The National Economic and Development Authority (NEDA) yesterday said the government slashed its target for the Pambansang Pabahay Para sa Pilipino (4PH) program because of the fiscal implication of the subsidies to be provided to the program.
NEDA Secretary Arsenio Basilacan said the 4PH target has been slashed by half to reduce the subsidy that the government provides for the program and ensure that other public social services do not suffer.
Instead of 6 million units 4PH now aims for 3 million units by the end of the Marcos administration.
Balisacan, in a briefing after the sectoral meeting in Malacanang, said the decision to slash the target was not because the government cannot do it but because of “the implications… on the economy particularly on the fiscal issues.”
“It can impact the other sectors because the program requires subsidizing the beneficiaries, the low- income households. It involves giving interest subsidy to the loan and that’s borne by (the) government. As we put in more money there, we would have less resources for education, for health, for infrastructures… We have to balance to ensure that the economy is not affected adversely,” he added.
Secretary Jesus Acuzar of the Department of Human Settlements and Urban Development (DHSUD) on Monday said the agency is seeking P36 billion annually for 4PH, including the cost of the subsidies. Instead of 6 percent, 4PH beneficiaries will only pay 1 percent interest on the housing loan with the 5 percent to be shouldered by the government.
Balisacan added the sustained construction of the low cost houses would help contribute to providing employment to Filipinos.
Acuzar said 4PH has 40 ongoing projects across the country with 140,000 units being constructed. Another 1.2 million units are in the pipeline and are being negotiated with local government units which will host the housing projects.
