SONA 2026 | Build Better More Program: Scaling back expectations

THE Build Better More Program was envisioned as the Marcos administration’s answer to the country’s infrastructure deficit. But as the program enters its final stretch, the government is scaling back expectations-reflecting the persistent challenges that continue to hamper the delivery of major public works projects.

Data from the Department of Economy, Planning and Development (DepDev) showed that the government is now targeting the completion of 26 additional Infrastructure Flagship Projects (IFPs) worth P427.16 billion by June 2028, on top of the eight projects worth P82.24 billion completed during the first half of the administration.

The revised pipeline is down from an earlier projection of 52 IFPs that the agency said in September 2025 could be completed by the end of President Ferdinand R. Marcos Jr.’s term.

For Ateneo de Manila University (ADMU) economist Ser K. Peña-Reyes, the lower target reflects a more realistic assessment of the government’s capacity to deliver large-scale infrastructure projects.

‘From a governance perspective, the reduction highlights a recurring pattern in Philippine infrastructure programs: administrations often announce ambitious project pipelines, but actual delivery is constrained by bureaucratic processes, financing, procurement, and land acquisition issues,’ Peña-Reyes told the BusinessMirror.

He noted that similar adjustments were made under the Duterte administration’s Build, Build, Build program, suggesting that the revised target is not unusual for long-gestation infrastructure programs.

The economist’s assessment mirrors the challenges identified by government itself. According to DepDev Undersecretary Joseph J. Capuno, several longstanding implementation issues continue to weigh on the delivery of major infrastructure projects.

‘For ongoing projects, the usual concerns are right-of-way, procurement, permits, funding releases, utility relocation, and contractor performance,’ he told the BusinessMirror in an earlier interview.

Among the projects completed so far are the Panguil Bay Bridge; Central Luzon Link Expressway (CLLEX); Samar Pacific Coastal Road Project; Arterial Road Bypass Project Phase 3; Pasig-Marikina River Channel Improvement Project Phase 5; Integrated Disaster Risk Reduction and Climate Change Adaptation Measures in Low-Lying Areas of Pampanga; Flood Risk Improvement and Management Project for Cagayan de Oro River; and Philippines Covid-19 Emergency Response Project.

DepDev data showed that transport and connectivity projects account for the largest share of IFPs targeted for completion by 2028, with 13 projects worth P188.65 billion in the pipeline. These include roads, bridges, ports and other transport facilities designed to improve the movement of goods and people.

Water resource projects comprise the second-largest segment, with five projects worth P58.58 billion focused on water supply, sanitation, flood control and irrigation. The agriculture sector accounts for three projects valued at P36.08 billion.

The remaining projects cover power and energy, health, tourism, housing and other infrastructure sectors valued at P143.85 billion.

The government’s infrastructure push is also unfolding amid efforts to restore public confidence in public works spending following last year’s controversy involving alleged irregularities in flood control projects.

The controversy coincided with one of the weakest years for project delivery under the Build Better More program. Despite Depev’s earlier projection that seven flagship projects would be completed in 2025, only one project reached completion during the year.

Former Socioeconomic Planning Secretary Dante B. Canlas said the controversy contributed to tighter budget conditions for infrastructure spending.

‘The tightening worsened with the profound slowing down of real [gross domestic product] growth, which has been accompanied by a decline in [government] revenues,’ he told the BusinessMirror.

Signs of the slowdown have also directly emerged in public construction activity. National accounts data showed public construction growth decelerated from 7.1 percent in the first quarter of 2025 to 0.9 percent in the second quarter, before contracting by 0.2 percent in the third quarter and 9.2 percent in the fourth quarter.

The sector remained in negative territory in the first quarter of 2026, posting a 4.5 percent contraction.

Peña-Reyes said the controversy is unlikely to derail the government’s flagship infrastructure agenda but may lead to tighter oversight and a more cautious approval process.

‘The key question is whether the government can demonstrate that lessons from the flood-control controversy are being addressed through stronger accountability and project monitoring,’ he added.

Added risks

Beyond domestic governance issues, Canlas said external risks could also influence the pace of infrastructure spending.

He noted that a sustained easing of tensions in the Middle East could support global economic recovery and help improve government revenues, giving the Philippines more fiscal space to pursue infrastructure projects.

However, he warned that renewed disruptions to oil and gas shipments through the Strait of Hormuz could prolong pressures on public spending and weigh on the government’s infrastructure program.

‘Failing this, the funk in infrastructure-[development] spending by the [Philippine government] will persist,’ he emphasized.

On June 17, the United States and Iran signed a memorandum of understanding (MOU) extending their ceasefire and paving the way for the reopening of the Strait of Hormuz, a critical maritime chokepoint that handles roughly a fifth of global oil shipments.

However, the agreement quickly came under strain after Iran accused the U.S. of violating its terms and announced on June 20 that it was again closing the strait.

The infrastructure testWith two years left in the Marcos administration, the focus is increasingly shifting from how many projects are in the pipeline to whether the government’s infrastructure push can deliver tangible economic gains despite domestic and global headwinds.

For Peña-Reyes, the success of Build Better More should not be measured solely by the number of projects completed before 2028.

‘Infrastructure programs succeed when they improve economic productivity and people’s daily lives,’ he said.

Beyond completion rates, he said the government’s infrastructure program should ultimately be assessed based on whether it reduces travel time and logistics costs, expands access to essential services, supports economic growth, promotes inclusion and poverty reduction, and strengthens the country’s resilience to future shocks.

As of the first quarter of 2026, the government’s infrastructure flagship pipeline consisted of 201 projects with a combined indicative cost of P10.28 trillion.

Of the total, 83 projects worth P4.57 trillion were under implementation as of end-March.

Another 28 projects valued at P1.23 trillion had secured approval and were preparing for execution, while three projects worth P47.28 billion were awaiting government approval.

The remaining 27 are still in the pre-project preparation stage, with a total value of P1.07 trillion.

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