The Department of Finance (DOF) celebrated on April 24, 2023 126 years of serving the Filipino people as the country’s steward of sound fiscal policy.

“For 126 years, this institution has stood as the firm foundation of the Philippine economy through the performance of its core mandates – revenue generation, resource mobilization, and fiscal management,” Finance Secretary Benjamin Diokno said in his message during the 126th Anniversary Opening Ceremony at the DOF Office in Manila.

Founded in 1897 by the Revolutionary Government in the Spanish era, the DOF predates the establishment of the Republic of the Philippines.

Its primary role was to finance the revolution, education, and health programs through progressive taxation.

Since then, the DOF has undergone various organizational restructuring, positioning it as one of the leading agencies in the government today.

It is currently entrusted with the crucial task of generating funds for development and welfare programs that are consistent with the Marcos, Jr. administration’s 8-Point Socioeconomic Agenda.

By stewarding sound fiscal policy, the DOF guides the country towards building a resilient economy that is primed for robust growth.

“Now, we have the task of sustaining the recovery momentum and paving the path towards an economy that is more inclusive, sustainable, and prosperous than ever before,” Secretary Diokno said.

The DOF led the economic team in crafting the country’s first Medium-Term Fiscal Framework (MTFF) which was presented at the beginning of the new administration to serve as a roadmap towards macro-fiscal stability.

While the fiscal measures proposed under the Framework remain pending in the Congress, the DOF is committed to see through their passage and proper implementation.

Among these are the Real Property Valuation and Assessment Reform (RPVAR), Passive Income and Financial Intermediaries Taxation Act (PIFITA), Ease of Paying Taxes Bill, Single-Use Plastics (SUP) Bill, the Imposition of Value-Added Tax on Digital Transactions Bill, and the Rationalization of the Mining Fiscal Regime Bill.

On tax administration, the Bureau of Internal Revenue (BIR) and the Bureau of Customs have made significant strides in modernizing the government’s revenue systems. These efforts resulted in a significant jump in revenue collections by 18.0 percent year-on-year (YoY), from 3.0 trillion pesos in 2021 to 3.5 trillion pesos in 2022.

To bolster the government’s fiscal resources for public goods, the DOF stands at the forefront of negotiations with bilateral, multilateral, and international development partners to secure loans, official development assistance, and technical assistance for social programs, infrastructure projects, and human capital development initiatives.

These investments will boost productivity, generate employment, promote sustainability, enhance ease of doing business, and attract even more local and international investments in the long run.

On top of this, the DOF strongly supports public-private partnerships (PPPs) and has contributed significant inputs towards enhancing the country’s PPP mechanism to address investor concerns.

Secretary Diokno called on DOF officials and employees to “look to the future with a renewed sense of duty.”

“So take this moment to recall the triumphs and challenges that have brought us this far, and together, let us resolve to do even better for our constituents – the Filipino people – today and in the years to come,” he said.

The week-long anniversary celebration began with the opening of the sports festival, wherein DOF employees competed in basketball, volleyball, darts, table tennis, chess, and badminton.

Aside from these, the DOF offered seminars on self-defense, mental health, and project management, as well as outreach and clean-up drives.

Secretaries’ Hour with former finance chiefs

To cap the anniversary festivities, Secretary Diokno acknowledged the foundational work of former finance chiefs during the Secretaries’ Hour on April 28, 2023 at the Ayuntamiento de Manila in Intramuros, Manila. Former Prime Minister and Finance Minister Cesar E.A. Virata, former Finance Secretary Margarito B. Teves, and former Finance Secretary Cesar V. Purisima were in attendance.

“Macroeconomic resilience does not happen by chance. It springs forth from decades of prudent, responsive, and responsible fiscal management. And this is made possible by leaders who are willing to make tough choices in the face of economic, social, and political pressures,” Secretary Diokno said in his remarks.

Finally, Secretary Diokno made a toast in honor of his predecessors, reaffirming the Department’s commitment to deliver excellent and impactful public service for generations to come.

“To the good health of our former Finance Secretaries, my predecessors, to whom the country owes its deepest gratitude; To the enduring spirit of excellent and impactful public service that animates the Department of Finance; and to our continued pursuit of an equitable, sustainable, and dynamic economy that leaves no Filipino behind,” he said.