Philippines leads regional child-responsive public finance push

MANILA – The Philippines has strengthened its regional role in child-responsive public finance by bringing together eight South and Southeast Asian countries to exchange reforms and practical solutions for improving outcomes for children.

The Department of Budget and Management hosted the South-South Exchange from Aug. 18 to 20 with support from the European Union and UNICEF.

The three-day meeting focused on protecting critical social investments while making public spending more efficient, transparent and resilient amid mounting economic, fiscal and climate pressures.

Held under the EU-UNICEF Public Finance Facility in South and Southeast Asia, the exchange gathered representatives from Bangladesh, Bhutan, Mongolia, Nepal, the Philippines, Sri Lanka, Thailand and Viet Nam.

Participants addressed the common challenge of protecting investments in children when governments have limited fiscal space.

The countries shared approaches for improving the efficiency and effectiveness of social-sector spending.

They also discussed ways to protect essential programs during periods of fiscal constraint.

Another focus was strengthening public finance systems against economic and climate shocks.

Participants exchanged experiences involving budget tagging, expenditure tracking, evidence-based planning and the Social Sector Dashboard Budget Tracker.

These tools help governments determine whether public resources reach quality education, health and nutrition, child protection and social protection programs.

The mechanisms also allow authorities to assess whether public investments produce better outcomes for children and their families.

The discussions came as the Philippines continued its transition toward upper-middle-income status, increasing the need to translate economic gains into stronger institutions and more resilient social systems.

“The conversations over the past three days reaffirmed our resolve to invest in systems that protect children’s rights and ensure that all children, especially the most vulnerable, enjoy better outcomes. As the Philippines continues its transition to upper-middle-income status, this partnership helps ensure that economic progress is matched by stronger public finance systems so that every investment brings us closer to better, more equitable outcomes for children,” said Kyungsun Kim, UNICEF Philippines Representative.

DBM Acting Secretary Kim Robert C. De Leon said stronger public financial management should ensure government investments create lasting improvements in people’s lives, particularly those of children.

“Spending for our children should never be seen merely as a cost. When we invest in a child, the return is measured not only in pesos or percentages, but in healthier lives, better opportunities, stronger communities, and ultimately, stronger nations. Here in the Philippines, this principle continues to guide how we strengthen our public financial management system. Our commitment to children is firmly anchored in their rights and welfare,” said Acting Secretary De Leon.

The South-South Exchange is the flagship knowledge-sharing platform of the EU-UNICEF Public Finance Facility.

The platform enables governments across South and Southeast Asia to learn from one another and advance reforms covering the planning, allocation, tracking and use of public resources for children.

The 2026 exchange concluded with the participating countries identifying key lessons and renewing their commitment to reforms that make public finance systems more responsive, accountable and results-focused.

“The European Union’s partnership with UNICEF through the Public Finance Facility reflects the broader ambitions of the Global Gateway Strategy. Global gateway is the European Union’s strategy to engage with partner countries. It is often associated with investments in connectivity and infrastructure, but it is equally about investing in the foundations of sustainable development: strong institutions, good governance and human capital”, said Frederic Grillet, Chargé d’Affaires of the Delegation of the European Union to the Philippines.

The EU launched its Global Gateway strategy in 2021 to strengthen digital, energy and transport connections as well as health, education and research systems worldwide.

The strategy aims to mobilize as much as EUR 300 billion in investments through 2027, according to the European Commission.

Since its launch in 2019, the EU-UNICEF Public Finance Facility has received an EUR 3 million contribution to support governments in strengthening public financial management systems that benefit children.

The facility provides technical assistance, knowledge sharing and policy engagement to help governments analyze how public funds are allocated and spent.

It also generates evidence for policy and budget decisions while strengthening transparency and accountability in public spending for children.

In the Philippines, the initiative complements UNICEF’s Child Rights-based Public Finance Strategy for 2024 to 2028, which seeks to improve access to social services and make public resources more effective and equitable for every child.