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AFP Modernization Act
Congress of the Philippines
  • An Act Providing for the Modernization of the Armed Forces of the Philippines and for Other Purposes
CitationRepublic Act No. 7898
Territorial extent Philippines
Signed byPresident Fidel V. Ramos
SignedFebruary 23, 1995
Status: Amended

The Armed Forces of the Philippines (AFP) Modernization Act,[1] officially designated as Republic Act No. 7898,[1] was a Philippine law that was enacted on February 23, 1995, by President Fidel V. Ramos. It was aimed to modernize all branches of the Armed Forces of the Philippines (AFP) such as the Philippine Air Force, Philippine Navy, and the Philippine Army. The law was amended by Republic Act No. 10349, also known as the Revised AFP Modernization Act, on December 11, 2012.

History

[edit]

The law was intended to last for 15 years with an initial budget of 50 billion pesos for the first five years,[2] but the funding was stopped due to the 1997 Asian financial crisis.[3] After the financial crisis, the funding for the AFP modernization was halted and later neglected by successive administrations until the law expired in 2010.[4]

AFP Modernization Act
Congress of the Philippines
  • An Act Amending Republic Act No. 7898, Establishing the Revised AFP Modernization Program and for Other Purposes
CitationRepublic Act No. 10349
Territorial extent Philippines
Signed byPresident Benigno Aquino III
SignedDecember 11, 2012
Status: In force

On December 11, 2012, President Benigno Aquino III amended by Republic Act No. 10349, also known as the Revised AFP Modernization Act, which extends the modernization program for another 15 years with an initial budget of ₱75 billion for the first five years in order to continue modernizing all the branches of the AFP. The amended law was made under the leadership of President Benigno Aquino III. This new law is aimed at building a defense system capable of addressing the assessed threats,[5][6] at a time when the Philippines is locked with a sea dispute with China in the contested Spratly Islands along with Taiwan and other southeast Asian nations like Brunei, Malaysia, and Vietnam.

The revised AFP modernization program is divided into three horizons.[7][8] The first was implemented from 2013 to 2017, the second is from 2018 to 2022, while the third is from 2023 to 2028. A total Projected Cost of US$40 billion[9]

On June 20, 2018, President Rodrigo Duterte approved the Armed Forces modernization program's shopping list for Horizon 2. The list of projects will be implemented from 2018 to 2022, with a budget of about ₱300 billion, or about US$5.6 billion.[7][8][10]

On October 13, 2023, Secretary Gilberto Teodoro announced that Congress will possibly allow amendment on military modernization/procurement laws.[11]

In January 2024, President Bongbong Marcos approved the "Re-Horizon 3" initiative which overhauled the previous acquisition list contained in the original third phase of the modernization program. Re-Horizon 3 will spend up to US$35 Billion over the next decade.[12] On October 8, 2024, the Self-Reliant Defense Posture Revitalization Act was signed by President Marcos.[13]

Modernization programs

[edit]

The following acquisition programs is in-line with the ongoing AFP modernization program.

