.8 percent of the P5.268 trillion national budget allocated as of the same date. – Angela Celis
