
By Benjamin Cuaresma
MANILA — The government has released P9.753 billion to address funding shortfalls in the implementation of the Free Higher Education (FHE) program in 108 state universities and colleges (SUCs), covering three academic years.
The Department of Budget and Management (DBM) said the money has been released to the Commission on Higher Education (CHED) to cover FHE requirements from academic years 2022-2023 through 2024-2025.
The funding will settle expenses that participating SUCs had earlier absorbed using their own institutional resources, easing pressure on their operating budgets.
CHED will channel the released funds to the concerned state universities and colleges through the Unified Student Financial Assistance System for Tertiary Education, following existing government guidelines.
The allocation is chargeable against CHED’s built-in appropriations under the 2026 General Appropriations Act and the Special Account in the General Fund-Higher Education Development Fund.
DBM Acting Secretary Kim Robert C. de Leon said the release demonstrates the government’s continued priority for education while maintaining fiscal discipline.
He said the nearly P10-billion allocation would help meet the financial requirements of SUCs without compromising the government’s broader fiscal objectives.
The reimbursement is expected to give SUCs greater flexibility in managing their institutional budgets.
Instead of continuing to absorb FHE-related expenses, universities can redirect available resources toward programs and services that directly benefit students and academic communities.
Potential areas for additional support include academic and research programs, student services, laboratories, libraries and information technology resources.
University medical, dental, guidance, athletic and cultural services could likewise receive additional support.
The funds may also be used for the rehabilitation, improvement and expansion of academic and other university facilities, provided that the projects comply with government budgeting, accounting and auditing rules.
The release comes as state universities continue to carry a major role in delivering the government’s free higher education program.
For the affected SUCs, the P9.753-billion release represents more than a settlement of past funding gaps.
It also provides much-needed fiscal breathing room that could allow them to strengthen campus facilities, academic programs and student services while continuing to provide tuition-free higher education.
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