Senator Sherwin Gatchalian highlights the need for increased government funds to support the repatriation of Overseas Filipino Workers as Middle East tensions escalate.
The Philippine government requires an extra 7 billion pesos to effectively carry out repatriation of Overseas Filipino Workers (OFWs) should the ongoing conflict in the Middle East deteriorate further, Senator Sherwin Gatchalian stated on Sunday. According to Gatchalian, the total estimated fund needed is 13 billion pesos, accounting for documented and undocumented workers. Currently, 6 billion pesos have been allocated in the 2026 national budget for this purpose, leaving a gap of 7 billion pesos to be sourced.
The Department of Migrant Workers has also indicated the necessity for supplemental funding in a worst-case scenario to secure safe repatriation operations. Meanwhile, the Overseas Workers Welfare Administration reported an increase in repatriation costs per individual from an initial estimate of 135,000-140,000 pesos to potentially 150,000 pesos due to the escalating conflict.
On related economic impacts, Senator Gatchalian warned against hasty suspension of excise taxes on fuel, describing it as a measure of last resort because it could reduce government revenue by about 15 billion pesos monthly, affecting public services. He also emphasized the inequity of such tax suspensions, benefitting primarily wealthier fuel consumers. Furthermore, Gatchalian opposed suspending the value-added tax (VAT) on petroleum products, citing its complexity and potential negative effects on suppliers.
In contrast, Parañaque City Second District Representative Brian Yamsuan supports preemptive measures such as reducing fuel use, lowering fuel taxes, and providing subsidies to vulnerable sectors. Yamsuan advocates for amending the Tax Reform for Acceleration and Inclusion (TRAIN) Law to better address the current crisis, noting that excise taxes are automatically suspended if global oil prices remain above $80 per barrel for three consecutive months.
Gatchalian also called on the Department of Energy to monitor oil companies and retailers closely to prevent profiteering amid expected significant fuel price hikes. Estimated minimum price increases for the following week are 19 pesos per liter for diesel, 9 pesos for gasoline, and 31 pesos for kerosene.
Sources referenced:
- https://www.gmanetwork.com/news/topstories/nation/979185/p7b-more-needed-for-ofw-repatriation-amid-middle-east-conflict-win-gatchalian/story/
