Department of Finance (Philippines)

Department of Finance
Kagawaran ng Pananalapi
Department overview
Formed	March 17, 1897
Headquarters	DOF Building, Roxas Boulevard corner P. Ocampo Street, Manila
Annual budget	P1.947 billion (2011)
Department executive	Cesar Purisima, Secretary
Website
dof.gov.ph

Department of Finance building.

The Philippines' Department of Finance (DOF) (Filipino: Kagawaran ng Pananalapi) is the executive department of the Philippine government responsible for the formulation, institutionalization and administration of fiscal policies, management of the financial resources of the government, supervision of the revenue operations of all local government units, the review, approval and management of all public sector debt, and the rationalization, privatization and public accountability of corporations and assets owned, controlled or acquired by the government.

History

The Department of Finance was established on March 17, 1897, at the same time that the Revolutionary Government was founded in Naic, Cavite. General Baldomero Aguinaldo was appointed Director of Finance by General Emilio Aguinaldo. The Finance Director became the Secretary of the Treasury under the first constitutional republican government, the Biak-na-Bato Republic.

In 1901, the Department of Finance and Justice was formally organized by virtue of an act passed by the Civil Service Commission, which was headed by William Howard Taft. Gregorio Araneta was the first Filipino appointed Secretary of Justice and Finance. In 1916, through Reorganization Act No. 2666 of the Philippine Legislature, the Department of Finance and Justice was split into two independent departments.

In 1936, DOF functions relative to the formulation and preparation of the Government's budget were transferred to the newly created Budget Commission. The preparation of income and resource estimates remained with the Department. In 1949, the Central Bank of the Philippines was established, Secretary of Finance Miguel Cuaderno relinquishes the Finance portfolio to Pio Pedrosa to enable him to serve as Governor of the Central Bank.

In 1970, Minister Cesar E. A. Virata, concurrently Prime Minister, was appointed Secretary. In 1974, with the adoption of the parliamentary form of government, the Department was changed to a Ministry.

In the 1980s, as government policy turned increasingly interventionist in the economy, the Ministry became the voice of caution. It spearheaded the creation of inter-agency committees to rationalize the otherwise free-for-all system of allocating government resources. The Investment Coordination Committee (ICC) was created to rationalize government investments, the Government Corporate Monitoring and Coordinating Committee (GCMCC) to reform the government corporate sector and the Fiscal to reverse the proliferation of the fiscal incentives.

In 1987, the Ministry of Finance was reverted to a Department following the ratification of the 1987 Constitution which provided for a presidential form of government. Accordingly, the Department was reorganized and its organizational structure, distribution of powers and functions, and coordination mechanisms were streamlined. In 1988, the Value Added Tax was introduced and replaced a complicated sales tax structure.

Through the Department's policies, which resulted in sound fiscal and monetary conditions, the Philippines was hailed as "Asia's Newest Tiger" by various international credit institutions and in 1997, the National Government recorded a budget surplus for the third consecutive year, and the public sector generated its fiscal surplus since the sector started to be monitored in 1985.

In 2004, the Japan Credit Rating Agency (JCRA) maintained its credit rating of "BBB" for the Philippines’ long-term foreign currency and domestic currency long-term senior debts for the government’s ability to manage its deficit and macro fundamentals. The rating is two notches higher than those of non-Asian rating agencies such as Moody's, Standard and Poor's, and Fitch.

