Diokno proposes 'transition period' for cash-based budget

ABS-CBN News

Posted at Aug 29 2018 09:57 AM

Budget Sec. Benjamin Diokno. Malacanang photo/File

MANILA -- Budget Secretary Benjamin Diokno said Wednesday he was proposing a "transition period" next year for the first cash-based budget and break a deadlock with lawmakers opposing it.

Diokno said the settlement period may be extended to 6 months from 3 months, in effect giving government agencies 18 months to spend and account for projects.

The longer spending window will not apply to salaries and procurement of equipment, he told ANC's Early Edition.

Asked if this was his "compromise" with congressmen, Diokno said: "We talk about that."

Diokno said congressmen wanted to make sure projects would be implemented before the start of the election spending ban next year.

Under the old system, funds could be spent years after these are allocated.

"It's really cumbersome and it's hard to track and there's no incentive for the bureaucracy to shape up and be efficient," he said.