The last decade has witnessed a very active government expenditure program in the Philippines. Although the country’s national government expenditures as a proportion of GNP have been lower compared to other Asian countries, it has been high relative to available budgetary resources. This paper studies the trends in public expenditure and the practices related to planning, programming and budgeting. Moreover, this study sheds light on the course of future government action in terms of expenditure priorities and institutional budget reforms.