Dennis Gasgonia

Article (news)

Victoria Tulad

ABS-CBN News

<p>MANILA — The Department of Transportation will increase the subsidy given to participants of the Public Transport Modernization Program (PTMP) to P400,000 in 2026 from the current P260,000. </p><p>This, according to DOTr, after Deputy Majority Leader Risa Hontiveros pointed out the unbankability of PTMP in the Development Bank of the Philippines (DBP), during the Senate plenary deliberation of the proposed 2026 budget. </p><p>“There were reports that indicate that the Development Bank of the Philippines has suspended its Pasada Loan program for transport cooperatives and is proposing to raise the required equity or downpayment from 5% to a staggering 25% due to a past due rate of 25% among borrowers,” Hontiveros said on Thursday.</p><div><a href="https://www.abs-cbn.com/news/nation/2025/4/7/dotr-chief-unconsolidated-jeepney-drivers-will-be-allowed-on-roads-again-1846"><strong>DOTr chief: Unconsolidated jeepney drivers will be allowed on roads again</strong></a></div><p>“Aware ba ang bank na pagtaas ng equity requirements sa 25% sa unit na nagkakahalagang P2.8 million pesos, ay pupwersahin ang isang kooperatiba na mag-shell out ng P700,000 bawat jeepney sa upfront cash. Considering that the government subsidy is only P260,000,” she added. </p><p>Sen. JV Ejercito, DOTr’s budget sponsor, said the subsidy will be increased to P400,000 in 2026.</p><p>DOTr will also negotiate with banks &quot;to really lower the interest rates from DBP and Land Bank,&quot; Ejercito said.</p><p>“They agree that 5% will be the starting.”  </p><p>DOTr is also negotiating with the DBP and Land Bank to restructure debts, and hopes to lower the price of modern jeepneys, which are about P2.5 million, to P1.2 million.</p><div><a href="https://www.abs-cbn.com/news/business/2025/7/25/local-electric-jeepney-makers-need-help-industry-group-1633"><strong>Local electric jeepney makers need help: Industry group</strong></a></div><p>Hontiveros also asked DOTr regarding the delayed route rationalization.</p><p>“Many consolidated cooperatives remain unbankable because the route rationalization plan, especially for Mega Manila, is severely delayed,” Hontiveros stated. </p><p>DOTr said route rationalization is currently at 36%. It’s targeted to reach 77% by mid-2026, and 100% by the end of next year.</p><div>  </div>

<p>The Department of Transportation (DOTr) will increase the subsidy given to participants of the Public Transport Modernization Program (PTMP) from P260,000 to P400,000 in 2026. </p>

The Department of Transportation (DOTr) will increase the subsidy given to participants of the Public Transport Modernization Program (PTMP) from P260,000 to P400,000 in 2026.

DOTr to increase public transport modernization subsidy to P400K in 2026

News

Entertainment

Lifestyle

Sports

Metro.Style

More

Sudoku

Word of the Day

Lotto

Horoscope

Business

DOTr to increase public transport modernization subsidy to P400K in 2026

Victoria Tulad,

ABS-CBN News

Published November 27, 2025 07:11 PM PHT

Read More:

DOTR

jeepney modernization

ptmp

risa hontiveros

jv ejercito

ABS-CBN Newsletter

Your go-to source for the latest news, entertainment highlights, exclusive interviews, and updates on your favorite Kapamilya stars.

ABS-CBN Newsletter

Your go-to source for the latest news, entertainment highlights, exclusive interviews, and updates on your favorite Kapamilya stars.

Sign Up

I have read and agree to the Terms and Privacy Policy.

ABS-CBN is the leading media and entertainment company in the Philippines, offering quality content across TV, radio, digital, and film. Committed to public service and promoting Filipino values, ABS-CBN continues to inspire and connect audiences worldwide.

Corporate

Investors

Governance

International Distribution

Corporate

Governance

Investors

International Distribution

NPC Seal of Registration

Privacy Policy

AI Policy

Terms of Service

Advertise with Us

© 2026 ABS-CBN Corporation. All Rights Reserved.

NPC Seal of Registration

Privacy Policy

Terms of Service

AI Policy

Advertise with Us

© 2026 ABS-CBN Corporation. All Rights Reserved.

NPC Seal of Registration

Privacy Policy

Terms of Service

AI Policy

Advertise with Us

© 2026 ABS-CBN Corporation. All Rights Reserved.