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Showing posts with label Analysis. Show all posts
Showing posts with label Analysis. Show all posts

Philippine Defense Budget Statistics from 2019 to 2021

Through the years, the discussion provided among Philippine defense communities only encompasses the thing on the surface, most likely encompassing the military hardware purchased by the Armed Forces of the Philippines through the Department of National Defense under the Revised AFP Modernization Program. 

What's rarely getting a discussion is the one that serve as a critical component that will ensure that various acquisition projects that the Philippine military has will get materialized and eventually getting delivered to the end-user from any of the three branches that defined the Armed Forces of the Philippines. In this topic, the details will become more intricate, as the discussion will cover the country's defense spending from 2019 to 2021.

DISCUSSION OVERVIEW
From the upper left, clockwise: BRP Miguel Malvar FFG-06 of the Philippine Navy, Sabrah Light Tank of the Philippine Army, description of the Philippine Defense Budget Statistics from 2019 to 2021, and the JAS-39 Gripen E/F MRF variant.
Defense budgeting is a lifeline that ensures the materialization of the Revised AFP Modernization.

Philippine defense topics of contemporary times usually cover recent updates relating to the ongoing Revised AFP Modernization Program, where the crowd of defense enthusiasts talking to social media usually talks about the essence of securing military hardware of various types to ensure the security and deterrence of the country’s national sovereignty and interest against both domestic and foreign threats, particularly on the projects pushed by all three (3) branches of the Armed Forces of the Philippines.

But all of that talk has an underlying factor that can define or break this defense modernization momentum, one that requires understanding it as this factor plays a big and fully significant role to making sure that the materialization of an acquisition project gets fulfilled, along to its component that ensures its continuous operational, maintenance, and repair requirements throughout its length of active service within the necessities of the Philippine Military.

This factor refers to the aspect of budgeting itself, specifically the very function of government budgeting in relation to how annual appropriations get passed and how the entire defense sector secures a portion of the entire government’s budget allotments, with details added to it as to the quantity of that budgetary pie went to the Revised AFP Modernization Program. The increase and decrease in allocation to the defense sector define how the planners proceed with their respective acquisition projects.

Getting a full discussion on the functionality of the Philippine defense budgetary trends is something that is not founded on, at least not until this article comes in to point out the needed statistical data to provide the full picture of how things came to the overall trends of the defense allotments and the expenditure that always came with it. Add also to that the budgetary technicalities that an average person found to be complex and incomprehensible until an understandable reason gets explained.

Since the enactment of the Republic Act 10349 or the Revised AFP Modernization Program, the annually enacted General Appropriations Act provided a portion of the allotments intended for the full materialization of the acquisition projects under the said law, all of which aim for the improvement of the overall capabilities of the Armed Forces of the Philippines, especially at this period where the national government has the Comprehensive Archipelagic Defense Concept or CADC as part of its policy.

Add to this are the pressures provided by the country’s key ally, especially with the United States government under the administration of Donald Trump, where the alliances should have committed at least 2% to 5% of their respective Gross Domestic Product or GDP output to finance their respective defense programs and upkeep. With the figure provided, this writeup aims to provide additional understanding of the statistical data relating to the country’s national defense spending annually.

In its first of a multiple series that will release on this website in the upcoming years, the information provided will give full insight to the budgetary trends relating to the Philippine defense spending, especially in relation to its annual reports of its Gross Domestic Product, in this case spanning three (3) years from year 2019 to 2021. The succeeding years will have its own entry, and the previous years before 2019 have insufficient data to make it into this discussion as of this time of publishing.

AT A GLANCE
A table of Philippine Defense Budget statistical data from 2019 to 2021, as compared to the country's GDP output.
Here is the statistical data originating from reliable sources.
Click the table to enlarge.

For this discussion, as the title itself suggests, will encompass Philippine defense budgetary allotments encompassing three (3) years, although the other years, particularly the latter ones, will come as a separate topic to ensure that each content will come manageable to delve on, as the details on each fiscal year’s expenditure per service branch and other services within the Department of National Defense will also come as part of the entire presentation.

As the topics covered three (3) years from 2019 to 2021, the details will come with a comparative data presentation, which at a glance, is present as statistical information provided in the table displayed above. 

The parameters presented are as follows: the years covered in this scope and the allotments presented under the Department of National Defense, including agencies outside the Armed Forces of the Philippines. Added to it is the budget for the Revised AFP Modernization Program, plus under ‘Un-programmed’ column.

Another set of parameters presented in the table above includes the overall Gross Domestic Product or GDP that the Republic of the Philippines produced from 2019 to 2021, both in dollar and peso denomination, with the latter having a calculated average for foreign exchange being a reliable parameter for calculations. 

Completing the table presented here will go as the percentage (%) of the defense budget to the country’s annual GDP, giving a picture of its trend with the presented three (3) years as a parameter.

At a glance, as this section intends to be, presents a promising prospect to the overall budgetary presentation that the Department of National Defense has as to the respect to the annual Gross Domestic Product that the Republic of the Philippines have as its output for the said three (3) years. In 2019, the total defense budget comes at around Php 186.222 billion, with the percentage of the GDP being around 0.95%. The gross domestic product, or GDP, for the year 2019 is at around Php 19.507 trillion.

In the year 2020, the budget presented as part of the Department of National Defense’s own expenditure for the year totals at around Php 196.744 billion, an increase of around Php 10.5 billion compared to the previous year. 

That also reflects its increase, respectful to the annual Gross Domestic Product of the country, whereby the latter, amounting to Php 17.355 trillion, comprises around 1.13% of the entire GDP. The percentage clearly breaches the 1% share, as opposed to the previous year’s percentage.

Finally, the figures in 2021 give a slight shrinkage in the defense spending percentage to the GDP, although the shrinkage is only small at around 1.11%. Still, the budget of the Department of National Defense for the year still saw an increase to around Php 216.471 Billion, of which the Revised AFP Modernization Program also saw an increase for the first time as opposed to the constant Php 25 Billion and Php 5 Billion on both programmed and un-programmed appropriations, respectively, totalling Php 30 Billion.

While the figures presented on the table can only provide much insight on the overall Philippine defense budget that spans three (3) years, as mentioned, the following details will delve deeper to the breakdown of each object of expenditures that the Department of National Defense have in this presentation, ranging from the respective budget of all three (3) service branches of the Armed Forces of the Philippines, down to the three (3) budget clusters - PS, MOOE, and CO.


PHILIPPINE DEFENSE BUDGET - FY 2019
The breakdown of the Philippine defense budget under the 2019 General Appropriations Act
The overall breakdown of the Philippine defense budget under the
2019 General Appropriations Act.
Image Source.

