Metro Manila, Philippines – The Middle East crisis is costing the government around ₱70 billion to ₱85 billion per month, Senator Sherwin Gatchalian said, warning that the available crisis response fund may only last for two more months.
“In 45 days, we have already spent ₱70 billion… Actually we already spent ₱85 billion if you look at the NCA [notice of cash allocation],” Gatchalian, chairman of the Senate PROTECT or Proactive Response and Oversight for Timely and Effective Crisis Strategy committee, said in a hearing on Monday, April 13.
“I think it’s safe to say the cost of the war to the Philippines is about ₱70 billion to ₱85 billion a month,” he added.
Department of Economy, Planning, and Development (DEPDev) Secretary Arsenio Balisacan agreed that the estimate is a reasonable ballpark figure, noting that while it reflects the fiscal cost, the broader economic impact could be significantly higher.
Gatchalian said that at this rate, the government’s ₱238 billion for crisis response would last only about three and a half months — with roughly two months remaining after the spending incurred over the past 45 days.
“Dalawang buwan na lang mauubos na natin itong ₱238 billion [We only have about two months left before the ₱238 billion is exhausted],” Gatchalian said.
“If this conflict gets prolonged, o humaba pa siya ng two months, mauubos natin itong ₱238 billion. Then we will have a big problem because we will now have to discontinue projects… We will now need… supplemental budget,” he added.
[Translation: If this conflict is prolonged by another two months, we will deplete the ₱238 billion. That would create a serious problem because we may have to discontinue some projects… and we would need a supplemental budget.]
Budget Secretary Rolando Toledo, meanwhile, said the government has identified ₱12 billion to ₱25 billion in non-essential expenses that could be realigned for crisis response as part of efficiency measures.
Senator Risa Hontiveros earlier filed a bill seeking a ₱52.8 billion supplemental budget, while Senator Loren Legarda proposed the Bayanihan 3: Power to the People Act, which includes various measures aimed at addressing the crisis amid the state of national energy emergency.
