DOF letter to DBM on PITC funds

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Republic of the Philippines

DEPARTMENT OF FINANCE Roxa‘ Boulevard Comer Pablo Ocampo, Sr. Street Manila 1004

HON.WENDEL E. AVISADO Secretary Department of Budget and Management Boncodin Hall, General Solano Street San Miguel, Manila

Dear Secretary Avisado: This refers to the cash and investment balances held by Philippine International Trading Corporation (PITC) representing fund transfers from several National Government Agencies (NGAs) for the procurement of the various requirements of these agencies. This amounts to P33.3 Billion and P32.6 Billion as of the end of 2019 and October 31, 2020. These are considered trust liabilities by PITC. Following our discussion, we would like to request fo r the endorsement to the President by the Department of Budget and Management (DBM) for the return to the Bureau of the Treasury (BTr) of the various fund transfers to PITC by certain government agencies, pursuant to DBM's guidelines on the matter. This is in line with our continuous efforts to identify sources of fiscal space and to accommodate the country's various medical and social needs as a result of the pandemic, compounded by the successive calamities which recently hit the country. Attached as Annex A is the list of fund transfers to PITC from different NGAs. The status of the top ten fund transfers is presented as Annexes A-1 to A-10. They represent eighty percent of the outstanding balance of the transferred funds held by PITC. Thank you.

Very truly yours.

CARLOS G. Secretary of Finance r

NOV 25 2020






































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