Philippine Air Force

[edit]
  • On Mar. 28, 2014, it was announced by the state arms procurement agency of South Korea that South Korea signed a US$420 million contract Friday to export 12 FA-50 light fighter jets built by Korea Aerospace Industries (KAI) to the Philippines under a government-to-government deal.[14] The first two FA-50s were received in November 2015 and the final two were delivered by 31 May 2017.[15]
  • The Philippine Air Force signed a contract for eight AW109 Power light twin helicopters. These aircraft will be used to perform a range of duties including homeland security, armed reconnaissance and close support. Deliveries will start in 2014. The contract also includes initial logistics support and training for aircrew and maintenance personnel.[16] The Department of National Defense (Philippines) stated that the project involved the purchase of eight helicopters with full night operation capability, complete weapons system and integrated logistics support package.[17] Two companies expressed their interest in the bidding process of the eight attack helicopters. Representatives of AgustaWestland and Eurocopter attended the pre-bid conference for the purchase of eight attack helicopters. Other companies including Bell Helicopter, FN Herstal, Elbit Systems and Boeing Company also sent representatives.[18]
  • The Department of National Defense acquired 3 brand-new Medium Lift Fixed Wing Aircraft and its "initial" Integrated Logistics Support (ILS) for the Air Force with a budget of PHP 5.3 billion.[19] The plan was to acquire Medium Lift Fixed Wing Aircraft that can operate in any environment and will provide organic general support for territorial defense, internal peace and security plan, internal security operations, disaster response and national development. The contract was awarded to Airbus Defense and Space for the C-295M at a cost of PHP5.29bn in February 2014 with the first units delivered in March 2015.[20] A fourth C-295M for Command and Control/VVIP transportation was acquired and received on 11 November 2019[21] and an additional three C-295Ws was acquired in 2019, bringing the fleet to 7 platforms.[22]
  • The Department of National Defense acquired 2 brand-new Light Lift Fixed Wing Aircraft and its Integrated Logistics Support (ILS) for the Air Force with a budget of PHP 814 million.[23] The plan is to acquire Light Lift Fixed Wing Aircraft that can operate in any environment and will provide organic general support for territorial defense, internal peace and security plan, internal security operations, disaster response and national development. The contract was awarded to PT Dirgantara in January 2014 for the NC-212i. Due to delays in certifying a replaced autopilot system, the two units were only received in June 2018.[24]
  • The Department of National Defense will also acquire 3 units of Full Motion Flight Simulators and its Integrated Logistics Support (ILS) package with an approved budget of PHP 246,430,000 million.[25] This will allow pilots an almost full sensory experience that can aid in improving flight instruction, enhancing proficiency, minimizing risks associated with emergency procedures training, reducing accidents, filling up downtimes, and saving on aircraft operational and maintenance costs.
  • The Department of National Defense will acquire 21 units of refurbished UH-1 helicopters through public bidding and will include PHP 60 million worth of Integrated Logistics Support (ILS) package.[26] After the failure of the third bidding, the DND has proceeded with the negotiated bidding with the joint venture of Rice Aircraft and Eagle Copter and finally awarded them on December 28, 2013, for a bid price of P1.25 billion for 21 refurbished UH-1 helicopters. Those helicopters should arrive within six months after the awarding.[27]
  • The PAF also eyes for the JAS 39, the F-16C, the F-15E, the F/A-18 Hornet and the IAI Kfir Block 60 as one of the next generation fighters.[28] In responding to the Philippine desire for multirole fighters, the United States offered variants of the General Dynamics F-16 Fighting Falcon, and Sweden offered the Saab JAS 39 Gripen.[29][30] After a throughout study and research in 2018, the Department of National Defense prefers the Swedish-made Gripen multi-role supersonic jet fighter for the Philippine Air Force.[31][32]
  • In November 2013, the DND released an invitation to bid for the acquisition of 3 brand new Search and Rescue seaplanes with an Integrated Logistics package (ILS). The DND has allotted 2.67 billion pesos for this project. The pre-bid conference was scheduled at November 15, 2013, while the actual bidding was scheduled at November 29, 2013. The seaplanes being offered should be used by the Armed Forces of the country of origin or by the Armed Forces of at least 2 other countries.[33]
  • On Mar. 17, 2014, it was reported that there are plans to procure an additional eight combat utility helicopters.[34] It was later reported that these helicopters are Bell 412s that will be acquired from Canada. Three of these helicopters will be configured as VIP transports while the remaining five will be used to replace aging Bell 412 helicopters acquired during the Ramos administration.[35] The helicopters will be acquired from the Canadian Commercial Corp. through a government-to-government transaction.[36] It was also reported that the contract will be signed on Mar. 28, 2014.[36]
  • On 2018, the DND announced that Philippines was interested in ordering 23 attack helicopters, such as the TAI/AgustaWestland T129 ATAK or other attack helicopters, like the Bell AH-1Z Viper, the Sikorsky S-70i, the Mil Mi-35, the Mil Mi-28, the HAL Rudra, and the Airbus H145M. On 18 December 2018, Philippines and Turkey signed a memorandum of understanding with the TAI for new 10 T129s for the PAF. However, due to the sanctions imposed by the US Government on Turkey, and the failure of the delivery of its engines from the UK and the US, the PAF decided to look for alternatives instead, with the Bell AH-1Z Viper, the Boeing AH-64 Apache, and the PZL Mielec S70i Attack Helicopter being offered by the US for the project.[37] Finally, the PAF ultimately decided to push with the T-129 ATAK helicopter, with guarantees requested from TAI/AgustaWestland.
  • In August 2020, Philippine Air Force received full delivery of three Hermes 900 and one Hermes 450 unmanned aerial systems (UAS) as part of a contract worth approximately $175 million. Each system consists of three unmanned aerial vehicles (UAVs), a ground control system and support equipment. Elbit Systems also included a spare used Hermes 450 UAV as part of the deal, for a total of 9 Hermes 900 UAVs and 4 Hermes 450 UAVs.[38]
  • In June 2021, an article reported that the Department of National Defense is submitting a proposal for the acquisition of Saab JAS-39 Gripen for the PAF's multi-role fighter acquisition program.[39]
  • The Philippine Air Force (PAF) is eyeing the South Korean-made KF-21 "Boramae", which is now undergoing development and flight testing, as one of the possible contenders for its multi-role fighter (MRF) project. PAF is closely monitoring the developments of the KF-21 whose prototype had its first flight last July 19, 2022.[40]

