The Philippine government has announced that it will allocate PHP9.3 billion ($185 million) in cash assistance to vulnerable sectors through the Targeted Cash Transfer (TCT) program.
The move comes after inflation exceeded expectations and reached 8.7% in January, hitting a 14-year high.
Finance chief Benjamin Diokno has said that the government is considering a two-month subsidy for consumers, which will be a continuation of the TCT.
The Department of Social Welfare and Development (DSWD) will implement the TCT, and each recipient will receive PHP1,000 (AED 66) or PHP500 (AED 33) each month.
Diokno did not say when the program would officially begin, but he stated that it would cover the “poorest of the poor” beneficiaries in addition to those under the Pantawid Pamilyang Pilipino Program (4Ps).
When asked whether the extension of the TCT would be the last subsidy from the government amid rising inflation, Diokno sounded uncertain.
“There’s no last or never. We might still need it so we cannot say if it’s really the last or whether we will still continue,” Diokno said.
Last month, the government concluded its PHP500 (AED 33) cash aid for low-income households affected by the continued increase in commodity prices, with a total of PHP18.3 billion ($365 million) in subsidies released.
Initiated by the Duterte administration, the program granted cash aid amounting to PHP500 per month for six months to poor households identified by the DSWD.
It was meant to cushion the effects of the increase in the prices of fuel and other non-fuel commodities on vulnerable groups.
The program expired on 31st December 2022 with the last payout of obligated subsidies distributed from 4th to 14th January 2023.
The two-month extension could also be a signal that the economic team is expecting inflation to start cooling down by the second quarter of the year.
Diokno said the February inflation print could still be around the same level as last month before dropping by around April.
How to be eligible?
If you think you belong to the “poorest of the poor” and would like to receive the proposed cash aid, you need to visit the nearest Department of Social Welfare and Development (DWSD) and fill out an application form. Upon submission, the DSWD will check your application and schedule you for interview.
During the interview, you will be assessed if you are qualified for the financial assistance.
Once approved, the applicant will be given a schedule when they can cash out the assistance.
