Finance Secretary Ralph Recto has clarified that the ₱60 billion remitted by PhilHealth to the national treasury last year was used entirely for health-related programs, countering concerns raised at the Supreme Court.
Recto made the statement during oral arguments as the High Court reviews petitions questioning the government’s order for PhilHealth to return ₱89.9 billion in unspent funds. Of that amount, ₱60 billion was already turned over in 2023 before the Supreme Court issued a temporary restraining order on the remaining ₱29.9 billion.
According to Recto, the ₱60 billion funded several health initiatives: ₱27.45 billion went to COVID-19 frontliner allowances, ₱10 billion to medical assistance for indigent Filipinos, ₱3.37 billion to build new Department of Health (DOH) facilities, ₱4.1 billion to upgrade existing hospitals, ₱1.6 billion for the Health Facilities Enhancement Program, and ₱13 billion for government counterpart funding in foreign-assisted health projects.
“Walang nawala. Every peso went to health—supporting workers, hospitals, and the poor. That’s fiscal justice,” Recto said.
He also emphasized that the amount remitted came from unused government subsidies, not member contributions, assuring that PhilHealth’s benefit packages remain untouched and operations unaffected.
However, Supreme Court Senior Associate Justice Marvic Leonen grilled Solicitor General Menardo Guevarra about whether the remitted funds were exclusively used for health. Leonen cited Special Allotment Release Orders (SAROs) showing portions of the funds supporting foreign-assisted projects and personnel benefits, which are not strictly health-related.
Guevarra acknowledged that the funds were pooled in the Treasury and later distributed based on unprogrammed appropriations. He insisted, however, that nearly all of the ₱60 billion was allocated to health-specific programs.
The case continues as the Supreme Court deliberates whether to permanently block the transfer of the remaining ₱29.9 billion.
