Congress OKs P37.49 billion budget for LGU financial aid

A bicameral panel approved a P37.49 billion budget for financial assistance to local government units (LGUs) through the Local Government Support Fund (LGSF).

This amount is significantly higher than the P9.1 billion proposed by the House of Representatives and the P5 billion in the 2026 National Expenditure Program (NEP).

The approved budget also exceeds the P16.72 billion allocated by the Senate.

Senate Finance Committee Chair Sherwin Gatchalian stated that the increased allocation was made possible by budget cuts from other government agencies with low utilization rates or redundant programs.

Bataan 2nd District Rep. Albert Garcia highlighted that the additional funding will be beneficial for the country's numerous LGUs, emphasizing their role as frontliners in public service.

Under LGSF guidelines, the financial assistance can only be used for specific projects, equipment procurement, and aid for indigent individuals and families.