Metro Manila (CNN Philippines, December 9) — The House of Representatives approved on second reading a bill that proposes to extend the validity of the 2020 budget until end-2021 in a move to boost the economic stimulus efforts of the government.
During Wednesday’s session, the lawmakers approved House Bill No. 6656, which calls for extending the availability of the 2020 appropriations to December 31, 2021.
The measure aims to amend Republic Act No. 11465, or the General Appropriations Act of Fiscal Year 2020, to extend the availability of its funds to be able to finance infrastructure projects under the current fiscal year that have been subjected for procurement.
This bill’s third and final reading in the lower chamber is expected in the next few days.
Its counterpart bill in the Senate also seeks to extend the 2020 budget until end of 2021, while another aims to extend not only the 2020 spending bill but also Bayanihan 2, or the Bayanihan to Recover as One Act, until March 27, 2021.
Bayanihan 2 is set to expire on December 19 when Congress adjourns.
The government’s economic managers earlier said they are also looking at plans to extend the validity of both measures to serve as added stimulus that would spur the recovery of the Philippine economy next year.
The economy shrank by another 11.5% in the third quarter of this year as the global health crisis continued to hold back consumer spending and business activity.
However, the economic team expects better results in the last quarter of this year. By 2021, they expect the economy to grow by 6.5-7.5%, and further expand by 8-10% the following year.
READ: Economic team eyes 8-10% growth by 2022 after worse-than-expected plunge this year
