GOCCs' Dividends Reach Almost PHP40 Billion In First Four Months

The Department of Finance (DOF) disclosed that dividends collected from government-owned or -controlled corporations (GOCCs) during the first four months of the year totaled PHP39.8 billion, representing a substantial increase compared to PHP8.0 billion recorded in the same period last year.

The Philippine Charity Sweepstakes Office (PCSO) was named as a significant contributor, hauling in PHP2.67 billion. I Photo: Patrickroque01 Wikimedia Commons

Under Republic Act 7656, all GOCCs are mandated to declare and remit at least 50 percent of their annual net earnings to the national government. These dividends play a crucial role in funding the accelerated implementation of infrastructure and various social and economic programs.

To bolster funding for priority projects under the administration of President Ferdinand R. Marcos Jr., Finance Secretary Ralph Recto increased the dividend rate remittance from GOCCs to 75 percent from their net earnings for 2023, up from the minimum requirement of 50 percent stipulated in Republic Act 7656.

In 2023, dividends from GOCCs surged by 46 percent to PHP99.98 billion compared to PHP68.34 billion in 2022.

Data from the DOF revealed that the Bangko Sentral ng Pilipinas (BSP) topped the list of dividend contributors in 2023 with PHP55.61 billion, followed by the Philippine Deposit Insurance Corporation (PDIC) with PHP14.05 billion.

Other significant contributors included the Philippine Amusement and Gaming Corporation (PAGCOR) with PHP6.96 billion, the Philippine Ports Authority (PPA) with PHP4.44 billion, the Power Sector Assets & Liabilities Management Corporation (PSALM) with PHP3.15 billion, and the Philippine Charity Sweepstakes Office (PCSO) with PHP2.67 billion.