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Jean Mangaluz - Philstar.com

January 5, 2026 | 10:23am

President Ferdinand Marcos Jr. signs the national budget for 2026 on January 5, 2026 at Malacañan Palace.

RTV Malacañang

MANILA, Philippines — Following the largest corruption scandal his administration has seen, President Ferdinand Marcos Jr. signed the 2026 General Appropriations Act (GAA) on Monday, January 5. 

The 2026 budget is preceded by what some have called one of the most corrupted GAAs the country has seen, containing billions of alleged pork and massive cuts to welfare programs. 

The budget scandal was exacerbated when a massive flood control kickback scheme was revealed at the Department of Public Works and Highways (DPWH). 

Billions of pesos are suspected of being stolen from the national coffers by legislators, officials and government contractors. 

The Philippine economy has taken a hit from the massive corruption scandal, with the national gross domestic product quickly declining. 

The DPWH scandal prompted several transparency measures, including the first ever livestreaming of the bicameral conference committee deliberations between the House and the Senate. 

The deliberations reached a deadlock over the DPWH budget, delaying the Congressional ratification of the budget.  

With the executive branch receiving the ratified budget a few days before 2025 ended, the government had to function on a reenacted budget for five days before the 2026 budget was signed. 

Despite these measures from Congress, budget watchdogs have warned of alleged pork barrel in the budget, urging Marcos to veto controversial items that could be used for corruption. 

"The Executive received the enrolled bill on December 29, 2025 and conducted a thorough and careful review of the proposed budget to ensure consistency with the administration's priorities and taking into consideration valuable recommendations from stakeholders," said Budget Secretary Rolando Toledo.

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