MANILA, Philippines — State medical insurer PhilHealth will receive no government subsidy in the proposed 2025 national budget, the bicameral conference committee announced on Wednesday, December 11.
Sen. Grace Poe, the national budget’s sponsor in the Senate, explained that PhilHealth must first exhaust its reserve funds.
In an ambush interview at the Manila Hotel, Poe acknowledged that PhilHealth’s budget has been a recurring issue of contention.
“For now, Philhealth will not be given a budget, because they must first use their reserve funds,” Poe said in Filipino.
Poe argued that PhilHealth still has sufficient funds for its operational costs. The allocation, however, initially intended for the agency was redirected to other government agencies in greater need.
She estimated that PhilHealth has around P600 billion in reserve funds. She said Philhealth has had a history of inefficiently utilizing government subsidy.
Several senators have already made public their displeasure at Philhealth’s excessive idle funds, including Senate President Francis Escudero.
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