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INFRASPEND DOWN 45% IN 4 MOS, SPARKS ALARM www.businessmirror.com.ph
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Monday, June 22, 2026 Vol. 21 No. 251
P25.00 nationwide | 2 sections 18 pages | 7 DAYS A WEEK
By Reine Juvierre S. Alberto @reine_alberto
HE persistent slump in government infrastructure spending has reached a point that can no longer be ignored after disbursements plunged by 45 percent in the first four months of the year. Infrastructure and other capital outlays fell 45.6 percent to P189.3 billion in the JanuaryApril period from P347.6 billion in the comparable period a year ago, data from the Department of Budget and Management (DBM) showed. The department attributed the decline to longer turnaround times for processing payments due to review procedures. It also said progress billings remained
limited as many projects were nearing completion. “It is becoming concerning,” John Paolo R. Rivera, senior research fellow at the state-run think tank Philippine Institute for Development Studies, told the BusinessMirror. Infrastructure spending is a “key driver” of economic growth, Rivera stressed, because it creates jobs, stimulates private investment and See “Infraspend,” A2
MAY BOP SWINGS TO SURPLUS ON REMITTANCES, BPO TAKE By Andrea E. San Juan
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@andreasanjuan
HE continued growth in the money sent home by overseas Filipinos and BPO revenues, among others, prompted more money to flow into the country in May 2026, after a shortfall for six straight months. Data from the Bangko Sentral ng Pilipinas (BSP) showed the country’s balance of payments, which captures the transactions of the country with the rest of the world, swung to a $131-mil-
lion surplus in May 2026 after being in deficit for six months. The country’s BOP posted a surplus of $131 million in May 2026, a reversal from the $298 million deficit in May 2025. A month earlier or in April 2026, the country’s balance of payments registered a deficit of $2.124 billion. The last time the country’s BOP posted a surplus was in October 2025, when the BOP was at a $706 million surplus. Michael L. Ricafort, chief economist at Rizal Commercial See “BOP,” A2
P20 RICE PROGRAM BOOSTED BY AGING STOCKS Consumers line up to buy National Food Authority (NFA) rice priced at P20 per kilo at the Las Piñas Public Market over the weekend. The
NFA said it will sell about P1.9 billion worth of aging rice stocks—equivalent to 741,570 bags of locally milled rice stored for more than six months—to free up warehouse space, improve cash flow, and make room for fresh palay procurement. NONIE REYES
Glut propels tobacco beyond 50-M K By Ada Pelonia
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@adapelonia
HE supply glut of Virginia tobacco catapulted overall tobacco output beyond the 50-million-kilo mark in 2025, according to the National Tobacco Administration (NTA). NTA Deputy Administrator Nestor Casela said tobacco production last year grew by 13.7 percent to 51.61 million kilos across all types from 45.4 million kilos recorded in 2024. The production of Virginia tobacco held the lion’s share of the total tobacco output at nearly 21 million
kilos in 2025, from 16.8 million kilos in the previous year. Native and burley tobacco output also posted year-on-year growth to 21.81 million kilos and 8.86 million kilos, respectively. For 2026, Casela expects tobacco output to remain flat at 51 million kilos, with overproduction of Virginia type expected to persist for up to 3 years along with steady demand for the remaining types of tobacco. “We anticipate that based on projections and market sensing, the proliferation of the incidents of overproduction [for Virginia type] See “Glut,” A2
A TOBACCO farmer in Ilocos Sur is seen in this photo collecting crabgrass. BUSINESSMIRROR FILE PHOTO
PESO EXCHANGE RATES n US 60.5360 n JAPAN 0.3753 n UK 80.0104 n HK 7.7243 n CHINA 8.9510 n SINGAPORE 46.9344 n AUSTRALIA 42.4600 n EU 69.3985 n KOREA 0.0393 n SAUDI ARABIA 16.1292 Source: BSP (June 19, 2026)