On the table presented above, the Department of National Defense presents a budget amounting to Php 186.222 billion under the 2019 General Appropriations Act, with the Armed Forces of the Philippines getting the huge portion of the defense budget pie, at around Php 180.398 billion. 

The agency that got the second place in the largest portion of the 2019 defense budget is the Veterans Memorial Medical Center, with a budget of around Php 1.866 billion, followed by the Office of Civil Defense, which has around Php 1.3 billion.

Breaking it down to the service branches under this period, the Philippine Army received the largest pie with the total budget amounting to Php 91.407 billion, followed by the Philippine Navy, where its budget comes at around Php 27.842 billion. 

Finally, the Philippine Air Force amounts to around Php 24.584 billion. The amounts under Capital Outlay also come with a similar ranking, with Php 3.515 billion, Php 1.252 billion, and Php 352 million distributed accordingly among the three branches, in that order.

The largest portion of the Armed Forces of the Philippines’ budget under this fiscal period goes to the expenditures that fall under the Personnel Services or PS cluster, of which the budget goes to the salary, benefits, and pension of both active and retired personnel that belong to the Philippine military. 

The breakdown is the following allotments: Php 74.488 billion for the Philippine Army, Php 19.334 billion to the Philippine Navy, Php 14.743 billion for the Philippine Air Force, and Php 5.740 billion for the AFP-GHQ.

For the Revised AFP Modernization Program, this line item falls under the Capital Outlay portion of the General Headquarters, AFP and AFP-wide Service Support Units or AFPWSSUS, with that allotment keeping the fixed amount of Php 25 Billion, without the usual Php 5 Billion allotment for the program lined under the ‘Un-programmed Appropriations’ portion of this fiscal year’s General Appropriations Act that the succeeding years have, provided on the table above.

Continuing to the budget breakdown for the fiscal year 2019, the Armed Forces of the Philippines’ budget for Maintenance and Other Operating Expenses or MOOE has a sum of Php 35,732,408,000.00 with the Philippine Army having the largest pie at Php 13.402 billion, followed by the Philippine Air Force with the budget of around Php 9.488 Billion allotted for this cluster. Completing the list is the Philippine Navy with a budget of Php 7.255 billion, and AFP-GHQ with a budget of around Php 5.587 billion.

The year 2019 will be the period where the Philippine defense budget in total equates to 0.95% of the said fiscal period’s Gross Domestic Product as reported by the World Bank’s own official data, where the figures provided for the year is at around US$376.820 Billion, or Php 19.507 Trillion based on the said year’s average foreign exchange rate. As provided on the table ‘at a glance’, the Philippines’ defense budget will breach the 1% threshold in the succeeding year.

At the turn of the decade comes its new set of figures and relevant budgetary data earmarked for the Philippine defense expenditure purposes, although several of its output might have a minor pushback given that an unexpected turn of events, namely a medical health emergency that struck the world economy, contracting each country’s economic output with that period. Despite this, the following year provided its statistical data for comparative purposes as part of this topic.

PHILIPPINE DEFENSE BUDGET - FY 2020
The breakdown of the Philippine defense budget under the 2020 General Appropriations Act
The overall breakdown of the Philippine defense budget under the
2020 General Appropriations Act.
Image Source.

Coming at 1.13% total rate compared to the country’s overall Gross Domestic Product at the period at Php 17.355 Trillion, the overall Philippine defense budget expenditure breached the 1% of the Gross Domestic Product share percentage, which might seem signifying relating to the growth of the share of the defense expenditure to the overall economic output for the year. However, deep details regarding this explanation entail the reason relating to this achievement.

During the year, an unexpected global event took place, where a global pandemic got triggered because of the spread of the COVID-19 coronavirus, resulting in a series of enforced lockdowns that have rendered the global economy to a standstill. 

Because of this, the Philippine economy contracted a bit, of which compared to the 2019 Gross Domestic Product of Php 19.507 trillion, the country’s output in 2020 lowered significantly at around Php 17.355 trillion.

Still, the overall Philippine defense budget in 2020 still saw significant growth, with the allotment presented under the General Appropriations Act ending up having a total figure of Php 191.744 billion, higher than 2019’s Php 186.222 billion budget. 

Also, compared to the defense budget in 2019, the allotments for the Revised AFP Modernization Program under the un-programmed appropriations appeared, with the amount totaling Php 5 billion, while the programmed budget remained at Php 25 billion.

Going to the specifics, the Php 191.744 billion defense budget breaks down into the following details as discussed in the following sentences. Personnel Services or PS allotments for personnel basic salary and benefits have the largest pie of the budget at Php 119.716 Billion, trailing next is the Maintenance and Other Operating Expenses at Php 41.340 Billion, and Capital Outlay, which includes the allotment for the Revised AFP Modernization Program, at Php 30.686 Billion.

On the presented breakdown, the allotment provided for the Armed Forces are as follows - Php 118.110 Billion for the Personnel Services or salaries and benefits for both uniform and civilian personnel of the agency, Php 37.693 Billion for the Maintenance and Other Operating Expenses or for upkeep of both military equipment and military facilities, Php 19 Million for Financial Services, and Php 30.201 Billion for Capital Outlay, with Php 25 Billion Revised AFP Modernization Program budget included in the figure.

Now talking to the breakdown among service branches of the Armed Forces of the Philippines under the 2020 General Appropriations Act, the one that receives the largest pie of allotments is the Philippine Army, amounting to Php 92.508 Billion, followed by the Philippine Navy at Php 29.054 Billion, and last is the Philippine Air Force at Php 26.436 Billion. The budget under the AFP-General Headquarters and AFP Wide Service Support Units (including the RAFPMP allotment) is at around Php 38.005 billion.

The next part will complete the three (3) year comparison of defense expenditures that the Republic of the Philippines have from 2019 to 2021, with the latter getting a boost for its budget for the Revised AFP Modernization Program for the first time on both programmed and un-programmed appropriations. 

As presented at a glance, the trend of the annual Philippine defense budget comes at a constantly increasing pace, with the 2021 budget surpassing Php 200 billion for the first time.

PHILIPPINE DEFENSE BUDGET - FY 2021
The breakdown of the Philippine defense budget under the 2021 General Appropriations Act
The overall breakdown of the Philippine defense budget under the 
2021 General Appropriations Act.
Image Source.

Coming at 1.11% of the Gross Domestic Product for the year, the Philippine defense budget saw a bit dipping share compared to the output amounting to Php 19.419 Trillion, but the overall defense budget trend still saw a significant increase, specifically to the allotments intended to the Revised AFP Modernization Program, as it is a first time for this program to have an appreciable amount as compared to the constant Php 25 Billion allotment that came before this fiscal year.

