TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
fi'Tl
of tijf ^p;al(U'p
25 SEP-2 A10:18
SENATE
S. B. No. 1330
RITOVCD B>;
Introduced by SENATOR BAM AQUINO
AN ACT
MANDATING THE ESTABLISHMENT AND IMPLEMENTATION OF A 
NATIONAL BUDGET BLOCKCHAIN SYSTEM TO ENHANCE TRANSPARENCY, 
ACCOUNTABILITY, AND PUBLIC PARTICIPATION IN THE PHILIPPINE
BUDGET PROCESS
EXPLANATORY NOTE
The national budget is one of the most important instruments of governance. 
It is not only a financial plan but also a reflection of national priorities, values, and 
commitments. However, for decades, budget documents have remained closed, highly 
technical and difficult to understand, even for those with the interest and initiative to 
scrutinize them.
This bill seeks to modernize budget transparency and accountability through 
the use of blockchain technology. The goal is not only to make sure that the budget 
is publicly available, but also to ensure that it is accessible, easy to understand, and 
open for citizen engagement.
With this measure, collaboration can be strengthened across the Executive and 
Legislative branches, along with civil society organizations and other stakeholders who 
play a vital role in sustaining and deepening democracy. When citizens are part of the 
process, public trust in government is restored.
Blockchain technology provides a powerful tool for this transformation. Its 
design guarantees accountability. Through blockchain, all budget transactions become 
transparent, immutable, and auditable. This ensures that every peso can be tracked 
by the public. No more "fly-by-night" contractors. No more hidden projects unknown 
to local governments. Prices of materials, such as cement or classroom construction 
supplies, can be easily compared across contracts. By harnessing the latest 
technology, blockchain ensures that every peso Is accounted for, and every 
citizen is empowered to know where it goes.
In view of the foregoing, the passage of this bill is earnestly sought.


TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
SENATE
1330
S. No.
ot tur *?(vrtai'p
25 SEP-2 fflOnS
RECEIVED BY.
Introduced by Senator Bam Aquino
AN ACT
MANDATING THE ESTABLISHMENT AND IMPLEMENTATION OF A 
NATIONAL BUDGET BLOCKCHAIN SYSTEM TO ENHANCE TRANSPARENCY, 
ACCOUNTABILITY, AND PUBLIC PARTICIPATION IN THE PHILIPPINE
BUDGET PROCESS
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
1 
Section 1. Short Title. - This Act shall be known as the "Philippine National
2 
Budget Blockchain Act."
3 
Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to
4 
promote transparency, accountability, and good governance in the management and
5 
disbursement of public funds. To this end, the State recognizes the potential of
6 
emerging technologies, such as blockchain, to enhance public trust by providing an
7 
immutable and transparent record of all government financial transactions. The use
8 
of blockchain ensures that all allocations, disbursements, procurements, and
9 
expenditures are permanently recorded, tamper-evident, and accessible to the public
10 
and oversight institutions in real time.
11 
Sec. 3. Definition of Terms. - As used in this Act:
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a) Blockchain refers to a distributed and cryptographically secured digital ledger
13 
that records transactions in a verifiable, immutable, and transparent manner;


1 
b) Bbckchain-based Budget System refers to a government-managed
2 
blockchain ledger that records, in real-time and immutable form, all transactions
3 
across the budget cycle;
4 
c) Digital Public Asset (DPA) refers to any budget-related record placed on
5 
blockchain, representing public funds as immutable and verifiable assets of the
6 
people;
7 
d) National Budget refers to the General Appropriations Act (GAA), which is the
8 
law that authorizes the government to spend a specific amount of money for various
9 
programs and projects;
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e) Smart Contract refers to self-executing code deployed on blockchain to
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enforce predefined conditions, including budget releases and compliance
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requirements; and
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f) Validator Nodes refer to independent verifying entities, including government
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agencies, academic institutions, and accredited organizations, that maintain and
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secure the blockchain's decentralization.
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Sec. 4. Establishment of the Bbckchain-based Budget System. - The
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Department of Information and Communications Technology (DICT), in coordination
18 
with the Department of Budget and Management (DBM) and Commission of Audit
19 
(COA), shall establish a blockchain-based budget system where all records of the
20 
national budget are recorded as DPAs.
21 
All records of the national budget, from budget preparation and legislation to
22 
execution and audit, shall be recorded into DPAs. Smart contracts may automate fund
23 
releases upon the fulfillment of verifiable milestones such as approval process and
24 
other documentation.
25 
A public-facing portal shall provide real-time access to DPAs, to enable citizens,
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COA, and oversight bodies to independently verify the flow of funds down to agencies,
27 
projects, and beneficiaries.


