Infrastructure spending rose by 8.9 percent to PHP1.545 trillion in 2024 from PHP1.419 trillion outturn in 2023, the Department of Budget and Management (DBM) said Wednesday.

According to the DBM’s latest data, the overall infrastructure disbursements in 2024 exceeded the 2024 disbursement program by PHP72.4 billion or 4.9 percent.

Equivalent to 5.8 percent of the gross domestic product (GDP), the 2024 infrastructure spending was well within the government’s target of 5 to 6 percent for the year under the Medium-Term Fiscal Framework.

The latest figure also sustained the 5.8 percent outturn in 2023.

“The spending performance surpassed expectations due to the accelerated implementation of construction activities of the Department of Public Works and Highways (DPWH) and direct payments made for the Department of Transportation’s (DOTr) foreign-assisted rail projects, among others,” the DBM said.

The increase in infrastructure spending was driven by the DPWH’s accelerated implementation of activities from carry-over or previous years’ projects and progress billings from completed ongoing infrastructure projects.

Development partners’ direct payments for foreign-assisted rail projects of the DOTr also helped in raising the disbursements for infrastructure.

“Infrastructure spending is also projected to reach 5.4 percent of GDP next year,” the DBM said.

President Ferdinand R. Marcos Jr.’s ambitious Build Better More Program aims to achieve a golden age of infrastructure in the Philippines to enhance mobility and connectivity, as well as propel economic growth. (PNA)