Speaking of that first time, the Revised AFP Modernization Program under the 2021 General Appropriations Act received at least Php 27 billion, a boost of at least Php 2 billion from the original allotments provided in the prior two (2) years within this discussion’s own parameter. 

Likewise, the allotments provided under the un-programmed appropriations for the Revised AFP Modernization Program also received their own increase, which is at Php 11 billion, or Php 6 billion higher than what is usually given.

This is also the year that the Philippine defense budget breached the Php 200 billion mark, whereby the allotments presented in the 2021 General Appropriations Act have at least Php 205.471 billion, as compared to the Php 191.744 billion allotments set aside for this sector under the 2020 General Appropriations Act. 

The increase reflects the increasing budgetary requirements of the Department of National Defense, specifically the Armed Forces of the Philippines’ operational, maintenance, and repair (MRO) requirements.

Going on the breakdown, a huge chunk of it, at least amounting to Php 199.415 billion, goes to the Armed Forces of the Philippines, with Php 97.625 billion of the allotment going to the Philippine Army. Both the Philippine Navy and the Philippine Air Force both have a respective share of the pie amounting to Php 30.203 billion and Php 31.552 billion, with the remaining part of the budget went to the AFP-Wide Service Support Units, with its total allotment of Php 40.034 billion.

The portion of the Php 40.034 billion allotted under the AFP-Wide Service Support Units is the Php 27 billion allotted for the Revised AFP Modernization Program, which received its increase as mentioned throughout this discussion. 

It ‌also forms the largest share for this portion under the General Headquarters of the AFP under the Capital Outlay cluster, while the remaining cluster has at least Php 6.445 billion for Personnel Services, and Php 6.128 billion for Maintenance and Other Operating Expenses.

As expected, the largest share of the budget for all three (3) branches of the Armed Forces of the Philippines is for the Personnel Services or for the salaries and benefits of the personnel that have served in each of the branches, with the Philippine Army receiving Php 79.173 billion, the Philippine Air Force receiving Php 15.100 billion, and the Philippine Navy receiving Php 20.916 billion. The branches’ MOOE comes at around Php 15.787 billion, Php 14.899 billion, and Php 9.168 billion, respectively.

Now that the discussion of the breakdown of budgetary allotments for the Philippine defense from 2019 to 2021 fully presented, the next part of this discussion will be more theoretical in its tone, as the main highlight focuses more on the projected budgetary output for the Philippine defense, especially if the said years, based on the annual Gross Domestic Product, received at least 2% of the said economic parameter, and its effect to the Philippine defense programs, based on the prices of current military purchases.

THEORETICAL PROJECTIONS
The full table of projected defense expenditures on bothj 2% and 5% of the Gross Domestic Product
The Philippine defense budget in this scenario ranges between Php 300 billion to almost Php 1 trillion for its defense expenditures if given the 2-5% GDP projections.

Now that the Philippine defense budgetary statistics with data from 2019 to 2021 as a parameter and the General Appropriations Act of the said fiscal periods being the basis for providing the actual percentage of the defense budget of the country compared to the Gross Domestic Product, this portion will delve on the theoretical realm of possibilities, notably on the scenario if the Philippine defense allotments comprise at least 2% or 5% of the Gross Domestic Product as the primary basis.

Based on the data provided above, the defense expenditures based on the 2% and 5% of the Gross Domestic Product comes higher, perhaps even twofold compared to the budget presented for the entire Department of National Defense from 2019 to 2021, and even 200 times to 300 times larger to what has allotted to the Revised AFP Modernization Program presented on the said three years, as the figure comes limited always at around Php 25 billion to Php 30 billion per annum at an average.

For the year 2019 as an example, the 2% share of the Gross Domestic Product that have set aside for defense based on the figures on the table above comes at around Php 390.141 billion, which is 2 times higher than the actual figure for the budget under the Department of National Defense amounting to Php 186.222 billion. 

Likewise, the 5% defense expenditure share in this scenario will render the Philippine defense budget an amount of Php 975.352 billion, a Php 25 billion difference from securing the Php 1 trillion mark.

Meanwhile, the defense expenditure figures for 2020, following the parameters, will give the Philippine defense budget allocations an increase of around Php 358.911 billion for the 2% share basis, and Php 897.277 billion for the 5% share basis. As usual, the actual budget under the 2020 General Appropriations Act for the Department of National Defense amounts to Php 196.744 billion, although the dip in the amounts in the theoretical scenario is noticeable given the global health concern throughout the year.

In the year 2021, the figures presented themselves as Php 388.380 billion for the 2% share of the Gross Domestic Product provided for Philippine defense expenditure in this theoretical scenario, and Php 970.951 billion for the 5% share, which are still lower than the 2019 figures presented as this said year comes as the country and the entire world still recovered from the global health concern that have occurred a year prior. Still, the figures presented are higher than the actual Php 216.471 billion budgetary figure.

The figures presented, as provided in this theoretical output, might give the Armed Forces of the Philippines an opportunity to improve its firepower and external defense-related projects, plans, and programs at a hyper-drive, as this enable each of the service branch of the Philippine military further increase the numbers of needed hardware purchased under both Horizon 2 and 3 phases of the Revised AFP Modernization Program, while improving existing facilities and building new ones to shelter the newly purchased capability.

Given the figures under this presentation, this will enable the Department of National Defense and the Armed Forces of the Philippines to quickly building up not only its big ticket acquisition projects of military hardware intended for addressing both domestic and foreign territorial defense related threats, but also to give opportunity to expand and improve its existing facilities, all in which going in line with its long-term plans, as this will come useful for the country to exercise its national interest in succeeding years to come.

IN CONCLUSION
The plenary hall of the House of Representatives under session.
The bicameral legislature has the final say on budgetary matters, including defense.
Pitz Defense Analysis file image.

The discussion as presented here is the full picture of the Philippine defense budgetary expenditures that have taken place within the said three (3) years as mentioned, which is from 2019 to 2021. 

This also means that there will be more of this to come as part of the growing topics to delve into regarding the broader scope of the functionalities of the Philippine defense topics, going beyond the usual talks on the recent military hardware that the Armed Forces of the Philippines is keen into buying on.

Discussing the budget that runs Philippine defense is really important to delve into, especially on the numbers that are running the actual expenditures presented by the executive branch of the government through the DBCC or the Development Budget Coordination Committee, which presents the proposed budget for the succeeding fiscal year before the bicameral plenaries of both the House of Representatives and Senate before it becomes the official General Appropriations Act for the year.

The defense spending for the said three (3) years in this discussion presented to be just limited to just 1% of the GDP or the Gross Domestic Product, which is a given for the government budget that always focuses on more pressing expenditures relating to social services such as additional infrastructures for connecting communities and making lives easier, or on education where it gives opportunity to the population to be more productive citizens as they prepare to be part of the country’s economy.

