PHILIPPINES — The Department of Budget and Management (DBM) has released ₱9.753 billion to the Commission on Higher Education (CHED) to address funding deficiencies in 108 state universities and colleges (SUCs) nationwide. The allocation clears unpaid obligations accumulated under the government's Free Higher Education Program.
Honoring a Commitment to State Universities
The significant fund release was announced by Palace Press Officer Claire Castro during a Malacañang press briefing. She explained that the allocation aligns with President Ferdinand Marcos Jr.'s directive to prioritize the education sector. The move directly addresses a long-standing financial strain on public tertiary institutions across the country.
For years, many state universities were forced to absorb the costs of free tuition using their own internal budgets. This practice created significant deficits and limited their ability to invest in improvements. The new release settles these valid arrears, restoring balance to university finances. It is a crucial step in honoring the government's obligations under the Universal Access to Quality Tertiary Education Act.
Covering Years of Unpaid Obligations
The ₱9.753 billion fund will cover the remaining obligations of SUCs accumulated over three academic years. This includes arrears from AY 2022–2023, AY 2023–2024, and AY 2024–2025. The CHED, through its Unified Student Financial Assistance System for Tertiary Education (UniFAST), will manage the distribution.
The disbursement follows standard government auditing rules to ensure responsible use of funds. The DBM, led by Secretary Kim Robert de Leon, sourced the allocation from the Fiscal Year 2026 General Appropriations Act and the Higher Education Development Fund. This systematic approach ensures transparency and accountability in fund management.
Unlocking Campus Upgrades and Better Services
With the reimbursement, universities gain immediate fiscal space to invest in critical areas. The freed-up internal resources can now be directed toward modernizing classrooms, laboratories, and IT infrastructure. Libraries and academic research programs will also benefit from this renewed financial capacity.
The fund can also be used for essential student services. This includes strengthening campus medical and dental clinics, hiring guidance counselors, and improving athletic and cultural programs. These holistic services are crucial for student well-being and academic success.
Safeguarding Universal Access to Education
The release is a vital safeguard for the future of free college education in the Philippines. Without reliable government reimbursements, state campuses risked budget shortfalls that could lead to enrollment caps. This could have reduced the quality of instruction and placed a burden on struggling families.
By fulfilling these arrears, the administration ensures that over two million Filipino enrollees can continue their studies without financial barriers. It demonstrates policy continuity and a commitment to accessible higher education. The move reinforces the principle that education is a top national priority.
A Stable Foundation for Growth
For the 108 SUCs, this allocation is a lifeline that allows them to focus on their core mission. It signals that the government is a reliable partner in their development. Universities can now plan for the future with greater financial confidence.
This fiscal stabilization is a positive development for the entire education sector. It allows institutions to improve the quality of learning and services they provide. Ultimately, it is an investment in the nation's human capital and future economic growth.