Philippine Army

[edit]
  • The Philippine Army received 114 M113A2 armored personnel carriers from the ex-US Army stocks in 2016.[41] These are part of an earlier request by the Philippine government which was approved by the DSCA in 2012.[42] Another batch of 28 M113A2, which includes 14 units to be armed with 76 mm turrets taken from decommissioned FV101 Scorpion tanks and fitted with modern fire control and thermal imaging equipment,[43] 10 M113A2 with a Remote Controlled Weapons system (6 with 12.7mm machine guns, 4 with 25mm autocannons), and 4 armored recovery vehicles.[44] These modifications will be made by Israeli company Elbit Systems Land and C4I before delivery in 2015.[45]
  • The government would also acquire rocket launchers, hand-held radios and night fighting equipment for the Philippine Army.[46]
    • In January 2014, the Philippine Army ordered 400 Airtronic RPG-7s from the United States to replace their obsolete M18 and M67 recoilless rifles. The Airtronic RPG-7 is 60 percent lighter than the recoilless rifles and deliveries are to be completed by the end of the year.[47]
  • The Bids and Awards Committee of the Department of National Defense has declared the United States-based Remington arms company the winning bidder to supply 50,629 pieces of Remington R4 rifles according to the Philippine representative of the company. The bid was for little less than P2-billion. "Remington submitted a total bid price of P1,944,261,591.66, saving government coffers P1,245,365,408.34, based on the total authorized budget of contract of P3,189,627,000". This would place the price for each rifle at around P38,400, or around $960.[48] On 18 March 2014, the Philippine Army confirmed the purchase of 63,000 new-built M4 carbines for P2.4 billion, with the rifles costing P38,402 each. The M4s are part of an effort to replace the Army's Vietnam-era automatic rifles.[49]
  • The Armed Forces of the Philippines will acquire close to P40m ($1m) worth of hand grenades to be used for security operations. A bid bulletin published in The STAR showed that the AFP will acquire 11,364 smoke grenades and 11,460 fragmentation grenades. The government has allotted P19.944m for the smoke grenades and P19.998m for the fragmentation grenades.[50]
  • The government is ordering 44,080 force protection equipment sets, composed of bulletproof vest, plate inserts and soft-ballistic panel, for which the government allotted some P1.76 billion. Each FPE weighs from 5.8 kilograms to 6.8 kg. The BAC expects the winning bidder to deliver 15,000 sets within 120 days of the opening of Letter of Credit. The remaining 29,080 sets will be delivered later.[51]
  • The Philippine government was planning to buy anti-aircraft guided missiles from Israel. The surface-to-air missiles or multiple launch rocket systems were being offered by Rafael Advanced Defense Systems Ltd. and Israel Military Industries Ltd., both based in Israel. Defense Secretary Voltaire Gazmin was planning to go to Israel next week to forge an agreement with the prospective suppliers. "If you have an agreement this would hasten the procurement process, say in three to six months you would already have the weapons. The agreement gives you the leeway to access all the information you want know about a particular weapon you want to procure."[52]
  • The Philippine Army was planning to purchase a number of 155 mm self-propelled artillery to bolster the country's territorial defense capability. The Department of National Defense opened the bidding for 12 units of 155 mm howitzers and 240 rounds of projectiles worth of P438.6 million. The acquisition will boost the existing howitzers in its inventory but were outdated. On 1 April 2014, Israeli company Elbit Systems won the bid and will deliver 12 Soltam ATHOS towed artillery pieces.
  • The Philippine Army has allotted 1.5 million pesos for its development of its 3rd Unmanned Aerial Vehicle (UAV). The UAV will be an enhanced version of the Philippine Army's first two drones, the "Raptor" and the "Knight Falcon".[53]
  • It was reported that the Philippine Army is planning to acquire P530 million worth of disaster response equipment that includes 6 units of road rollers, 30 units of dump trucks, 14 units of excavators, 8 units of road graders, and 12 units of dozers.[54]
  • It was reported that the DND plans to acquire a shore-based missile system with a budget of PHP 6.5 billion that will be placed under the control and supervision of the Army.[55] On 31 March 2014, it was reported that the SSM System will consist of 12 launchers with its attendant trailers and tracking systems plus the missiles themselves. These shore-to-ship missiles could be fired to hit naval or other sea-based targets.[56]
  • On 31 March 2014, a defense official stated that the Government is considering the acquisition of the Raytheon MIM-23 HAWK (Homing All the Way Killer) surface-to-air missiles (SAM). Made by US defense firm Raytheon Corporation, the HAWK is a medium-range SAM that has a range of about 40 kilometers and can reach targets flying as high as 40,000 feet. It is intended that the Hawk-5, the variant being eyed for purchase, will complement and protect the shore-to-ship launchers the government also intends to acquire.[56]
  • The Department of National Defense (DND) is looking at the possibility of acquiring some medium tanks with a total of 15 units for its armored division. This was emphasized by Defense Secretary Delfin Lorenzana when asked by the PNA Wednesday on whether the ongoing conflict in densely-packed Marawi City, where Maute Group terrorists converted concrete houses and buildings into fortified fighting positions, necessitates the acquisition of a main battle tank fleet. In October 2020, The DND awarded the contract to Elbit Systems of Israel to produce Sabrah medium battle tanks and tank destroyers, which platforms are based on ASCOD IFVs and Pandur II wheeled APCs.[citation needed]