One keynote to point out is that the countries that the Philippines has a strong alliance with, like the United States, has a current policy that pushes its alliances to have a defense expenditure of at least two percent (2%) of the Gross Domestic Product, and since then have increased further to as high as five (5%) of the Gross Domestic Product that a country has produced in a fiscal period. Of course, there is a likelihood that the Philippines will not adhere to this scheme, citing its budget also allotted to other matters as mentioned.

Should the Philippines follow the increase of getting its defense spending to at least two percent (2%) or five percent (5)% of the Gross Domestic Product, there is a clear indicator that the Armed Forces of the Philippines can accomplish most of its acquisition objectives under the Revised AFP Modernization Program, specifically on both the Horizon 2 and the Re-Horizoned 3 timelines that its implementation phase might have gotten shorter than the current financial situation that all three military branches are dealing.

With the Php 2 trillion ten-year based Re-Horizon 3 now rolling, the increase of allocation on the defense spending clearly provides a large difference on its overall output, specifically on the timeline of accomplishing key acquisition projects and even getting several piecemeal projects like the acquisition of the Miguel Malvar-class frigate under the Corvette Acquisition Project accomplished by getting more than a pair of ships in one go, or even getting this F-16 Viper full package with ease.

In the long run, the Armed Forces of the Philippines might get the capability it needs under the Comprehensive Archipelagic Defense Concept or CADC, although the presented increase in this theoretical budget might have accomplished this concept sooner. 

Still, getting the projects realized depends on the country’s key policymakers, as the increasing tension in the Indo-Pacific region suffices as justification for an increase in defense spending, especially for a country like the Philippines that ensures its national interest.





(c) 2025 PDA.
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The NMESIS and the United States' Renewed Commitment in Philippine Defense

At the turn of the new administration that is sitting in the United States government at the time of this writing, there are a mix of uncertainties among the alliances relating to the commitment that the world's sole superpower has in keeping the current world order, particularly against countries that are up to challenge it. For the Philippines, a deployment of a new weapons system gives an assurance on its 'ironclad alliance' with the former.

US SECRETARY OF DEFENSE'S VISIT TO THE COUNTRY
An NMESIS launcher deployed on the sandy beach as it disembarked a USMC Hovercraft.
The deployment of the NEMESIS anti-ship missile system is an interesting development for the US-Philippine relations.
Image Source.

From March 27 through March 28, 2025, United States Secretary of Defense Pete Hegseth visited the Philippines for an official visit, meeting with President Ferdinand R Marcos Jr and Secretary of National Defense Gilberto Teodoro, as part of his Indo-Pacific visit involving United States territory of Guam, and other Indo-Pacific country of Japan. 

This is SECDEF Hegseth’s first visit to an Asian country in the official status of his position, aiming to advance defense and security goals with the key officials of the Philippine government.

His visit to the country has the assurance for an ironclad alliance between both countries in mind, signifying that the Philippines receive that needed continuous support amidst the uncertainties surrounding the practical nature of commitments and relationships of the United States' official foreign policy. 

The continuity of this commitment from the Biden administration to the present Trump 2.0 administration is a needed assurance that the Philippine authorities needed to hear from the current United States government.

This visit comes with interesting tidbits as to the type of support that the Philippine government, specifically the Armed Forces of the Philippines, will receive from the United States as the result from this renewed cooperation between both countries, and the expectations as to the things the Philippines will give as a return of investment from this burgeoning relations between both countries. The type of support provided comes on top of increased troop deployments and rotations by United States forces in the country.

One interesting tidbit highlighted and also the primary topic of discussion is the likely deployment of the United States military’s newest shore based anti-ship missile system, coming with an acronym “NMESIS” (pronounced ‘nemesis’), which stands for “Navy-Marine Expeditionary Ship Interdiction System”. This system will have its debut deployment into the country in the 2025 Joint Exercise Balikatan, which will take place from April 21 up to May 9, 2025.

The debut deployment of the shore-based anti-ship missile system will go with its extended deployment of the country even after the 2025 Joint Exercise Balikatan gets concluded, going similarly with what the United States forces did with the Typhon Mid-Range Capability (MRC) missile system deployed in the country. Both systems aforementioned will help the Philippine forces practice and share knowledge on the operations and other aspects of its usage and deployment.

Of course, its deployment always comes with deterrence in mind, as this has raised on an interview relating the effect that the NMESIS anti-ship missile system has for the overall Philippine defense deterrence, of which the response into the matter also encompass the greater aspects of the country’s deterrence, which includes the ‘ironclad’ alliance that the Philippines has with the United States, along with the current capabilities that the Armed Forces of the Philippines has, to date.

As the deployment of the Navy-Marine Expeditionary Ship Interdiction System or NMESIS gets highlighted in the aspects of the greater scope of current Philippine defense posture and its implication in the current order of the Indo-Pacific region, the discussion relating to this topic will delve primarily on the system’s development, geopolitical implications, and its specifications, giving a full picture that intertwines geopolitical and Philippine defense aspects of the system’s deployment in the country.

WEAPONS DEVELOPMENT
An Arleigh Burke-class Destroyer seen sailing in the high sea, with the Naval Strike Missile canisters highlighted.
The NMESIS' missile munitions will be the Naval Strike Missile from Kongsberg, the same anti-ship missile found onboard United States Navy ships.
Image Source.

To understand better the development of the Navy-Marine Expeditionary Ship Interdiction System or NMESIS platform, it is worth to focus more on its munitions first, before focusing on other areas like its launcher and other relevant parts of the system. 

For starters, the munition the system has primarily composed of the Kongsberg-developed and produced Naval Strike Missile (NSM) system, originated in the Scandinavian country of Norway and is now a mainstay anti-ship missile munition of the United States Navy.

In Southeast Asia, the countries that will probably come up with the Naval Strike Missile (NSM) systems munition will be the southern neighboring countries of both Malaysia and Indonesia, whereby the former will use it to arm both of its Maharaja Lela-class Frigates (Littoral Combat Ships or LCS) and its older Lekiu-class Frigates, and the latter will use it to arm its Klewang-class Fast Attack Crafts. The Philippine Navy uses the South Korean SSM-700K Haeseong ‘C-Star’ anti-ship missile munition as its mainstay solution.

The missile system’s development started way back in the late 1980s, when Kongsberg started into conceptualization and addressing the limitations of Norway’s first indigenously made anti-ship missile, which is the Penguin anti-ship missile. It then undertook formalization into a full-scale development contract in 1996, costing at around US$100 Million and the timeframe expected to have at least six (6) years. Serial production of the missile then started on June 29, 2007.

