GOVERNMENT AGENCIES can spend 98% of their budgets and still fail to deliver meaningful results, Acting Budget Secretary Kim Robert C. De Leon said.
Mr. De Leon said spending must be assessed alongside actual accomplishments, rather than treating high budget utilization rates as a measure of strong government performance.
“I would not want to be gauged on the percentage of the budget being utilized. We’re looking at the quality of spending. You may be spending less but producing more in terms of output and even outcome,” he added.
He said that while budget utilization rates remain an important indicator, the overall assessment of government agencies must also consider whether programs and projects achieve their targets and deliver the intended goods and services.
Government agencies posted a cash utilization rate of 92.7% at the end of August, against the 93.8% pace from a year earlier, the Department of Budget and Management (DBM) reported.
Mr. De Leon challenged agencies to look beyond full figures to examine actual benefits delivered to the public.
“This approach calls for greater attention to the quality, efficiency, and impact of public expenditures, including whether programs and activities produce tangible improvements in public services,” he said. — Justine Irish D. Tabile