Philippines DPWH faces massive infrastructure project payouts

Newly appointed Public Works Secretary Giovanni Lopez announced that the Department of Public Works and Highways (DPWH) must disburse billions of pesos for legitimate infrastructure projects before the end of the year. Lopez noted that many contractors remain unpaid for completed works because investigations into anomalous flood control projects have disrupted disbursements.

Lopez is coordinating with the Department of Budget and Management to arrange the release of necessary cash allocations for the final quarter of 2026. He indicated that the agency faces substantial outstanding payments from both the current and previous years.

Outgoing Secretary Vince Dizon concluded his tenure amid a significant cleanup effort. Dizon reported that 29 contractors were blacklisted or suspended, more than 80 personnel were removed from their posts, and 39 court cases were filed regarding flood control anomalies. Additionally, over 50 individuals have been detained or are facing arrest warrants related to these investigations.