For both the United States Navy and Marine Corps, the responsibility regarding the production of the Naval Strike Missile System lies with the country’s military defense firm Raytheon, which likely included the ones intended for the Navy-Marine Expeditionary Ship Interdiction System or NMESIS platforms deployed for the 2025 Balikatan Exercise purposes. As the missile munition’s details got discussed, let us now delve into the next part, which is on the missile launcher itself.

The missile launcher itself is a product made by a US-based defense company Oshkosh, named “ROGUE Fires Carrier”, itself derived from the Joint Light Tactical Vehicle or JLTV, a multipurpose vehicle currently used by the United States Armed Forces that shares similar design to the M-ATV Mine Resistant Ambush Protected Vehicles or MRAP vehicles that the same defense company supplied to the Armed Forces. The similarity of its chassis eases the logistics chain on its mobility uses with the commonality of its spare parts bulk.

As for the JLTV’s chassis development, it started way back 2012 under the Joint Light Tactical Vehicle program pushed by a joint modernization partnership between the United States Army and the United States Marine Corps, designed to replace several of its aging High Mobility Multipurpose Wheeled Vehicle or HMMWV (colloquially known as the Humvee) vehicles. Since then, it has become the mainstay platform used by the said two (2) military branches of the United States Military.

With the details now provided on both the Naval Strike Missile and the Joint Light Tactical Vehicle (JLTV) derived ROGUE Fires Carrier missile launcher, the next point on this discussion will now delve on its geopolitical uses that relates to the latest development on its deployment to the Philippines as part of the Joint Exercise Balikatan 2025, and how the extended deployment of the units in the country helps deter threats from a regional adversary like China.

GEOPOLITICAL IMPLICATIONS
Map illustration of NMESIS anti-ship platform's deployment in the Batanes Island Group.
Here is the potential site deployment of the NMESIS anti-ship platform during the Exercise Balikatan 2025.
From Orion Intel.

As the deployment of the NMESIS missile launcher units deployed in the country comes as part of the growing alliance between the United States and the Philippines, the actions taken always come with geopolitical implications in mind, particularly in the dynamics relating to the stability of the Indo-Pacific region at large. Of course, regional powers like China always come to mind, particularly to the areas in the country that the NMESIS will probably get deployed.

One likely location that the NMESIS platform gets deployed is in the area near Northern Luzon, particularly in the island group of Batanes, a Philippine province nearest to the island country of Taiwan that China desires to reunite under the communist red banner of the mainland. 

This is crucially important, as China has plans on blockading the said island country being part of its invasion purposes, with multiple drills already accomplished by the People’s Liberation Army as part of this worrying push.

Just the deployment of the Navy-Marine Expeditionary Ship Interdiction System (NMESIS) platforms in Batanes already undermines China’s own adventurism against Taiwan, particularly that securing the Bashi channel near Batanes will put any Chinese ships traversing in the area or the ones taking part in the blockading activities into harm. 

Still, the Philippine government has this deployment as merely part of the bilateral exercise between them and the United States, emphasizing more on interoperability drills.

Another detail to point on is how crucial the deployment of the NMESIS anti-ship platform is for the First Island Chain in the Indo-Pacific region, particularly with the goals of containing Chinese aggression into the waters off the coast. For context, the First Island Chain comprises countries of Japan, Taiwan, and the Philippines, of which it stretches from the northern part of the Japanese territorial domain down to the Philippines’ southernmost part.

The interoperability that the NMESIS anti-ship platform might provide to the Philippine Armed Forces from their counterparts in the United States military might give insights for the former in the repair, maintenance, and operational aspects of the platform deployed by the latter, particularly for consideration into its purchase as the former currently embarks on its modernization program, aiming to provide the needed credible defense posture that the country needs for territorial defense purposes.

Ultimately, the extended deployment of the anti-ship missile system in the country will provide an increased deterrence for its own defense, in which it adds to the systems that the United States military has in the country, with the other being the strategically important deployment of the Typhon Mid-Range Capability (MRC) missile of the United States Army. Both systems deployed in the country showcase the Philippines’ importance as a strategic geographic location in the Indo-Pacific that can deter Chinese expansionism.

As the impact and geopolitical implication of the NMESIS anti-ship platform just covered as part of this entry, the next portion of this topic will now cover the specifications and other features of both the Kongsberg-made Naval Strike Missile (the munition onboard the anti-ship missile unit) and the Joint Light Tactical Vehicle derived ROGUE Fires Launcher, itself being an unmanned platform that relies primarily on the remote inputs of its operator, even on operations involving the launching of its missiles.

SYSTEM SPECIFICATIONS
The Naval Strike Missile come with its key attributes and features that define it as an ideal munition for the NMESIS platform.
Here are the main attributes of a Naval Strike Missile munition,  which is a primary armament of the NMESIS anti-ship platform. 
From Kongsberg, through this image source.

This topic will not be complete if not with the complete discussion about the system specification of what defines a Navy-Marine Expeditionary Ship Interdiction System or NMESIS platform that the United States Armed Forces field throughout the Joint Exercise Balikatan 2025, and eventually going beyond that bilateral exercise phase. 

Once again, the discussion will cover two (2) parts, the missile munition, which is the Naval Strike Missile, and the unmanned launcher version of the Joint Light Tactical Vehicle or JLTV.

At a glance, the Naval Strike Missile has the following technical data based on what the presentation provided on the manufacturer’s website. Breaking it down, the Naval Strike Missile has a subsonic speed of Mach 0.7 to 0.9

For context, the supersonic BrahMos missile that the Philippine Marine Corps received and the Philippine Army aims to have, has the speed of at least Mach 2.0 to 2.8 (varying to the used cruising altitude), giving the latter an advantage related to this speed metric.

Despite having a subsonic speed, the Naval Strike Missile has the advantage of its maneuverability, as its capability in having an advanced sea-skimming maneuvers gives challenges to the opposition force’s onboard air defense system in intercepting this advanced munition. 

This thing similarly goes with the SSM-700K Haeseong ‘C-Star’ missiles found aboard both the Philippine Navy’s Jose Rizal-class and Miguel Malvar-class frigates, which actually has a speed of around Mach 0.85.

Adding information for the Naval Strike Missile, it has the weight of 407 kilograms or 897 lbs, a length of 3.96 meters or 156 inches, and a total range of around 185 kilometers to 250 kilometers. For comparison, the BrahMos missiles that the Philippine Marine Corps currently have come with a total range of around 290 kilometers, while the SSM-700K Haeseong 'C-Star' missile has a total estimated range of around 180 to 200 kilometers, at par with the said Kongsberg-developed product.

After talking about the Naval Strike Missile munition that the NMESIS anti-ship platform uses in eliminating its targets, the next component to discuss is the launcher platform and other parts of the system, especially with the chassis and features that considers as an unmanned variant of the Joint Light Tactical Vehicle from Oshkosh. 