1 
All government financial systems including budgeting systems, disbursement
2 
tools, accounting applications, and reporting software shall be required to comply with
3 
blockchain interoperability standards. All data generated by such systems must anchor
4 
to the blockchain as DPAs, ensuring immutability, traceability, and public auditability.
5 
Sec. 5. Features of the Bbckchain-Based Budget System. - The blockchain-
6 
based budget system shall, at a minimum, embody the following features to ensure
7 
transparency, accountability, and reliability:
8 
a) Immutability - All transactions and entries recorded in the system shall be
9 
permanent and shall not be subject to alteration, deletion, or manipulation, thereby
10 
preserving the integrity of official budgetary data.
11 
b) Decentralization - Validation functions shall be distributed across multiple
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independent institutions, agencies, or designated entities to prevent concentration of
13 
control and to strengthen institutional accountability.
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c) Traceability - The system shall provide a verifiable chain of records that
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allows public funds to be 
tracked from their appropriation in the General
16 
Appropriations Act down to their utilization in specific projects, programs, or
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beneficiaries.
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d) Security and Resilience - The system shall employ robust cryptographic
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safeguards, redundancy mechanisms, and disaster recovery protocols to ensure
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continuous operation and to protect all data, processes, and accounts against
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tampering, breaches, or system failures.
22 
e) Interoperability - The system shall be designed to be compatible with, and
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adaptable to, existing and future government information systems and emerging
24 
technologies, thereby ensuring scalability, efficiency, and seamless integration across
25 
platforms.
26 
Sec. 6. Mandates of Implementing Agencies. -


1 
a) DICr shall serve as the lead implementing agency and is hereby authorized
2 
to engage and contract qualified private sector partners, technology providers, and
3 
academic institutions for the design, development, deployment, and maintenance of
4 
said system, subject to government procurement laws and regulations.
5 
b) DBM shall ensure the integration of the national budget process into the
6 
blockchain-based budget system including provision of timely and accurate data in
7 
coordination with DICT and other concerned agencies.
8 
c) COA shall integrate blockchain technology into its audit systems and
9 
processes and ensure that audit standards are aligned with blockchain-based
10 
recordkeeping.
11 
d) All government agencies, bureaus, office, commissions, and government-
12 
owned or controlled corporations shall integrate their financial management systems
13 
into the blockchain-based budget system and ensure timely submission of budget,
14 
procurement, and expenditure reports.
15 
Sec. 7. Implementing Rules and Regulations. - Within ninety (90) days from
16 
the effectivity of this Act, the DICT, in coordination with DBM and COA, shall
17 
promulgate the necessary rules and regulations for the effective implementation of
18 
this Act.
19 
Sec. 8. Appropriations. - The amount of Five Hundred Million Pesos
20 
(P500,000,000.00) is hereby appropriated from available funds in the National
21 
Treasury for the initial implementation of this Act. This shall cover the research,
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development, infrastructure setup, system integration, and capacity building required
23 
to transition to the blockchain-based budget system. Thereafter, such sums as may
24 
be necessary for its continued implementation and maintenance shall be included in
25 
the annual General Appropriations Act.
26 
Sec. 9. Separability Clause. - If any provision of this Act is declared
27 
unconstitutional, the remainder thereof not otherwise affected shall remain in full force
28 
and effect.


1 
Sec. 10. Repealing Clause. - All laws, decrees, orders, rules, and regulations or
2 
parts thereof inconsistent with this Act are hereby repealed or modified accordingly.
3 
Sec. 11. Effectivity. - This Act shall take effect fifteen (15) days after its
4 
publication in the Official Gazette or in a newspaper of general circulation.
Approved,