Senate OKs bill promoting transparency, public accountability

The Senate approved on third and final reading a bill, which promotes greater transparency and public accountability in the formulation and implementation of the executive department’s economic policies.

Senate Bill 483 or the proposed Fiscal and Monetary Report Act of 2017, requires the secretaries of the Department of Finance (DOF), the National Economic and Development Authority (NEDA), and the Department of Budget Management (DBM), as well as the governor of the Bangko Sentral ng Pilipinas (BSP), to appear before a joint congressional oversight committee twice a year to report on the current fiscal status of the government.

Sen. Sherwin Gatchalian, chairman of the Senate Committee on Economic Affairs, sponsored the measure on the floor. Senate President Pro Tempore Ralph Recto is the principal author of the measure.

“This legislation will ensure transparency in the government’s monetary and fiscal policy direction by mandating public disclosure of information to lawmakers. Under the measure, Congress will be regularly updated on the real economic status of the government,” he said.

Under the bill, monetary and fiscal managers shall report before the newly-created joint congressional oversight committee on fiscal and monetary policies, which will be chaired by the chairperson of the Senate Committee on Economic Affairs, with the chairpersons of the Senate Committees on Finance; Ways and Means; and Banks, Financial Institutions and Currencies serving as members.

The Senate minority bloc shall appoint an additional member to represent the group in the oversight committee.

The contingent of the House of Representatives, on the other hand, will be led by the chairperson of the Committee on Economic Affairs, with the chairpersons of the House Committees on Appropriations; Ways and Means; Economic Affairs, and Banks and Financial Intermediaries, as well as a representative chosen by the House minority bloc, serving as members.

The proposed legislation requires the DOF to lead discussions on the government’s fiscal policy and submit a written report on the consolidated public sector financial position, national government debt service expenditures, foreign and domestic borrowings, national government revenues and national government financing program and outstanding debt.

Gatchalian said the biannual reporting would enhance public accountability and strengthen fiscal responsibility, consistent with the country’s commitment to good governance under the Philippine Development Plan 2017-2022.

He explained the proposed measure provides lawmakers the forum to meticulously review government’s spending habits and planning strategies, compared to the present system where congressional oversight of fiscal management is limited to budget analysis during the annual budget season.