The ROGUE Fires Carrier is just one of the multiple variants of the design provided by Oshkosh, with its chassis shared with the MRAP variant widely used in the United States Military.

At a glance, the Joint Light Tactical Vehicle or the JLTV that the NMESIS launcher bases itself from has an operational range of 400 miles or at around 643.78 kilometers, on-road speed of 65 miles per hour or 104.61 kilometers per hour, and a maximum weight of around 15,500 lbs or 7,030.68 kilograms, or 7.031 metric tons

This means that the vehicle comes as light enough that it is transportable by any cargo aircraft that is likely serving both the United States and the Philippines, such as a C-130 Hercules aircraft.

The light portability of the ROGUE Fires Carrier, plus the firepower capability possessed by the Naval Strike Missile as an anti-ship munition, makes the NMESIS anti-ship platform a formidable system that comes as ideal for deployment into ideal chokepoints like the Bashi Channel, which comes as a crucial part of the containment under the First Island Chain. As part of an integrated network chain of military units, the system relies on inputs from other surveillance units for its targeting operations.

ENDING NOTE
A U.S. Marine Corps Navy-Marine Corps Expeditionary Ship Interdiction System assigned to Medium-Range Missile Battery, 3d Marine Littoral Combat Team, 3d Marine Littoral Regiment, 3d Marine Division is staged at Basco, Philippines, April 26, 2025.
A U.S. Marine Corps Navy-Marine Corps Expeditionary Ship Interdiction System assigned to Medium-Range Missile Battery, 3d Marine Littoral Combat Team, 3d Marine Littoral Regiment, 3d Marine Division is staged at Basco, Philippines, April 26, 2025.
United States Marine Corps Photo

Like the Typhon Mid-Range Capability Missile System that ever since deployed to the Philippines from 2024, the new Navy-Marine Expeditionary Ship Interdiction System or NMESIS anti-ship platform come as strategic in its usage, as its design as a mobile, coastal-based anti-ship platform added up to the complex situation in the Indo-Pacific region, particularly relating into adding the deterrence in areas part of the First Island Chain like the Philippines.

Its deployment to the Philippines as part of the Joint Exercise Balikatan 2025 provides an opportunity to the troops of the Armed Forces of the Philippines, taking part in the activities to learn and to get an interesting insight into the operational and maintenance requirements of the NMESIS platform, which is helpful not only for interoperability of units among both the Philippine Military and its United States equivalent, but also on familiarity on its usage should the former opts for purchasing the system later on.

To recall, the NMESIS platform uses the Naval Strike Missile munition, which is a product from the Danish defense company Kongsberg and is currently a mainstream munition used by the United States Navy, replacing the older and legendary Harpoon missile system

This is different to both the BrahMos and SSM-700K Haeseong ‘C-Star’ anti-ship missile systems that the Philippine Marine Corps and the Philippine Navy, its parent unit, uses on its coastal-based and ship-based units, respectively.

And just like the Typhon Mid-Range Capability missile system deployed in the country since 2024, the NMESIS platform provides another layer of deterrence for the Philippines’ own defense under the alliance arrangement between the country and the United States, particularly that both countries have recently expanded its bilateral defense ties that correlates to the adding up of military sites provided under the Enhanced Defense Cooperation Agreement or EDCA.

The deployment of both advanced systems from the United States not only adds to the worry of the Chinese relating to its planned conquest of the island nation of Taiwan, but it also adds up to the dynamics of the geopolitical situation in the Indo-Pacific which, should they choose it, might put the deployment of the systems in the Philippines in consideration as another potential target. Such aggression puts the premise for the Philippines to tap other like-minded nations and alliances to establish deterrence.

Of course, the deployment of the US-made, coast-based anti-ship missile come as simply an ongoing development on the ever-improving defense ties between the Philippines and the United States, as the Philippine Military on its own has recently received another battery of BrahMos supersonic anti-ship missiles from India intended for the Philippine Marine Corps, and the Philippine Navy receives its first fully armed frigate, the BRP Miguel Malvar (FFG-06) that will get fit with its own SSM-700K anti-ship missiles later on.

In a final note, the deployment of the NMESIS anti-ship platform in a bilateral exercise with the Philippines is a sign of ever-growing bilateral defense relations that the country has with the United States, particularly in facing a geopolitical situation, with China aiming to dominate the affairs of the Indo-Pacific region. 

The Philippines play a crucial role in this ongoing situation, in which it can maximize its strategic location not only to the benefit of the alliance but also in improving its Armed Forces to new heights.





(c) 2025 PDA.
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Detailing the 2025 Philippine Coast Guard Budget

At the first weeks of the year 2025, the Philippine government, through the Department of Budget and Management or DBM, released the full details surrounding the General Appropriations Act for that year, and with that usually comes with the highlights surrounding the budget of the Department of National Defense, as in the case for outlets like this one.

In another quick discussion in this short-written entry, we will continue covering the 2025 budget relating to the country's national security purposes, only this time this will encompass the Philippine Coast Guard and projects under the Department of Transportation (DOTr) involving the West Philippine Sea.

DISCUSSION OVERVIEW
The Philippine Coast Guard's Cessna Grand Caravan Aircraft exited from a Jet Aviation-owned hangar.
The Cessna C208CX Grand Caravan Aircraft is currently the mainstay fixed-wing aircraft of the Philippine Coast Guard.
Image Source.

The Philippine Coast Guard’s annual budget, just like those for the Armed Forces of the Philippines, always comes with an ongoing evolution, a focus primarily on its mandate for external defense and orientation to that phase of national security. 

Both budgets belong to the annually enacted General Appropriations Act, of which the 2025 iteration of the law got the signature of Philippine President Ferdinand R. Marcos Jnr on Rizal Day, December 30, 2024.

This article comes as the continuation of the discussions surrounding the 2025 General Appropriations Act, particularly pointing to its implications in relation to the current national defense efforts of the Philippine government, through the Department of National Defense and the Armed Forces of the Philippines. 

To recall, the Revised AFP Modernization Program received an important increase, although the bulk of its allotment aligns at Un-programmed Appropriations, depending on annual government revenue.

As the purpose of this writeup also delves in the country’s push and resolve on its territorial integrity, sovereignty, and national interest that encompasses beyond the scope of the core mandate of the Armed Forces of the Philippines, the duties and responsibilities of the Philippine Coast Guard in the West Philippine Sea also plays a role that the country showed its presence and perseverance in what’s rightfully part of the Philippine Exclusive Economic Zone, even before a more powerful adversary.

