Corruption is the nation’s crippling affliction – the core reason for its perennial underperformance and prevalence of poverty. While the majority of Filipinos live from hand to mouth, the political elite roll in scandalous wealth.
The culture of corruption took deep root under Marcos Senior and, over the decades, was institutionalized at every level of government. It reached its most brazen form under Marcos Junior. These days, public service is no longer a calling – it has become a shortcut to wealth and privilege.
As lawmakers and public officials jostle to extract more and more resources from the state, government has grown increasingly inept in most of its functions.
It is inept at carrying out simple infrastructure projects without it being overpriced and/or shoddily constructed (if the project exists at all). It is inept at managing public facilities like airports, railways and toll roads without making it to the list of the world’s worst. It must rely on the private sector to operate them.
It is inept at providing quality public services, be it by way of education or health care. It is inept at supporting the arts, sciences, patrimony and sports in the manner they deserve. It is inept in carrying out justice in an expeditious manner. It is inept at maintaining decent public spaces without flooding them with ugly billboards for quick profits. The list goes on.
In short, corruption has rendered government incompetent. The trajectory of the country will only improve once this culture of corruption is dismantled and replaced by one grounded on integrity.
The scale of corruption
Under the Marcos administration, ‘unprogrammed appropriations’ (UAs) – or budget items without a defined purpose – ballooned to record levels.
In 2023, UAs hit P807.16 billion, more than triple the Duterte-era peak. It reached P731.45 billion in 2024 and P363.24 billion in 2025. These funds carry minimal oversight and are fertile ground for abuse.
Unprogrammed appropriations are only the tip of the iceberg. Add the cost of economic sabotage like tax fraud, kickbacks, ghost projects, etc. Smuggling alone reached startling proportions last year. The Bureau of Customs seized P85.167 billion worth of illicit goods. This does not count the value of goods that slipped through the cracks. Meanwhile, the Department of Finance estimates losses of P35 billion from tobacco smuggling alone.
And then there are rigged bids. Take the P210-billion Bataan-Cavite Interlink Bridge as an example. Insiders reveal that multiple Chinese state-owned enterprises are bidding for the contract. On paper, it looks like healthy competition. In reality, they are one and the same bidder – the Chinese government. Corruption is seemingly at play again at DPWH to favor the Chinese.
Experts estimate that corruption drains some P1.6 trillion annually – roughly 25 percent of the national budget. Redirecting even a fraction of this to education, infrastructure or the AFP’s modernization could fundamentally alter the nation’s future.
Leadership?
By running for president, Marcos Junior effectively applied for the nation’s Chief Executive post. Any responsible chief executive would first confront the country’s deepest ailment with resolve and determination. He did the opposite. Instead of dismantling the machinery of corruption, he entrenched it further by approving three consecutive budgets swollen with pork and UA’s.
Neither did he successfully resolve the pressing problems of ease in doing business, food insecurity and the uncontrolled prevalence of political dynasties. The latter is the most damaging defect in our political system. Marcos appears perfectly fine with the status quo. His actions showed no intention of becoming a transformative leader.
And to address the people’s rage over the scale of corruption, his response was to outsource the fight to the ICI – a commission ill-equipped to confront entrenched interests and constrained by limited powers. By letting the ICI take the lead, Marcos neatly cast himself as a bystander ‘awaiting findings,’ sidestepping direct accountability.
It’s been three months since the investigation into the flood-control anomalies began, yet no arrests have been reported. No hold-departure orders have been issued (only lookout notices). Asset-freezing is limited to a few lower-level officials and Zaldy Co’s passport is still valid.
Instead, we are given endless promises that ‘cases will soon be filed.’ ICI hearings are not conducted in a transparent manner but behind closed doors. Focus is on the small fry, not on the real plunderers in the legislature. Marcos’ promise that justice will be swift and blind is sounding like rhetoric.
There is growing fear that Marcos is orchestrating a whitewash to shield certain allies while assuaging public outrage by arresting a few sacrificial lambs. The pattern is familiar – scapegoats for optics, protection for the powerful.
Meanwhile, no meaningful reforms have been introduced to dismantle the machinery of graft – save for the ombudsman’s move to grant public access to officials’ SALNs. Too little, too slow. Why this administration continues to drag his feet on enacting reforms remains a mystery.
As an economist who worries about the country’s economic future, I could be more forgiving of PBBM’s weak leadership if the economy was doing well. But it too is losing steam under this status quo leadership. I’ve lost count of the number of times the economy’s growth rate was slashed. Foreign investments and exports are flagging while that of our neighbors’ surge. The budget deficit is at new heights while public debt is now at P16.31 trillion. No new competitive industries developed. Economic competitiveness is waning due to government’s inability to address systemic flaws.
President Marcos’ rhetoric has been loud, but his results are wanting. Yet, a window for redemption remains. If he confronts the culture of corruption head-on – by instituting genuine anti-graft reforms and restoring integrity in public service – he may still reshape the perception of his leadership.