Recto: Remitting PHP200B idle GOCC funds to boost economy

Finance Secretary Ralph Recto said on Tuesday that utilizing idle funds from two government-owned corporations (GOCCs) could boost economic growth by creating more jobs.

Recto announced at least PHP200 billion in idle funds are currently with the Philippine Deposit Insurance Corporation and PhilHealth, which will be remitted to the national treasury for health and social services projects.

According to a DOF memorandum circular issued earlier this year, PhilHealth is required to remit PHP89.9 billion of unused government subsidies to fund priority programs and projects.

Recto noted that using these funds could help achieve an economic growth rate of 6 percent or higher and create over 600,000 jobs based on DOF assessments.

The DOF consulted the Governance Commission for GOCCs, Office of the Government Corporate Counsel, and the Commission on Audit to ensure legal compliance in utilizing these funds.

Recto also clarified that only PHP20 billion has been collected from PhilHealth so far, with a schedule set for collecting the remaining amount over the next six months.