THE PHILIPPINE government needs as much as P20 billion to sustain its “zero-balance billing” program in public hospitals, which guarantees patients no out-of-pocket expenses for covered services, the Department of Budget and Management (DBM) said on Monday.
“Based on our meeting with the Secretary (of Health) prior to the crafting of the National Expenditure Program, the number is roughly P20 billion, but this is still an initial estimate,” Budget Secretary Amenah F. Pangandaman told senators at a budget hearing.
She said the amount has been factored into the proposed 2026 budget of the Department of Health (DoH) for regional and specialty hospitals, as well as for the Philippine Health Insurance Corp. (PhilHealth).
The DoH was allocated P320.5 billion under the 2026 National Expenditure Program (NEP), up 29% from P248 billion this year. PhilHealth will get P53.3 billion.
During the hearing, Senator Paolo Benigno “Bam” Aquino IV asked if the allocation would be enough to fully implement the program. “With the current NEP, can we already achieve zero-balance billing?”
“That is the idea,” Ms. Pangandaman replied. “But we will know the exact numbers as we go along. We just started the program this year.”
“Zero-balance billing” applies to patients admitted in ward-type hospital accommodations. Under the program, PhilHealth shoulders the full cost of covered services — including room and board, medicines, laboratory tests and professional fees — ensuring that patients do not pay anything on top of their coverage.
Funding comes from multiple sources: the DoH’s Medical Assistance to Indigent and Financially Incapacitated Patients program, Philippine Charity Sweepstakes Office, Philippine Amusement and Gaming Corp. and budget allocations for DoH hospitals.
On the sidelines of the hearing, Ms. Pangandaman said the DBM is awaiting the final computation from Health Secretary Teodoro J. Herbosa.
“In the 2026 budget proposal, we have provided an amount,” she told reporters, adding that DoH’s medical assistance program could provide support, while PhilHealth still has its P53-billion subsidy and regional state hospitals have expanded operations.
The program covers 87 DoH hospitals nationwide, including five facilities still under development and four run by government-owned and -controlled corporations. — Adrian H. Halili
