Recto assures senators GOCC funds won't be diverted from PhilHealth

Finance Secretary Ralph Recto assured senators on Tuesday that the government will not divert unutilized funds from GOCCs, including PhilHealth contributions.

Recto clarified during a Senate Committee on Health and Demography inquiry that this move is legal under the General Appropriations Act (GAA) of 2024 and is in compliance with Congress' directive.

He explained that collecting idle GOCC funds to pay interest is part of the GAA and will not affect PhilHealth's PHP500-billion benefit chest fund or its ability to cover members' claims.

Recto assured senators that PhilHealth has sufficient funds for member benefits, with plans to increase packages next year based on current policy, and emphasized that projects funded by these excess funds will 'create more jobs and accelerate the country's economic growth'.

Senator Christopher Lawrence Go urged PhilHealth CEO Emmanuel Ledesma Jr. to utilize the benefit chest fund quickly to reduce contributions and enhance benefits.

Senator JV Ejercito called for an investigation into reports of transferring unused PhilHealth funds to the national treasury due to concerns about potential impacts on indigent patients.