The Long History of Performance Budgeting in the Philippines

The colonial history of the Philippines, first as a Spanish possession and then under US administration, has had a significant impact on its economic performance and the structure and effectiveness of the public administration. US influence can be seen in the Philippines' presidential political structure and its complex budget system based on obligation appropriations with numerous earmarked funds and footnoted 'provisions'. The Philippines achieved independence from the US in 1946, although US influence on the country's economy and politics continued for several decades. Enacted by the Philippines Congress in June 1954, the Republic Act No. 992 established a new budget system for the national government. he United States would therefore have had a strong influence on the formation of the Philippines public finance systems. The program-performance budgeting approach to budget presentation was initiated in 12 agencies in the 1956 budget.