Philippine Navy and Marine Corps

[edit]
  • The Philippines acquired two brand-new frigates as part of the modernization program of the Armed Forces of the Philippines.[57] In early October 2015, DND announced the invitation to bid for the 2 brand-new frigates with an approved budget of Php18B. The package includes complete weapons system and must be delivered within 1,460 calendar days from the opening of the letter of credit. Pre-bidding is scheduled on October 11 and the first stage of bidding will be on October 25.[58] On 24 October 2016, the contract to supply two brand new general purpose stealth frigates was signed between the Department of National Defense, represented by Defense Sec. Delfin Lorenzana, and Hyundai Heavy Industries, represented by its Senior Vice President Mr. Ki Sun Chung, under the presence of officials from the DND, AFP, PN, HHI, and the South Korean Ambassador to the Philippines. The first of class, BRP Jose Rizal (FF-150) was commissioned in July 2020, while the second frigate, BRP Antonio Luna (FF-151) was commissioned in March 2021.[59]
  • The BRP Alcaraz (FF-16) is the Philippine Navy's second Hamilton-class cutter and sister ship of the BRP Gregorio del Pilar (PF-15). The BRP Alcaraz has 14 officers and 74 crew members led by Capt. Ernesto Baldovino. It is capable of conducting patrols for long periods of time and can withstand heavy weather and rough sea conditions. BRP Alcaraz was named after Commodore Ramon Alcaraz, a Philippine Navy officer, who commanded a patrol boat that shot down three Japanese aircraft.[60]
  • BRP Andrés Bonifacio (FF-17) is the third Gregorio del Pilar-class frigate In commission. She is the second ship of the Philippine Navy to be named after Andrés Bonifacio, a Filipino revolutionary leader, regarded as the "Father of the Philippine Revolution" and one of the most influential national heroes of the Philippines.
  • It was also reported that the Philippine Navy is planning further upgrades for its Gregorio del Pilar-class frigates. The upgrades will feature upgrades for navigation, propulsion, communication, surveillance, and weapons systems.[61]
  • Four groups took part in a conference for the bidding of 2 Strategic Sealift Vessels with Integrated Logistics Support (ILS), a PHP4-billion ($93 million) project of the Philippine Navy.[62] The pre-bidding held at the Department of National Defense saw groups such as Navantia of Spain, Daewoo of South Korea, Larsen and Toubro of India, and Austal of Australia each appearing keen to win the supply contracts. It is among the 24 big-ticket items that President Benigno Aquino III wants to accomplish under the five-year military modernization program. The winning bidder is required to deliver the first SSV within 730 calendar days from the opening of the Letter of Credit and the second SSV to be delivered a year later. The delivery of the first SSV is expected to take place in 2015 and the second in 2016 before the term of President Aquino ends. SSVs are multi-role vessels for search and rescue operations that can also be fitted with hospital facilities and a helipad, but the ship's primary role is to transport a battalion of soldiers with armored vehicles.[63]
  • The Supply and Delivery of CWS Requirements for the Enhancement of Maritime Domain Awareness (MDA) Capability and Security of DOE Service Contract Areas of the Philippine Navy was also publicly bid by the DND and AFP.[64] The Raytheon Company won the design and construction of the National Coast Watch Center (NCWC); support integration of data from various agencies into the NCWC; and provide acquisition, installation and training on an automatic identification system as well as radio communications for the Government of the Philippines. The contract was awarded July 2013, and will end July 31, 2015.[65]
  • The Philippine Navy looked forward to the delivery of 3 AgustaWestland AW109 Power naval helicopters. The contract includes initial logistics support and training for aircrew and maintenance personnel. The AW109 Power's multi-role abilities and high performance will provide the Philippine Navy with an enhanced maritime operational capability.[66] The 3 helicopters arrived on Dec. 8,2013. 2 more AgustaWestland AW109 Power naval helicopters are scheduled to arrive in the first quarter of 2014.
  • The Philippine Marine Corps has a joint purchase with the Philippine Army is for around 44,080 new body armor or force protection equipment,[67] additional 50,000 new rifles based on M16/M4/M4A1/AR-15 platform and 5,500 close combat optics is underway, to replace the older M16A1 still in service on both armed forces branches.[68] composed of basic vest, plate inserts and soft-ballistic panel and weighing between 5.8 kilograms to 6.8 kg.[69][70]
  • In 2011, the Philippine Navy ordered 6 US-made riverine patrol boats. These boats arrived on August 15, 2013.[71]
  • The Philippine Navy announced that it will acquire an anti-submarine helicopter to boost up its naval air group. This is aside from the helicopters ordered from AgustaWestland that will be arriving in 2014. "This is under the Medium Term Capability Development Program (MTCDP 2013–2017)". The anti-submarine helicopter is part of the PN's efforts to build its anti-submarine warfare capability.[72] The bidding for 2 anti-submarine helicopters worth Php5.4 billion will start on April 24, 2014.[73]
  • The Philippine Navy eyes for the submarine, Reports as of May 2011 indicate that the Philippine Navy is eyeing the purchase of its first submarine not later than 2020, although no further details were provided.[74][75] The “Philippine Fleet Desired Force Mix” strategy concept publicly released in May 2012 indicates the requirement of at least 3 submarines for deterrence and undersea warfare to be available by 2020.[76]
  • On the DND invited bidders for Amphibious Assault Vehicles Acquisition Project of 8 brand-new units of amphibious assault vehicles (AAV) with Integrated Logistics Support (ILS) for the Philippine Navy amounted to Php2.5B. Delivery is required for 850 days from the opening of the letter of credit. This acquisition is part of the PN's MRV/SSV or "Mother Ship" Project which will serve as platform for insertion of troops in beaches in an event of military siege.[77][78] Also, they are interested to purchase a Russian BMP-3F.[79]
  • On February 4, 2014, a Philippine Navy official told that the Navy is going to modernize its current fleet of MPACs, which includes installation of more advanced radar and sensor equipment and possibly of more longer range weaponry such as anti-ship missiles.[80] The DND already opened a public bidding for the companies who will provide remote-weapon systems and missile launchers for the MPACs.[81]
  • On February 7, 2014, the Philippine Navy announced its acquisition of three medium-sized refueling tankers that will boost the Navy's "RAS" or "replenishment at sea" capability.[82] The ships will come from the Philippine National Oil Corporation (PNOC) and will arrive by May, during the Navy's 116th founding anniversary celebration.[82]
  • On August 22, 2018, The Spike-ER missiles system, which arrived in the country last April, the Navy's first missile weapon capable of penetrating 1,000 mm (39 inches) of rolled homogeneous armor and having a range of eight kilometers, was formally put in service.
  • In December 2019, Secretary of National Defense Delfin Lorenzana announced that the Scorpène-class submarine of France fits the requirements of the Philippine Navy.[83]
  • The Department of National Defense signed a contract agreement with Hyundai Heavy Industries for the acquisition of two (2) brand new corvettes worth PHP 28 Billion for the Philippine Navy in a virtual signing ceremony held on December 28, 2021.[84]

On April 27, Israel Aerospace Industries announced that they signed an agreement with HHI to supply the future corvettes with the IAI ALPHA 3D radar system.[85]

