Manila: Malaca±ang announced that the national government currently possesses adequate funds to address the economic repercussions of the ongoing crisis in the Middle East, with no immediate intentions to seek loans from international lenders.

According to Philippines News Agency, during a press briefing, Palace Press Officer Claire Castro emphasized that the government has not engaged in discussions about obtaining additional financing to support response measures related to the oil price surge. Castro clarified this stance when questioned about the potential for securing international financing to bolster the government's response to the global spike in oil prices caused by tensions in the Middle East.

The government has initiated various measures to mitigate the impact of increasing fuel prices. These include fuel subsidies for public utility vehicle drivers and plans to seek congressional approval to temporarily reduce excise taxes on petroleum products if global oil prices exceed the USD80-per-barrel mark. Starting next week, public utility drivers are expected to receive a PHP5,000 fuel subsidy, funded by the Department of Social Welfare and Development's Assistance to Individuals in Crisis Situation (AICS) program.

Social Welfare Secretary Rex Gatchalian noted that President Ferdinand R. Marcos Jr. has directed the agency to allocate approximately PHP30 billion, nearly half of the AICS 2026 budget, as an initial response fund from the government. The volatility in oil markets has been exacerbated by escalating tensions in the Middle East, with concerns focusing on potential disruptions in key energy supply routes, such as the Strait of Hormuz, a critical oil shipping lane globally.

Malaca±ang has reassured the public of its diligent monitoring of global developments, while implementing strategies to safeguard consumers and vulnerable sectors from the effects of rising fuel prices.