Creating Fiscal Space for PPP

Projects

Secretary Florencio B. Abad

Department of Budget and Management
November 18, 2010
The Manila Marriott Hotel, Pasay City, Philippines
• Back to Basics: Ensuring that the ICC Works
– Assessing merit, business case and contingent
liabilities of proposed projects under solicited mode;
– Monitoring and disclosing status of implementation
and contingent liabilities while project is being
implemented;
– Taking action where necessary to reduce likelihood or
costs of the contingent liabilities becoming real; and
– When necessary, budgeting for and paying for
contingent liabilities that have been realized.
• Establish predictable and sustainable budgeting
and payment system for PPPs
• Enhancing the overall climate for investments:
– Ensuring a sound and stable macroeconomic
environment; and
– Establishing a climate of transparency and
accountability and good governance to ensure a level
playing field.
Provisions for PPPs in the 2011 Budget
(In million pesos)
2011 2010
PROGRAM/PROJECT IAs Outputs/Outcome GAA 2011
Project Preparation Support DOTC Feasibility studies for PPP - 100
NEDA PPP Center 300
DPWH Feasibility studies for PPP - 500

ROW Support to PPP DPWH ROW NLEX Phase I 357 820

ROW NLEX Phase II 781 500
ROW SLEX 250 523

PPP Strategic Support Projects DA Projects eligible for PPP - 2,500

DPWH subject to NEDA-ICC - 5,000
DOTC evaluation - 5,000
TOTAL 1,688 14,943
Transparency and Accountability
in Government Operations
– Posting in the Official Website of
Departments/Agencies of the following:
1. Approved Budgets
2. Performance Measures and Targets
3. Annual Procurement Plan
4. Contracts Awarded
5. Name of Contractors/Suppliers/Consultants
6. Targeted and Actual Beneficiaries
7. Utilization of Funds
8. Status of Implementation
9. Program/Project Evaluation/Assessment Reports
Quarterly Fiscal Deficit, 2009-
2009-2010,
Program vs. Actual
-

(20,000)

(40,000)

(60,000)
Program

(80,000) Actual

(100,000)

(120,000)

(140,000)

(160,000)
Q1 Q2 Q3 Q4 Q1 Q2 Q3
Medium-Term Fiscal Path 2010-2016
(as of July 9, 2010)
Revenues Disbursements Deficit
25.0
20.8 21.6
19.5 20.0
20.0 18.8 18.9 19.1
Percent of GDP

18.8 19.6
15.0 18.0
15.6 16.3 17.1
15.6
10.0

5.0 3.9
3.2 2.6 2.0 2.0 2.0
2.0
0.0
2010 2011 2012 2013 2014 2015 2016
Fiscal Position

Particulars 2010 2011 2012 2013 2014 2015 2016

Revenues (000'000) 1,294,412 1,410,000 1,560,716 1,767,090 2,008,614 2,293,508 2,615,722
Expenditures (000'000) 1,619,437 1,700,000 1,808,991 1,973,455 2,232,405 2,537,381 2,882,502
7
Surplus/(Deficit) (000'000) (325,025) (290,000) (248,275) (206,365) (223,791) (243,873) (266,780)
Fiscal Space, FY 2011-2013
In million pesos
2,000,000

1,950,000
113, 260
1,900,000

1,850,000
49,626
in million pesos

1,800,000

1,750,000

1,700,000
12, 761
1,650,000

1,600,000

1,550,000

1,500,000

1,450,000
2011 2012 2013
Year
Obligations FEs
OPEN FOR BUSINESS