Philippine military says it needs P50 billion more to modernise

MANILA, 26 AUGUST 2026 —

PHILIPPINES SEEKS P50 BILLION FOR MILITARY MODERNIZATION TO BOLSTER BASES, STORAGE FACILITIES

Speaking before the House of Representatives Committee on Appropriations during a hearing on the Department of National Defense’s (DND) proposed 2027 budget, Teodoro emphasized that advanced weaponry alone is insufficient without the necessary support systems. “The equipment we use is just the tip of the spear,” he said. “But without the support systems for those pieces of hardware you see, everything will be just useless because they will be unsustainable.”

The DND has requested P50 billion under the Revised AFP Modernization Program for 2027, though the National Expenditure Program has allocated only P324.632 billion to the agency—43.32% below its proposed P572.787 billion. Of this allocation, P312.777 billion is earmarked for the AFP, P10.255 billion for DND civilian bureaus, and P1.599 billion for the Office of the Secretary.

Modernization, Teodoro stressed, extends beyond acquiring capabilities to ensuring adequate infrastructure for housing, maintaining, and operating advanced military assets. “Modernization is not merely a question of acquiring capabilities, but also providing adequate infrastructure to support capabilities,” he told lawmakers.

Strategic Bases and Logistical Hubs in Focus

The DND is prioritizing the development of strategic and logistical bases, particularly in central locations with access to the Philippines’ maritime domain, to enhance military presence and supply chains. Teodoro underscored the need for a broader network of facilities capable of serving as logistical hubs for troops deployed nationwide, with critical supplies stored across multiple locations to ensure frontline units have uninterrupted access to reserves.

Military infrastructure must also be upgraded to accommodate the size and weight of modern equipment, he added. The AFP is simultaneously strengthening its information technology and cyber capabilities, which Teodoro described as for command and control operations.

Addressing gaps in air mobility, Teodoro noted that the military’s fleet of approximately 46 Black Hawk helicopters remains insufficient for humanitarian assistance and disaster response missions. The Philippine Navy is continuing its acquisition of modern corvettes and frigates, while the Philippine Army is focusing on improving mobility and expanding its footprint across the archipelago.

Cybersecurity and Espionage Threats Highlighted

Teodoro also raised concerns over persistent efforts by foreign actors to recruit Filipino government personnel for intelligence gathering. Citing reports involving a former navy researcher, a former DND employee, and an individual linked to the Philippine Coast Guard, he revealed that these individuals were allegedly approached to prepare analyses or forward emails to handlers associated with the Chinese Communist Party in exchange for payment.

In one case known to Teodoro, personnel received emails offering paid side work involving papers for an alleged think tank. The requests grew increasingly detailed over time, prompting the employees to reject and report the approaches. “There are many other attempts,” Teodoro said. “As inventive as people are, the attempts to compromise are real,” he added, noting that no sensitive information was compromised in the case.

Job order and contract workers, Teodoro warned, may be particularly vulnerable due to government pay structures that struggle to offer competitive compensation to technical personnel. While the DND monitors government-issued IT equipment and conducts security vetting, Teodoro acknowledged that such recruitment attempts could recur. “Hacking is actually a war every day,” he said in mixed English and Filipino, emphasizing the need to detect and isolate compromises swiftly.

Support for Personnel in High-Risk Areas

Teodoro also endorsed the provision of hazard pay for civilian government personnel deployed in the South China Sea and other high-risk zones. He further suggested that housing benefits be considered, as personnel stationed in dangerous areas may face concerns over the safety and welfare of their families.

The AFP’s modernization push comes amid escalating tensions in the South China Sea, where overlapping territorial claims have led to frequent confrontations between Philippine and Chinese vessels. The military’s efforts to enhance its logistical and operational capabilities are seen as critical to safeguarding national sovereignty and ensuring rapid response in crisis situations.

Regional Implications and Malaysia’s Stake

For Malaysia, the Philippines’ push for military modernization carries strategic implications, particularly in the context of regional security dynamics. As both nations are claimants in the South China Sea, Manila’s efforts to bolster its maritime and logistical infrastructure could influence broader ASEAN security architecture.

Analysts suggest that enhanced Philippine military capabilities may contribute to a more balanced power equilibrium in the region, potentially deterring unilateral actions in disputed waters. However, the scale of Manila’s modernization program and its long-term sustainability remain key considerations for neighboring countries, including Malaysia, which is also investing in its own defense capabilities.

Forward-Looking: Balancing Ambition with Fiscal Realities

As the DND navigates budget constraints and competing priorities, Teodoro’s call for increased capital expenditure underscores the challenges of balancing modernization ambitions with fiscal realities. The proposed P50 billion allocation for the AFP Modernization Program remains subject to congressional approval, with lawmakers expected to scrutinize the DND’s spending plans closely.

For the Philippines, the path forward hinges on securing adequate funding while ensuring that infrastructure development keeps pace with equipment acquisition. With cybersecurity threats looming large and regional tensions persisting, the military’s ability to adapt and innovate will be critical in shaping its future readiness.

As Teodoro aptly noted, “The goal is to detect and isolate compromises as quickly as possible.” In an era of evolving security challenges, the Philippines’ modernization drive is not just about acquiring new hardware—it is about building a resilient, adaptive, and sustainable defense ecosystem for the decades ahead.

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