  • Philippines select Hyundai Heavy Industries to build 6 new offshore patrol vessels.The contract to build these vessels was signed on June 27, 2022.[86]
  • Philippine Navy representatives examined the decommissioned Pohang-class corvette ROKS Andong (PCC-771) at the Jinhae naval base in South Korea. It was found to be in “good operating condition.[87]
  • All 9 Shaldag Mk V patrol boats will be armed with one 30mm Typhoon RCWS and two 12.7mm Mini Typhoon RCWS. Only 4 of the 9 patrol boats ordered will be delivered with a Spike-NLOS Typhoon missile launcher, the rest are FFBNW.[88] Two out of the nine are expected to be shipped in September 2022.[89]
  • With a project worth of ₱5 billion, the Philippine Navy released a requirement for two more landing docks which are believed to be improvements over the Tarlac-class.[89] On 5 June 2022, a notice of award was issued to PT PAL for the project. On 24 June 2022, a contract was signed between PT PAL and the Department of National Defense.[90]
  • The Harbor and Oceangoing Tugboat Acquisition Project of the Philippine Navy is intended to improve port mobility and support PN fleet activities, and replace the aging tugboats in service. The project involves the acquisition of one harbor tugboat and one ocean-going tugboat. The project was awarded to Josefa Slipways for two tugboats based on the RAmparts 2700 and RAmparts 3000W designs, respectively. A keel-laying ceremony for the first batch of tugboats was held on 10 June 2022 at Josefa Slipways' facility at Sual, Pangasinan.[91]
  • In 2023, the Philippine Navy reported significant progress in its modernization program, highlighting the acquisition of new vessels and equipment aimed at enhancing maritime security and defense capabilities. [92]
  • The BRP Miguel Malvar (FFG-06), the lead ship of the Miguel Malvar-class frigates, was launched on June 18, 2024, at Hyundai Heavy Industries' shipyard in Ulsan, South Korea. The vessel was delivered to the Philippine Navy on April 8, 2025, and is expected to be commissioned later in the year. [93]
  • The second ship of the class, BRP Diego Silang (FFG-07), was launched on March 27, 2025, and is scheduled for delivery to the Philippine Navy by the end of 2025 or early 2026. [94]
  • In 2024, the Philippine Navy received additional Fast Attack Interdiction Craft (FAIC) platforms from Israel Shipyards Limited, enhancing its littoral combat capabilities. The FAICs, also known as the Acero-class patrol vessels, are equipped with advanced weaponry and are part of the Navy's efforts to modernize its fleet. [95]
  • The Philippine Marine Corps continued its modernization efforts by activating new units and acquiring advanced equipment to enhance its amphibious and littoral warfare capabilities. This includes the establishment of the Maritime Security Battalion and the retraining of existing battalions into Marine Amphibious Ready Units. [96]
  • In April 2025, during the Balikatan joint military exercises, the United States deployed the Navy-Marine Expeditionary Ship Interdiction System (NMESIS) to the Philippines. This coastal, vehicle-mounted missile system was used in simulations aimed at countering maritime threats and is expected to remain in the country post-exercise, improving the Philippines' coastal defense capabilities. [97]
  • The Philippine Navy is set to receive two brand-new missile corvettes from South Korea starting in 2025, as part of its efforts to enhance maritime defense capabilities. These corvettes are expected to backstop the existing Jose Rizal-class frigates in service. [98]
  • In 2024, the Philippine government allocated a record-high PHP50 billion budget for the Armed Forces of the Philippines' modernization program in 2025, aimed at building up national defense capabilities amid continued tensions in the West Philippine Sea. [99]
  • The Philippine Navy's future fleet expansion includes the acquisition of six offshore patrol vessels (OPVs) from South Korea's Hyundai Heavy Industries, with deliveries expected between 2026 and 2028. These vessels are designed to enhance the Navy's maritime patrol and surveillance capabilities. [100]
  • In 2024, the Philippine Marine Corps activated its first Maritime Security Battalion, converted from Marine Battalion Landing Team 4 (MBLT-4), to secure maritime routes and enhance littoral operations. This unit is part of the Corps' shift from internal security to external defense, focusing on the protection of the country's maritime interests. [101]


Acquisition lists

[edit]

Army

[edit]
Procurements under RAFPMP (2013-ongoing)
Armored Vehicle Engineering Vehicle Artillery/Missiles Aircraft Light tactical vehicle Watercraft

Air Force

[edit]
Procurements under RAFPMP (2013-ongoing)
Combat Aircraft Transport Aircraft Helicopter Unmanned Aerial Vehicle Air Defense
[edit]
Procurements under RAFPMP (2013-ongoing)
Surface Combatant Amphibious Warfare Vessel Auxiliary Ship Aircraft

Marine

[edit]
Procurements under RAFPMP (2013-ongoing)
Armored Vehicle Artillery/Missiles Aircraft Watercraft

Budget

[edit]
Type 2015[146][147] 2016[148] 2017[149][150] 2018[151][152] 2019[153] 2020[154][155] 2021[156][157] 2022[158] 2023[159] 2024[160] 2025[161] 2026[162]
Programmed ₱ 20B ₱ 25B ₱ 25B ₱ 25B ₱ 25B ₱ 25B ₱ 27B ₱ 29B ₱ 27.5B ₱ 40B ₱ 35B ₱40B
Unprogrammed ₱ 10B ₱ 10B ₱ 5B ₱ 5B N/A ₱ 5B ₱ 11B ₱ 10B ₱ 17.5B ₱ 10B N/A ₱50B
Total ₱ 30B ₱ 35B ₱ 30B ₱ 30B ₱ 35B ₱ 30B ₱ 38B ₱ 39B ₱ 45B ₱ 50B ₱ 35B ₱90B

See also

[edit]

References

[edit]
[edit]
Revisions and contributorsEdit on WikipediaRead on Wikipedia

AFP Modernization Act

View on Grokipedia
from Grokipedia
The Armed Forces of the Modernization Act, officially Republic Act No. 7898 (RA 7898), is a Philippine approved on February 23, 1995, instituting a 15-year program to restructure and upgrade the AFP's capabilities, equipment, infrastructure, and human resources toward developing a self-reliant defense force. The law mandates annual appropriations capped at P50 billion for the initial five years, adjustable based on gross national product growth, channeled through the AFP Modernization Act Trust Fund sourced from government funds, asset sales, and investment returns. Its core objectives encompass enhancing naval, air, and ground defense systems, promoting local production for , and shifting focus from internal security operations to external territorial defense amid emerging maritime threats. Enacted under President , RA 7898 addressed the AFP's legacy of counter-insurgency equipment ill-suited for , aiming to professionalize personnel and align doctrine with strategies. Implementation proceeded in phases prioritizing horizon one acquisitions for basic capabilities, but progress stalled due to insufficient funding and competing budgetary demands, leaving much of the original timeline unfulfilled by 2010. In response, Republic Act No. 10349, approved on December 11, 2012, amended RA 7898 to launch the Revised AFP Modernization Program, extending the horizon and allocating at least P75 billion for the first five years to accelerate multi-domain capability development. Despite these frameworks, the modernization effort has encountered controversies over procurement delays, alleged irregularities in acquisitions, and persistent underfunding relative to regional peers, with full realization remaining ongoing as of 2025 amid heightened tensions. Key achievements include the acquisition of fighter jets, patrol vessels, and systems, bolstering , though critics argue the programs have not yet achieved parity with adversarial forces. The acts underscore a causal shift in Philippine defense policy toward credible deterrence, prioritizing empirical capability gaps over rhetorical commitments.

