The Philippines' poorest families will get an additional ayuda or cash aid of P200 per month, Malacañang said Wednesday to cushion the blow from rising fuel prices.
President Rodrigo Duterte approved the proposal of the Department of Finance to retain the excise tax on fuel and distribute the targeted subsidies.
“Inaprubahan ng Pangulo ang dalawang rekomendasyon ng Department of Finance o DOG kaugnay sa pagtaas ng fuel price: una, pag-retain ng fuel excise taxes...At pangalawa, ang pagbibigay ng targeted subsidies na P200 bawat household to the bottom 50% of Filipino households,” Communications Sec. Martin Andanar said.
While the P200 monthly subsidy for poor families is not enough, it's what the government "can afford as of this time", Finance Sec. Carlos Dominguez III earlier said in proposing the subsidy.
"We propose to provide additional relief through an unconditional cash transfer to the poorest 50% of our population. We propose that we will give them an additional P200 per month or P2,400 per year," Dominguez told President Rodrigo Duterte in a late night meeting aired on Wednesday.
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The government will need P33.1 billion to cover the P200 monthly subsidy for some 12 million households according to Dominguez. This will translate to aid for around 70 million people, he added.
"Mr. President, we realize this is not enough but this is what we can afford as of this time. And to make sure our finances going forward and especially for the next administration are still going to be healthy, this I believe is what we can afford,” Dominguez said.
Several groups have called for a minimum wage hike to cope with the rising prices of goods, particularly fuel, aggravated by the war in Ukraine.
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