With an increasing trend of China’s assertiveness in securing what they claim as ‘theirs’ through the use of their own coast guard, maritime militia, and even naval assets belonging to the People’s Liberation Army Navy at sea, the budget encompassing the Philippine Coast Guard and the projects that the Department of Transportation at-large in the West Philippine Sea are helpful in cementing the country’s interest in West Philippine Sea, securing its marine resources for the citizenry to benefit.

Coming as usual, this article will delve into the plans, programs, and projects presented under the 2025 General Appropriations Act for the Philippine Coast Guard, while relating to the ongoing developments and that the maritime law enforcement agency has at present, such as in purchasing additional white hull assets as part of its fleet expansion. This, coupled with new facilities getting constructed, aims to help the agency uphold its core mandate, especially in increased tensions in the West Philippine Sea.

THE PCG BUDGET IN THE 2025 NATIONAL EXPENDITURE PROGRAM
The overview of the Philippine Coast Guard's 2025 National Expenditure Program
The budget breakdown of the Philippine Coast Guard's National Expenditure Program, spanning three (3) years.

At a glance, there is a positive trend in the overall allotments presented for the Philippine Coast Guard’s financial requirements under the 2025 National Expenditure Program, as it has highlighted the growing responsibility of the maritime law enforcement agency in enforcing its presence in areas like the West Philippine Sea, along with its efforts to expand its existing Maritime Domain Awareness in securing the Philippine Territorial and Exclusive Economic Zone waters.

The budget of the Philippine Coast Guard in the 2025 National Expenditure Program comes at around Php 31,268,928,000.00 or Php 31.268 Billion, in which it is higher than the 2024’s Php 29,420,681,000.00 or Php 29.421 Billion allotment in the presentation, which itself is higher than the 2023’s Php 21,908,100,000.00 or Php 21.908 Billion allotment. This means that there is at least a 6.39% increase in the 2025 budget, lower than the 25.54% increase in the 2024 proposal as compared to the 2023 budget proposal.

With the positive trend also comes the same picture on the specific expenditure clusters that describe an operational component of a government agency like the Philippine Coast Guard, whereby there’s a general increase on both Personnel Services (PS) and Maintenance and Other Operating Expenses (MOOE), while there’s a general decrease on the maritime law enforcement’s Capital Outlay (CO) allotments as compared to the previous year. The breakdown of each expenditure cluster comes as follows.

The overall allotments for Personnel Services (PS) for basic salary and benefits for the Philippine Coast Guard’s uniform and civilian personnel composition comes at around Php 23,112,726,000.00 or Php 23.112 Billion, of which it comprise the largest percentage of the agency’s 2025 National Expenditure Program allotments that is at around 73.92% of the total budget allotted in this presentation. It is higher than 2024’s Php 19,739,399,000.00 or Php 19.739 Billion, and 2023’s Php 19,857,096,000.00 or Php 19.857 Billion.

Aside from Personnel Services or PS, another thing to point out is the composition of allotments under the Maintenance and Other Operating Expenses or MOOE, whereby it has the proposed figures under the National Expenditure Program for 2025 amounting to Php 7,086,919,000.00 or Php 7.086 Billion, composing about 22.66% of the total proposed budget in this presentation. It is higher than 2024’s Php 4,744,045,000.00 or Php 4.744 Billion, and 2023’s Php 3,571,565,000.00 or Php 3.572 Billion.

Completing this composition is the budget allotments under Capital Outlay or CO, whereby it saw a decrease in figures as compared to the first two (2) budgetary clusters, as discussed. For the year 2025, the figures provided under the National Expenditure Program of the said fiscal year amounts to Php 1,081,228,000.00, or Php 1.081 Billion, comprising only about 3.46% of the total budget. For comparison, figures for 2024 and 2023 are at around Php 4,744 Billion and Php 1.327 Billion, respectively.

The general increase of both Personnel Services (PS) and Maintenance and Other Operating Expenses (MOOE) sees as the ongoing increase on the number of hired personnel to the maritime law enforcement agency, along with the operational and repair requirements for the agency’s facilities and white hull vessels that is likely to receive in the succeeding years. While the National Expenditure Program provides the amounts as proposed at a glance, the 2025 General Appropriations Act gives a full picture.

THE ACTUAL BREAKDOWN UNDER THE 2025 GENERAL APPROPRIATIONS ACT
A full breakdown of allotted expenditures of the Philippine Coast Guard.
Here is the actual breakdown of allotments for the Philippine Coast Guard under the 2025 General Appropriations Act.

As the budgetary figures provided under the 2025 National Expenditure Program comes as an initial and also a sneak peek into what will the budget of a certain government agency will look like, the 2025 General Appropriations Act provide as the final budgetary figure that a government agency like the Philippine Coast Guard will see as a basis for its allotment, which will be its budget to use for its personnel and operating expense requirements for the said fiscal period.

The budget of the Philippine Coast Guard in the 2025 General Appropriations Act comes at around Php 33,251,928,000.00 or Php 33.252 Billion, which is actually higher than the figures presented under the National Expenditure Program of the maritime law enforcement agency with the aforementioned figures provided in this writeup. This means that the budget of the Philippine Coast Guard saw an increase of Php 1,983,000,000.00 or Php 1.983 Billion.

Going further, the breakdown between the expenditure cluster goes as follows - Php 23,100,781,000.00 or Php 23.101 Billion for Personnel Services or PS, Php 7,086,919,000.00 or Php 7.087 Billion for Maintenance and Other Operating Expenses or MOOE, and Php 3,064,228,000.00 or Php 3.064 Billion for Capital Outlay or CO, totaling to the aforementioned figure that saw an increase as compared to the proposed ones under the National Expenditure Program.

This means that the budget for the Personnel Services comes with a minor decrease of Php 11,945,000.00, likely pointing to the number of personnel separating from the service through multiple means such as resignation, transfer of agency, reaching the mandatory age for retirement, or applying for the optional retirement package. Budgetary numbers provided usually correspond to the actual number of personnel in service, with data originating from the agency’s Human Resource directorate.

Meanwhile, there are no changes on the overall allotment to the Philippine Coast Guard’s own Maintenance and Other Operating Expenses (MOOE) requirements, which stayed at Php 7,086,919,000.00 or Php 7.087 Billion for both the 2025 National Expenditure Program and the 2025 General Appropriations Act. 

This means that their requirements for upkeep facilities and operating PCG equipment lines up into what should be their actual expenditure projections on the said fiscal period.

Finally, the Philippine Coast Guard’s Capital Outlay, under the 2025 General Appropriations Act, saw more than a twofold increase, as it saw the increase from Php 1,081,228,000.00 or Php 1.081 Billion in the 2025 National Expenditure Program increased into Php 3,064,228,000.00 or Php 3.064 Billion, with a difference being at Php 1,983,000,000.00 or Php 1.983 Billion. This will enable the agency to improve its capabilities by acquiring more hardware and building new facilities.

