Cayetano pushes rural development, LGU aid in 2026 budget

BUDGET PUSH. Sen. Alan Peter Cayetano delivers his remarks during plenary deliberations on the 2026 national budget as he calls for stronger rural development, railway funding, and direct LGU support. (GMB)

Minority Leader Senator Alan Peter Cayetano on Wednesday said the Senate Minority bloc will push amendments strengthening rural development and support for local government units (LGUs) when the 2026 national budget enters bicameral conference deliberations this weekend.

Cayetano said the final General Appropriations Bill (GAB) must correct “long-standing imbalances” that favor Metro Manila while delaying infrastructure and development programs in the regions.

Although he described the proposed budget as “better than last year,” he maintained that it still falls short of being transformative.

“This is a much better budget than last year… but it’s still not a game-changer budget,” he said during the Senate’s December 4 plenary debates.

He and Deputy Minority Leader Senator Joel Villanueva voted against the measure.

Cayetano cited what he called critical gaps in funding for rural development, mass transportation, and climate adaptability as reasons for his opposition.

“Nag-a-agree tayo na dapat mag-decentralize, dapat hindi panay sa Metro Manila ang mga programa, dapat train over cars, but the budget is not reflecting that,” he said.

(We all agree on decentralization, that programs should not be focused only on Metro Manila, that trains should be prioritized over cars, but the budget does not reflect that.)

Railways as Regional Growth Drivers

A major push by the Minority bloc is the revival of long-delayed railway projects outside the capital.

Cayetano urged negotiators to restore funding for the Mindanao Railway, calling it a long-overdue catalyst for regional economic activity.

“Hanggang kailan maghihintay ang ating mga kababayan sa Mindanao bago ma-implement ang Mindanao Railway?” he said.

(How long must our fellow Filipinos in Mindanao wait before the Mindanao Railway is implemented?)

He said even initial construction would spur private developments around future stations.

“If we start building the railway, I’m 100 percent sure yung ating mga mall owners, yung mga land developers will start their development kung saan yung mga istasyon ng tren,” he said.

(If we start building the railway, I’m 100 percent sure mall owners and land developers will begin projects around the stations.)

Cayetano also renewed his call to fund the Subic–Clark Railway, arguing it would finally maximize the synergy between Clark Airport and Subic Port envisioned since the American colonial period.

Central Luzon, he said, has enormous potential held back largely by inadequate infrastructure.

Direct LGU Support to Cut Red Tape

Cayetano further pushed to reform the Local Government Support Fund (LGSF), which the Senate increased from P16 billion in the National Expenditure Program to P38 billion.

He said disaster-hit LGUs often encounter delays due to bureaucratic approval processes.

“Ang sistema sa LGSF, you apply, they send you a form, you put the program of work, then Malacañang decides, then they send the money,” he said. “We’re not only adding red tape here, we’re also injecting politics.”

(In the LGSF system, you apply, they send a form, you submit a program of work, then Malacañang decides, then they release the money. We are not only adding red tape; we are injecting politics.)

Cayetano said some LGUs received funds in a week while others waited months, urging direct releases to disaster-stricken areas.

“Why don’t we give it straight to them para less bureaucracy?” he said.

(Why don’t we give it straight to them to reduce bureaucracy?)

Other Priority Concerns

The Minority bloc also flagged inadequate allocations for primary healthcare, anti-stunting efforts, tourism development, and PhilHealth requirements.

The bicameral conference committee is scheduled to meet from December 12 to 14 to reconcile differing Senate and House versions of the 2026 GAB.

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