Legislative History and Enactment

Original AFP Modernization Act (RA 7898, 1995)

Republic Act No. 7898, known as the Armed Forces of the (AFP) Modernization Act, was approved on February 23, 1995, by President and took effect fifteen days after its publication in at least two newspapers of general circulation. The legislation established a policy to modernize the AFP to enable it to effectively fulfill its constitutional duties, including upholding national sovereignty and preserving the country's patrimony. This initiative responded to the post-Cold War strategic environment and the need to transition the AFP from internal security operations against communist and separatist insurgencies toward external defense capabilities, following the closure of U.S. bases in 1992. The act outlined specific objectives to enhance AFP capabilities in areas such as territorial defense, protection of maritime resources, disaster response, support to law enforcement, and fulfillment of international obligations. Key components included force restructuring, development of naval, air, ground, and headquarters capabilities, improvement of bases and support infrastructure, human resource professionalization through reforms in recruitment and training, and formalization of defense doctrines. Implementation was set for a 15-year period starting from 1995, with the President required to submit a detailed modernization program to Congress within 90 days of the act's effectivity for approval. Funding for the program derived from annual congressional appropriations, with an initial ceiling of ₱50 billion for the first five years, adjustable based on gross national product growth rates. A dedicated AFP Modernization Trust Fund was created to receive these appropriations, proceeds from the sale of AFP assets, and interest earnings, ensuring dedicated resources for acquisitions and upgrades. The act promoted a self-reliant defense posture by prioritizing Filipino-made equipment, requiring technology transfers in foreign contracts, and mandating local production where feasible; it also modernized the for manufacturing. Procurement rules emphasized efficiency and , allowing multi-year contracts with presidential approval and prohibiting purchases of major equipment systems not in use by the originating country's armed forces or utilized by fewer than two nations. Contracts were required to include after-sales support, spare parts availability, and training provisions. The Department of National Defense (DND) oversaw funding disbursement and contract execution, while the AFP focused on capability planning, though the program's full realization was hampered by limited actual funding releases, totaling only a fraction of the projected ₱331 billion over the intended period. Despite these constraints, RA 7898 laid the foundational legal framework for subsequent modernization efforts.

Revised AFP Modernization Act (RA 10349, 2012)

The Revised (AFP) Modernization Act, Republic Act No. 10349, amends Republic Act No. 7898 and establishes a revised 15-year modernization program for the AFP. Enacted on December 11, 2012, and signed into law by President Benigno S. Aquino III, the legislation addresses the original act's implementation failures, which stemmed from insufficient funding commitments and a persistent internal security focus that neglected external defense needs. The revised program shifts emphasis toward developing multi-mission capabilities to counter both internal threats like and emerging external challenges, including territorial disputes in the . The original RA 7898, enacted in 1995, allocated 50 billion for the first five years but achieved minimal acquisitions due to budgetary constraints and prioritization of operations over conventional modernization. RA 10349 responds by mandating at least 75 billion over the initial five years (2013-2017), with funding sourced from annual appropriations, proceeds from the sale or lease of military reservations and surplus equipment, public-private partnerships, , and donations. It restructures acquisitions to prioritize brand-new equipment from manufacturers providing after-sales support, synchronized with the phase-out of obsolete systems, diverging from the original's allowance for refurbished assets. Legislatively, the bill underwent interpellation on September 19, 2012, followed by approval of the conference committee report on October 16, 2012, reflecting congressional consensus on revitalizing AFP capabilities amid regional tensions. The act declares a policy to transform the AFP into a modern, responsive force through upgrades, human resource development, and enhancements, while establishing a Congressional Oversight Committee for monitoring and a sunset review clause after five years. Effectivity commenced 15 days after publication in the Official Gazette and two newspapers of general circulation.

Objectives and Strategic Rationale

Core Goals of Modernization

The Revised (AFP) Modernization Program, enacted through Republic Act No. 10349 on December 11, 2012, aims to restructure the military into a force equipped to perform its constitutional mandate of securing sovereignty and against evolving threats. This involves upgrading personnel, equipment, facilities, and doctrines to enable effective responses to both domestic insurgencies and foreign incursions, particularly in maritime domains amid disputes in the West Philippine Sea. Central to these goals is transforming the AFP from a primarily internal security apparatus—shaped by decades of counterinsurgency focus post-U.S. base withdrawal in 1992—into a multi-mission capable entity proficient in external defense operations. The program targets the development of credible deterrence through enhanced , rapid deployment, and abilities, synchronizing acquisitions with the phase-out of obsolete II-era assets to avoid capability gaps. Sustainment and form additional pillars, mandating contracts for after-sales support, spare parts, and to build local maintenance expertise and reduce dependency on foreign suppliers. Over its 15-year horizon, the initiative prioritizes with allies, professional military education, and development to support joint operations, funded by a minimum P75 billion allocation in the first five years via a dedicated trust fund sourced from taxes, asset sales, and loans. This framework ensures continuity across administrations, insulating modernization from political fluctuations.

Shift from Internal to External Defense Focus

Historically, the Armed Forces of the Philippines (AFP) prioritized internal security operations against communist insurgents of the and Moro separatist groups, a focus intensified under President Ferdinand Marcos's declaration of in 1972, which redirected military resources toward rather than external threats. This internal orientation persisted through subsequent administrations, limiting investments in external defense capabilities such as naval and air assets needed for . The Revised AFP Modernization Act (Republic Act No. 10349), enacted on December 11, 2012, marked a deliberate strategic pivot toward external defense, driven by escalating territorial disputes in the , particularly China's occupation of following a standoff with Philippine forces in April 2012. Under President , the administration redirected defense priorities from internal threats to territorial defense, emphasizing the development of a "minimum credible defense posture" capable of protecting sovereign claims against peer competitors like . This shift was articulated in the 2011 Policy, which identified external aggression as the primary threat, necessitating enhanced capabilities in surveillance, rapid response, and deterrence in maritime domains. RA 10349 supported this reorientation by establishing a dedicated trust fund—sourced from military receipts, special allotments, and loans up to 75 billion over 15 years—for acquiring platforms suited to external operations, including frigates, patrol vessels, and multi-role fighters, rather than solely equipment. The act's Horizon phases prioritized and upgrades to address asymmetries in external projection, reflecting a causal recognition that internal threats, while persistent, no longer justified neglecting vulnerabilities in the amid China's "salami-slicing" tactics of incremental encroachment. Subsequent administrations, including Jr.'s from , have reinforced this external focus amid renewed confrontations, such as water cannon attacks on Philippine resupply missions to , underscoring the act's enduring rationale despite implementation delays from funding shortfalls and procurement hurdles.

