04 Feb 2026

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Marcos Government Allocates P113 Billion for PhilHealth in 2026 Budget

Paolo Benitez

24 Jan, 2026

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The Marcos government has set aside P113 billion for the Philippine Health Insurance Corporation (PhilHealth) in the proposed 2026 national budget, which includes the P60 billion ordered returned by the Supreme Court.

Former Finance Secretary and current Executive Secretary Ralph Recto described the allocation as the "boldest" and "most decisive" investment in universal healthcare. He stated, "The final amount – P53.13 billion originally proposed plus the fully restored P60 billion – fulfilled President Ferdinand Marcos Jr.'s clear directive issued last September to return the withheld funding to PhilHealth."

Recto emphasized that the government is not just keeping its promise but exceeding it through this significant investment. "This administration promised to protect underprivileged Filipinos through better healthcare. With the P113-billion allocation, we are not just keeping that promise, we are exceeding it."

He further called it "the largest single-year investment for the poor under universal healthcare," highlighting that the funds will support healthcare needs for indigent families, senior citizens, people with disabilities, and other vulnerable sectors.

The budget department has committed to releasing the funds on time and with transparency. A significant portion of the subsidy will come from sin taxes — revenues collected from alcohol and tobacco products — that will be redirected to life-saving healthcare services.

Recto added, "A significant portion of the subsidy will be sourced from sin tax revenues, funds collected from alcohol and tobacco products which are channeled back into life-saving healthcare services."

Earlier, President Ferdinand Marcos Jr. ordered the return of P60 billion in "excess" PhilHealth funds after they were moved to the National Treasury. The Supreme Court nullified this fund transfer citing "grave abuse of discretion," blocking a remainder of P29.9 billion and ordering the government to return the funds taken from PhilHealth.

This robust budget allocation marks a commitment to strengthening the country's universal healthcare system and supporting vulnerable populations nationwide. 💙