Heads of the Finance Portfolio

Name	Term began	Term ended	President
Director of Finance
Baldomero Aguinaldo	April 1897	November 1897	Emilio Aguinaldo
Secretaries of the Treasury
Mariano Trias	July 15, 1898	May 9, 1899	Emilio Aguinaldo
Hugo Ilagan	May 9, 1899	November 13, 1899	Emilio Aguinaldo
Secretaries of Finance and Justice
Henry Clay Ide	September 1, 1901	September 24, 1906
James Francis Smith	September 25, 1906	June 30, 1908
Gregorio S. Araneta	July 1, 1908	October 30, 1913
Victorino Mapa	November 1, 1913	January 14, 1917
Secretaries of Finance
Victorino Mapa	January 1, 1917	January 14, 1917
Alberto Barreto	January 14, 1917	July 17, 1923
Miguel Unson	July 18, 1928	December 13, 1931
Vicente Carmona	January 1, 1932	December 31, 1932
Rafael Alunan	July 1, 1933	April 30, 1933
Vicente Encarnacion	April 23, 1933	July 24, 1934
Elpidio Quirino	July 25, 1934	February 18, 1936	Manuel Quezon
Antonio de Las Alas	February 19, 1936	November 15, 1938	Manuel Quezon
Manuel Roxas	November 26, 1938	August 28, 1941	Manuel Quezon
Serafin Marabut	August 21, 1941	December 29, 1941	Manuel Quezon
Jose Abad Santos	December 29, 1941	March 26, 1942	Manuel Quezon
Andres Soriano	March 26, 1942	July 31, 1944	Manuel Quezon
Jaime Hernandez	August 8, 1944	May 27, 1946	Sergio Osmeña
Elpidio Quirino	May 28, 1946	November 24, 1946	Manuel Roxas
Miguel Cuaderno	November 25, 1946	January 2, 1949	Manuel Roxas, Elpidio Quirino
Jaime Hernandez	January 1949	January 1952	Elpidio Quirino
Aurelio Montinola, Sr.	January 1952	December 1953	Elpidio Quirino
Jaime Hernandez	December 1953	January 1960	Ramon Magsaysay, Carlos P. Garcia
Dominador Aytona	January 25, 1960	December 29, 1961	Carlos P. Garcia
Fernando Sison	January 2, 1962	July 31, 1962	Diosdado Macapagal
Rodrigo Perez	August 1, 1962	January 7, 1964	Diosdado Macapagal
Rufino Hechanova	January 8, 1964	December 13, 1965	Diosdado Macapagal
Eduardo Romualdez	January 1, 1966	February 4, 1970	Ferdinand Marcos
Cesar Virata	February 9, 1970	June 2, 1978	Ferdinand Marcos
Ministers of Finance
Cesar Virata	June 2, 1978	March 3, 1986	Ferdinand Marcos
Vacant	March 3, 1986	March 26, 1986	Ferdinand Marcos
Jaime Ongpin	March 26, 1986	January 30, 1987	Corazon Aquino
Secretaries of Finance
Jaime Ongpin	January 30, 1987	September 14, 1987	Corazon Aquino
Vicente Jayme	September 15, 1987	December 1989	Corazon Aquino
Jesus Estanislao	January 1, 1990	June 30, 1992	Corazon Aquino
Ramon del Rosario	July 1, 1992	June 1, 1993	Fidel Ramos
Ernest Leung	June 2, 1993	January 31, 1994	Fidel Ramos
Roberto de Ocampo	February 1, 1994	March 30, 1998	Fidel Ramos
Salvador Enriquez	April 1. 1998	June 30, 1998	Fidel Ramos
Edgardo Espiritu	July 1, 1998	December 31, 1999	Joseph Estrada
Jose Pardo	January 2, 2000	January 20, 2001	Joseph Estrada
Alberto Romulo	January 23, 2001	June 30, 2001	Gloria Macapagal-Arroyo
Jose Isidro Camacho	June 30, 2001	November 30, 2003	Gloria Macapagal-Arroyo
Juanita Amatong	December 1, 2003	February 14, 2005	Gloria Macapagal-Arroyo
Cesar Purisima	February 15, 2005	July 15, 2005	Gloria Macapagal-Arroyo
Margarito Teves	July 22, 2005	June 30, 2010	Gloria Macapagal-Arroyo
Cesar Purisima	June 30, 2010	Present	Benigno Aquino III

Offices

Bureaus

• Bureau of Internal Revenue (BIR)
• Bureau of Customs (BOC)
• Bureau of the Treasury (BTr)
• Bureau of Local Government Finance (BLGF)

Offices

• Privatization and Management Office (PMO)

Agencies and Corporations

• Insurance Commission (IC)
• National Tax Research Center (NTRC)
• Central Board of Assessment Appeal (CBAA)
• Philippine Deposit Insurance Corporation (PDIC)
• Philippine Export-Import Credit Agency (PHILEXIM)
• Government Service Insurance System (GSIS)
• Social Security System (SSS)
• Public Estates Authority (PEA)
• Cooperative Development Authority (CDA)

Regional Offices

External links

• Department of Finance Philippines website

Coordinates: 14°33′41″N 120°59′14″E / 14.561466°N 120.987244°E / 14.561466; 120.987244