Enhancing Financial Risk Management and Oversight of Philippine Government Owned or Controlled Corporations

State-owned enterprises help provide essential services and play a vital role in the Philippine economy. This report discusses how policymakers can strengthen governance and oversight of these corporations and enhance the identification and management of related fiscal risks. The report notes the importance of a common reporting standard for state-owned enterprises in the Philippines, which are known as government-owned or -controlled corporations (GOCCs). A clear framework for extending financial support will help streamline and strengthen monitoring, coordination, and decision-making processes, including budget approval, performance assessment, and fiscal risk reporting. Other recommendations include clarifying the roles and responsibilities of oversight agencies, better defining GOCC categorization, and ensuring that government support is viewed holistically. The report discusses reforms and policy actions introduced with support from the Asian Development Bank.