Marcos makes Compass the government's one-stop spending transparency hub

President Ferdinand Marcos Jr. has signed an executive order making the government's online spending tracker the official platform for Filipinos to see how their tax money is used, with plans to bring in blockchain technology to keep the system secure and up to date.

Executive Order No. 126, signed on Sept. 28 and published on the Official Gazette website the next day, institutionalizes the Centralized Open Monitoring Platform for Appropriations and Spending Statistics, better known as Compass. The platform, which went live on June 26, lets anyone search government expenditures by agency, funding source, purpose and fiscal year.

The order allows Compass to use distributed ledger technology, including blockchain, for publishing budget, expenditure, procurement and other transparency-related information. It also expands the platform's scope beyond tracking allocations and spending to include program implementation status, financial performance, procurement details and other data generated throughout the national budget cycle.

What does EO 126 mean for ordinary Filipinos?

Executive Secretary Ralph Recto framed the move in simple terms. Transparency and accountability should not be complicated, he said in a statement on Wednesday. The Filipino people have the right to know how their money is being used, and whether that spending is delivering results.

Every peso comes from the people, Recto added. They should be able to see where it goes, what it pays for, and what the government delivers in return.

Under the order, national government agencies, government-owned and controlled corporations, and government financial institutions must submit and regularly update the information the DBM requires. Local government units are encouraged to use the platform as well.

Compass may also include data on public-private partnership projects and foreign-assisted programs, as long as public funds are coursed through national agencies or other government mechanisms. Information that could compromise national defense and security or violate the Data Privacy Act stays out of public view.

What happens to the Cadena bill?

The executive order comes as Congress weighs the proposed Citizen Access and Disclosure of Expenditures for National Accountability Act, or Cadena, which would strengthen public access to government spending information. The Senate approved its version in December last year and sent it to the House, but counterpart bills remain pending at the committee level even though the measure is a priority of the Marcos administration for the 20th Congress.

The EO does not replace the proposed law. It puts in place a working system now, while lawmakers continue to deliberate on the broader legislative framework.

How will Compass be managed and enforced?

The DBM leads implementation, with support from the Department of Information and Communications Technology, the Department of the Interior and Local Government, and the Department of Finance.

EO 126 also creates a Compass Council to oversee the platform's development. The council sets data standards and disclosure timelines, coordinates participating agencies, monitors compliance and recommends emerging technologies to keep the system secure. It must also develop policies to ensure the information shared is timely, reliable and accessible.

Public officers or employees who fail to comply may face administrative and disciplinary sanctions. The council, together with concerned agencies and representatives from civil society, academe, media and relevant industries, must issue implementing guidelines within 60 days from the order's effectivity.

The order takes effect 15 days after its publication in the Official Gazette or a newspaper of general circulation, which falls on Oct. 14.

For rural communities and local governments, the platform could become a practical tool for checking whether infrastructure projects in their towns are actually moving forward, and whether funds allocated for classrooms, health centers or farm-to-market roads are reaching their intended destinations. The DBM has said Compass will link with existing systems like the Philippine Government Electronic Procurement System and the E-Gov PH App, making it easier for citizens to follow the money from Manila down to the barangay.

Frequently asked questions about Compass and EO 126

What is Compass?

Compass is the government's unified online platform for budget, expenditure, procurement and program performance information. It was launched on June 26 and is now institutionalized under EO 126.

How can the public use Compass?

Anyone can search government expenditures by agency, funding source, purpose and fiscal year through the platform. It will also provide information on program implementation and completion status.

Will blockchain make government spending more transparent?

The EO allows Compass to use distributed ledger technology, including blockchain, for disclosing and consolidating transparency-related information. The Compass Council will recommend emerging technologies to keep the system secure and responsive.

When does EO 126 take effect?

The order takes effect 15 days after publication in the Official Gazette or a newspaper of general circulation, which is Oct. 14.