The House of Representatives has begun plenary debates  last week on the proposed P3.002-trillion national budget for 2016, of which almost three-fourths or P2.139 trillion consists of new appropriations.

Of the proposed P2.139 trillion of new general appropriations, P2.071 trillion are programmed funds while P67.5 billion are unprogrammed, which may only be utilized if revenues exceed targets or new loans are secured.

Automatic appropriations under the proposed budget amount to P930.7 billion.

Provisions of House Bill 6132, or the General Appropriations Bill for 2016, was examined for almost two months by congressional representatives at the House Committee on Appropriations.

The proposed 2016 budget is 15.2 percent or P396 billion more than the 2015 expenditure program. It corresponds to 19.5 percent of the Gross Domestic Product (GDP).

Government forecasts of economic growth remaining  stable at  7 to 8 percent next year, inflation at 2 to 4 percent, and the exchange rate at P43 to P46 per dollar were among the key factors in drawing up the 2016 budget.

The  funding sources for government operations and programs include: government revenues in the amount of P2.697 trillion to be collected in 2016. Of this, P2.543 trillion or 94.3 percent will be sourced from tax revenues. The remainder will come from non-tax revenues at P151.4 billion and privatization proceeds at P2 billion; collections of the Bureau of the Treasury (BTr) at P58.3 billion, fees and charges at P40 billion, the sale of government assets at P2 billion, and other non-tax revenues at P53.2 billion; borrowings of P674.8 billion in 2016, of which P308.7 billion will be used to finance the projected fiscal deficit, P347.7 billion to amortize maturing obligations, and P18.4 billion for the national government's cash buffer account.

Based on allocation by department, the biggest budgets will go to the  Department of Education, P377.7 billion; Department of Public Works and Highways, P304.1 billion; Department of National Defense,  P154.1 billion; and the Department of the Interior and Local Government, P147.2 billion.

The  Department of Health will get  P102.6 billion; Department of Social Welfare and Development, P108.3 billion; Department of Agriculture, P90.2 billion; Department of Transportation and Communications, P59.4 billion; Department of Finance, P16.9 billion; Department of Environment and Natural Resources, P21.7 billion; and Department of Science and Technology, P18 billion.

Based on sector allocation, social services will get the biggest share of the budget pie at  P1.1059 trillion, which represents 36.8 percent of the proposed budget. It covers education, healthcare, housing and social welfare and employment.

Economic services will get second largest budget allocation with P829.6 billion, which is 27.64 percent of the proposed budget. These include transport and communications infrastructure.

General Public Services will get P517.9 billion, debt burden P419.3 billion, and interest payment P392.8 billion.