Confidential Funds Report

BUDGET ALLOCATION - Once confidential funds are incorporated into our national
budgets, it tends to become normalized or a regular allocation, diverting a
significant portion of the budget away from other sectors. This practice raises
concerns about resource allocation, potentially hindering development in areas like
education, health, and infrastructure.

POTENTIAL FOR MISUSE - The lack of transparency and accountability surrounding

confidential funds poses a risk of misuse. The funds, subject to less stringent
auditing and reporting, could be spent on activities not directly related to
national security. This lack of oversight has prompted calls for increased
disclosure and scrutiny to ensure responsible and effective use of these funds.
"Kung sino man ang kumontra ay kalaban ng kapayapaan"

NATIONAL SECURITY - While confidential funds are intended for national security
purposes, critics question their necessity for civilian agencies without clear
security mandates. This raises doubts about the appropriateness of allocating such
funds to departments like Agriculture and Education, suggesting that resources
could be more effectively utilized in areas that directly benefit the majority of
the population.

Impact on other Sectors - In the context of the Philippines, the proposed

allocation of P150 million in confidential funds for the Department of Education in
2024 has sparked criticism. Critics argue that these funds could be better utilized
to enhance the country's education system, emphasizing the need for a more careful
examination of priorities in budget planning.

In conclusion, the economic impact of confidential funds extends beyond national

security concerns, influencing budgetary allocations, transparency, and resource
distribution across various sectors. Striking a balance between security needs and
the effective use of public funds remains a crucial challenge for policymakers.