Recto: Fund transfer from PhilHealth, GOCCs follows Congress’ order

MANILA, Philippines — Dispelling doubts, Finance Secretary Ralph Recto maintained that the fund transfer from Philippine Health Insurance Corp. (PhilHealth) and other government-owned and controlled corporations is only pursuant to Congress’ order.

Speaking before the Senate panel on health’s Tuesday hearing, Recto said the Department of Finance is only adhering to Congress’ order under the General Appropriations Act of 2024.

“To fund the unprogrammed appropriations, Congress determined that there is another way aside from new taxes as well as debts. At ito ay sa pamamagitan ng pagkolekta sa mga natutulog at hindi nagagamit na pera ng GOCCs na binabayaran pa natin ng interest. Ito po ay mismong nakalagay sa 2024 GAA na aming sinusunod lamang,” said Recto.

(Funding unprogrammed appropriations can be done through collecting unused funds of GOCCs that we are paying interest. This is written in the 2024 GAA that we are just following.)

Apart from this, the finance chief likewise assured Filipinos that the funds transferred would benefit other projects. Some of these include the following:

In the same hearing, Recto emphasized that the benefits and contributions of PhilHealth members will remain untouched.

He also made it clear that projects to be funded by the excess funds will “create more jobs and accelerate the country’s economic growth.”

READ: PhilHealth members’ contribution hikes to 5% this 2024 

In the end, Recto also clarified that this was a decision reached upon consultations with experts.

“Ito ang payong legal na aming sinusunod. At hindi lamang ito legal, ito’y makakatulong sa paglago ng ekonomiya at pagbibigay ng trabaho,” Recto said.

(This was legal advice that we adhered to. Not only is it legal, but it will also help our economy grow.)

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