Philippines military modernisation faces budget shortfall
The Philippine military's modernisation plan is at risk due to budget cuts, with the proposed fund for next year reduced from 126.97 billion pesos to 50 billion. Critics accuse President Marcos of paying lip service to the plan, which aims to enhance capabilities in the South China Sea.
The 2024 modernisation roadmap, valued at 1.9 trillion pesos, was designed to run until 2034, focusing on archipelagic defence and power projection in the South China Sea. Marcos's July address reiterated a commitment to the 2016 arbitral ruling that invalidated China's nine-dash line.
Defence Secretary Teodoro presented a proposed 126.97 billion pesos for next year, which was slashed to 50 billion by the budget department. Analyst Manuel Mogato argues that a minimum annual allocation of 100 billion pesos is necessary, and notes the current cut leaves no funding for new hardware, while Teodoro warns of a potential halt in recruit intake.
The budget reduction could significantly delay the military's capability upgrades, potentially affecting national security posture in contested waters. It may also impact personnel readiness, as a halt in recruitment could strain existing forces. Civilian communities near disputed areas could feel less secure if modernisation stalls, while the government's credibility on defence commitments may face scrutiny. The fiscal trade-off between immediate spending and long-term strategic goals could shape regional dynamics.