Program Phases and Structure

Horizon 1: Capability Upgrade (2013-2017)

The Horizon 1 phase of the Revised Modernization Program (RAFPMP), operational from 2013 to 2017, targeted foundational upgrades to address critical deficiencies in equipment for internal security operations and nascent territorial defense needs. Enacted under Republic Act No. 10349, this phase emphasized acquiring platforms to replace aging assets, enhance mobility, and bolster firepower, with a primary focus on support while initiating amid rising tensions. Allocations prioritized cost-effective, off-the-shelf procurements to achieve rapid operational gains, though implementation faced delays due to budgetary constraints and shifting priorities under the Aquino administration. Key aviation acquisitions centered on the Philippine Air Force's procurement of 12 KAI FA-50PH , contracted on August 26, 2013, for PHP 21.7 billion with . These supersonic trainers-cum-fighters, equipped for and basic , began deliveries in March 2015 and achieved initial operational capability by 2016, marking the PAF's first fixed-wing combat aircraft acquisition in decades. Complementing this, the phase included upgrades to existing rotary-wing assets and interim surveillance capabilities, though plans for dedicated turboprops like the A-29 Super Tucano remained uncontracted until later. Naval enhancements under Horizon 1 delivered two additional ex-U.S. Coast Guard Hamilton-class cutters to the Philippine Navy: BRP Ramon Alcaraz (former USCGC Dallas), which arrived and was commissioned in May 2013, and BRP Andres Bonifacio (former USCGC Storis), commissioned in 2016. These 3,250-ton offshore patrol vessels, armed with a 25mm Bushmaster cannon and capable of 29-knot speeds, extended the Navy's endurance for maritime patrols and disaster response, building on the lead ship BRP Gregorio del Pilar acquired in 2011. The cutters provided immediate blue-water reach, though their Mk 75 76mm gun upgrades were deferred, limiting anti-surface firepower. For the , Horizon 1 procurements were more modest and internally focused, including contracts in 2016 with for four upgraded M113A2 armored personnel carriers fitted with 25mm remote weapon stations and six M113-based armored mortar carriers, enhancing support. Additional efforts encompassed modernization, such as machine guns and mortars for units, and reprioritization of stalled projects like light tanks, which were deferred due to funding shortfalls. Overall, while Horizon 1 yielded tangible assets like the FA-50s and cutters—totaling over 50 billion in obligated funds—the phase fell short of full project completion, with only about 60% of planned acquisitions realized by 2017, hampered by procurement bottlenecks and reallocations toward counterterrorism.

Horizon 2: Mid-Life Support and Sustainment (2018-2022)

Horizon 2 of the Revised (AFP) Modernization Program, implemented from 2018 to 2022, emphasized mid-life support and sustainment to maintain and extend the operational life of assets acquired under Horizon 1. This phase prioritized enhancements, spare parts , depot-level , and personnel to ensure sustained readiness amid the shift toward external defense priorities. The program sought to address gaps in sustainment capabilities, including overhauls for aging platforms and establishment of support systems to reduce dependency on foreign . Approval for Horizon 2's project list occurred on June 20, 2018, under President , encompassing 97 initiatives with an initial funding requirement of approximately PHP 300 billion, later escalating to PHP 428.6 billion due to scope expansions. Allocations favored the (around PHP 139 billion or USD 2.73 billion), followed by the and Army, targeting sustainment for , maritime, and ground assets. Implementation yielded limited results, with only 20% of projects delivered by 2022, hampered by delays, inadequate planning, and insufficient for mid-life upgrades. Sustainment efforts included upgrades to rotary-wing , such as integration of additional helicopters for utility roles and maintenance support for existing fleets like the and MD500. Naval sustainment focused on enhancing depot capabilities for frigates and patrol vessels, though big-ticket overhauls remained incomplete. Ground forces advanced vehicle and artillery sustainment through spare parts stockpiling, but overall progress fell short of requirements for territorial defense transitions.
BranchKey Sustainment Focus AreasBudget Allocation (USD approx.)Completion Status
Aircraft overhauls, simulator procurement, aviation logistics2.73 billionPartial; delays in multi-role support systems
Vessel mid-life extensions, maritime patrol sustainment infrastructure1.44 billionLow; infrastructure gaps persisted
Artillery and vehicle maintenance depots, supply chain enhancements0.89 billionMinimal advancements reported
These shortcomings highlighted systemic issues in execution, including bureaucratic hurdles and funding absorption challenges, prompting calls for revisions to the modernization framework post-2022.