From the provided figures, the overall increase in allotments for the Philippine Coast Guard under the 2025 General Appropriations Act directly attributed to the increase in allotments under its Capital Outlay (CO) funding cluster, while there is a decrease and no change on the allotments of both the Personnel Services (PS) and Maintenance and Other Operating Expenses (MOOE), respectively. 

Not mentioned here are the funding resources done through Official Development Aid or ODA loans, like the additional Teresa Magbanua class Multirole Response Vessels (MRRVs).

DOTR'S WEST PHILIPPINE SEA PROJECTS IN 2025
An air traffic control tower with scaffolding seen from afar, with a large hangar seen on the left side.
Pag-asa island now comes with a hangar and an air traffic control tower.
Screen grab from ABS-CBN News Channel.

As the Philippine Coast Guard falls under the organizational jurisdiction of the Department of Transportation or DOTR, it is as well worth discussing and delving with the projects that the transportation department have that has a relation with national security push, particularly on matters that correlates to the entire government’s push into cementing its presence in highly contested areas like the Kalayaan Island Group in the West Philippine Sea.

Based on the projects list provided by the 2025 General Appropriations Act for the earmarked programs set by the Department of Transportation or DOTR, one highlighted project on the list is the Airport Development and Expansion of Pag-Asa Island Airport (in Kalayaan Island Group), which amounts to Php 1,650,000,000.00, or Php 1.650 Billion Pesos. This budget is likely to provide continuous work on the airport facilities on the island, such as the air traffic control building and hangar facilities (see image above).

Another highlighted project is the Pag-Asa sheltered port project amounting to Php 300 Million, which refers to the dredged part of the island that can accommodate Philippine vessels of both civilian and government enforcement in nature, making it convenient to provide the much needed sustainment supplies for the troops and inhabitants of the island, along with an immediate deployment of heavy equipment and armaments that cement the country’s presence in an island part of the Kalayaan Island Group.

Finally, completing the list is the construction of Sheltered Port at Lawak Island, which is part of the Kalayaan Island Group municipality as the Pag-Asa island itself. Currently, the island, internationally named as Nanshan Island, comes with a small contingent of Philippine Coast Guard and Armed Forces personnel deployed in the area, and having a sheltered port in the island will help not only to cement the country’s presence but also to give added protection among Filipino fisherfolk during harsh storms.

Amounting to Php 1,080,000,000.00 or Php 1.080 Billion, the Phase 2 of the construction of a Sheltered Port at Lawak island is the continuation of what has already invested there, whereby an amount of Php 800,000,000.00 or Php 800 Million has already provided for the construction of the facility as part of the 2024 General Appropriations Act. Likewise, both the airport expansion and the sheltered port on Pag-Asa island are a mere continuation of the plans earmarked by the Transportation Department in prior years.

All the aforementioned projects aimed to improve not only the well-being of the troops and inhabitants within the Kalayaan Island Group in the West Philippine Sea, but it gives additional presence and resolve that the Philippine government and citizenry at-large provides attention and added support in protecting the country’s national interest and sovereign rights in the West Philippine Sea area, all of which are within bounds of the 1982 United Nations Convention on the Law of the Sea or UNCLOS.

Coupled with the current efforts by both the Philippine Coast Guard and the Armed Forces of the Philippines to improve their capabilities further for territorial defense purposes, the projects set by the Department of Transportation as mentioned play a vital role in providing support in further improving and fortifying the Philippine positions in the West Philippine Sea, all despite having incursions from both the China Coast Guard together with accompanying Chinese Maritime Militia ships.

LOOKING FORWARD
A scale model of the HDP-500 OPV as presented by HD Hyundai during the ADAS 2024 Exhibition.
A scale model of the HDP-500 OPV as presented by HD Hyundai during the ADAS 2024 Exhibition.
File Image.


The budget of the Philippine Coast Guard in the 2025 General Appropriations Act, as opposed to its proposals under the 2025 National Expenditure Program, shows that the budget allotment increase, especially on its Capital Outlay related expenditures, are helpful for the maritime law enforcement agency under the Department of Transportation to further fulfill its mandate, especially that it plays a crucial role as the current frontline component in challenging Chinese elements in the West Philippine Sea.

The increase fully reflects the general trend on its budgetary requirements, all of which saw a constant increase on its needed budget allotments through encompassing years mentioned in the first parts of this writeup. 

The trend as presented is not that surprising, given that there is also a general increase of white hulls entering the service, along with the establishment of new facilities and recruiting the pool of aspiring applicants that wanted to join the service.

As mentioned earlier on the detailed breakdown of the expenditure cluster of the Philippine Coast Guard’s own budget, the numbers do not cover any soft loan or similarly arranged scheme that correlates to the agency’s improvement of its own capabilities, particularly to the recent purchase of Japanese-made Multirole Response Vessels and additional Teresa Magbanua-class MRRVs, all of which having the JICA Official Development Aid loan as the source of funds.

Adding to this is the ensured continuity with the ongoing rehabilitation and facility improvement projects in various Philippine outposts in the West Philippine Sea that is currently defined as part of the Kalayaan Island Group municipality of the Province of Palawan. Pag-Asa island’s current improvement of both of its airport and sheltered port emphasizes the importance of those facilities that increase the flow of logistics on goods, supplies, and much-needed goods from the Philippine mainland.

Aside from Pag-Asa island, the improvement in Lawak island, which is another Philippine outpost in the West Philippine Sea and as part of Kalayaan Island Group, also gives expanded presence for the country’s resolve in ensuring its national interest within its designated Exclusive Economic Zone or EEZ, whereby the national government sees its importance that the said projects have included in the 2025 budget of the Department of Transportation that also benefiting the country’s defense prospects.

The role of the Philippine Coast Guard, along with the budgets allocated by the Department of Transportation in the West Philippine Sea projects, shows that the country’s national defense efforts encompass the national government at-large, and not just the ones in the front-lines like the Armed Forces of the Philippines. 

The support among government agencies ensures that territorial integrity also comes with improving presence by providing better infrastructure for the assigned outposts to benefit.

Ultimately, the whole of nation approach in deterring the encroachment of a regional superpower in the country’s doorstep will come as a welcoming way forward in ensuring that the country’s citizenry and national interest will benefit, while making sure that the country is safe from threats that are now involving multiple domains, as the Chief of Staff of the Armed Forces of the Philippines mentions. As a country, the Philippines, with its citizens being united, stands against aggression posed against its own sovereignty.

To access the following documents, here are the following links below.

Here is an archived version of Volume 1-B webpage of the Department of Budget and Management or DBM.





(c) 2025 PDA.

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