Horizon 3: Force Multipliers and Revisions (2023 Onward)

The third phase of the Revised (AFP) Modernization Program, designated Horizon 3, began in 2023 and extends through 2028, targeting the acquisition of advanced force multipliers to bolster external defense postures amid evolving regional threats. Originally outlined under Republic Act 10349, this horizon prioritizes high-end capabilities such as submarines, multi-role fighter jets, missile systems, and integrated air defense networks, shifting emphasis from sustainment to offensive and deterrent technologies synchronized with archipelagic defense strategies. In January 2024, the Department of National Defense approved a revamped framework, Re-Horizon 3, expanding the scope and budget to approximately $35 billion over a decade to address underfunding in prior phases and accelerate procurements responsive to escalations. This redesign incorporates phased sub-implementations, with initial focus on enhancements, additional warships, and multi-role to enable rapid deployment and . Submarine acquisition, a cornerstone multiplier for undersea domain awareness, was fast-tracked in May 2025 to counter naval asymmetries, marking a departure from earlier delays due to fiscal constraints. Revisions emphasize integration of unmanned systems, cyber defense tools, and precision-guided munitions as enablers for joint operations, with procurement lists including up to 12 fighter jets and layered missile defenses by 2028. Funding mechanisms rely on annual defense allocations, supplemented by multilateral loans, though congressional debates in 2025 highlighted persistent shortfalls, prompting Defense Secretary Gilberto Teodoro to advocate repealing and replacing RA 10349 for streamlined budgeting and higher ceilings. As of October 2025, implementation lags in some areas due to procurement bottlenecks, but the phase has secured commitments for enhanced radar networks and helicopter integrations to amplify existing Horizon 1 and 2 assets.

Modernization by Military Branch

Philippine Army Modernization

The 's modernization efforts under the Revised Modernization Program (RAFPMP), enacted via Republic Act No. 10349 on December 11, 2012, emphasize transitioning from counterinsurgency-focused legacy equipment to platforms supporting territorial defense and joint operations. This involves phased acquisitions prioritizing communications, enhancements, armored vehicles, and , with a total RAFPMP budget ceiling of PHP 300 billion across branches for Horizons 1 and 2. has been uneven due to shortfalls and delays, achieving approximately 68% completion of Horizon 1 projects by 2017. During Horizon 1 (2013-2017), the focused on capability upgrades for basic sustainment, acquiring items such as vehicle-mounted HF 50W radios, 2-5W handheld radios, and thermal imaging devices, with deliveries completed to bolster command and reconnaissance. Armored personnel carrier enhancements included M113 firepower upgrades via , finalized by December 2019, and additional M113 units for troop mobility. Infantry weapons procurements encompassed 7.62mm rifles (SIG Sauer SIG716 G2 DMR), delivered by November 2019, and long-range .50 caliber sniper systems (Harris Gunworks M-87R), though the latter awaited full delivery as of 2020. Support assets like KIA KM451 field ambulances and 2.5-ton troop carrier trucks ( 6x6) were also integrated, enhancing logistical resilience. Night fighting systems and tactical engagement simulation tools (I-TESS and V-TESS) further improved training and low-visibility operations. Horizon 2 (2018-2022) targeted mid-life support and force sustainment, with contracts for self-propelled 155mm howitzers (Elbit Systems Soltam ATMOS), enabling initial live-fire drills by the Artillery Regiment in 2021 to extend operational range beyond towed systems. M113 armored mortar carrier upgrades (Elbit Systems Soltam Cardom) commenced delivery in 2020, while wheeled armored personnel carriers entered pre-procurement, aiming to replace aging tracked vehicles for rapid deployment. Additional infantry upgrades included 5.56mm assault rifles (SIG Sauer SIGM400), delivered by early 2020, 40mm revolver grenade launchers (Rippel Effect XRGL40), contracted in March 2020, and protective gear like ballistic helmets (MKU Ltd.) and body armor (Source Vagabond). Unmanned aerial systems (Levels 1-3 from Elbit) began delivery in 2021 for intelligence, surveillance, and reconnaissance. Engineer assets, such as vehicle-mounted mine/IED detection vehicles (VMMD), were received by the 525th Engineer Combat Battalion to counter explosive threats. By 2023, Horizon 2 implementations continued amid budgetary pressures, with equipment under evaluation to support mobility in contested terrain. acquisitions remained stalled in negotiations, reflecting prioritization of immediate needs over heavy armor. The program's shift aligns with external threat assessments, yet persistent funding gaps—exacerbated by overspending in other branches—have limited scale, prompting Re-Horizon 3 revisions in 2024 for advanced multipliers like systems. Overall, these efforts have incrementally enhanced the Army's and mobility, though full operational integration lags behind naval and air priorities.

Philippine Air Force Modernization

The (PAF) modernization under Republic Act No. 10349 emphasizes acquiring fighter jets for , utility helicopters for combat and transport roles, and medium-lift aircraft to address capability gaps in , troop mobility, and logistics sustainment. Horizon 1 prioritized basic upgrades, including the procurement of 12 KAI FA-50 under a $553 million contract signed in August 2014 with , with initial deliveries commencing in May 2016 and full operational capability achieved by 2017. These supersonic trainers doubled as light fighters to replace aging Northrop F-5s, enhancing the PAF's limited strike capacity amid territorial disputes. Complementing this, the PAF acquired 16 Sikorsky S-70i Black Hawk combat utility helicopters in batches starting from 2013, with deliveries continuing through 2019, bolstering special operations and medevac missions. Additionally, three second-hand Lockheed C-130T Hercules medium-lift transports were obtained from U.S. excess defense articles, with the first accepted on April 12, 2016, to improve strategic airlift for disaster response and troop deployment. In Horizon 2, focus shifted to mid-life support and inventory sustainment, though key projects like the multi-role fighter (MRF) acquisition faced delays due to budgetary constraints and shifting priorities. The MRF project, intended to procure 12 advanced fighters for air superiority, remained unfulfilled by 2022, leaving the PAF reliant on FA-50s for high-end roles. Helicopter sustainment continued with additional Black Hawk procurements, including funding approvals in 2022 for further units to maintain fleet readiness. Progress was hampered by historical underfunding, with only partial implementation of planned upgrades for systems and , as reported in defense budget reviews. Horizon 3, revamped in January 2024 as Re-Horizon 3, targets force multipliers such as integrated air defense and next-generation platforms, with the PAF advancing the FA-50 expansion through a $700 million contract signed on June 5, 2025, for 12 additional Block 20 variants from , slated for delivery between 2026 and 2030. This addresses ongoing shortages in fighter numbers amid rising external threats. The MRF requirement persists, with negotiations for 12 units ongoing as of October 2025, potentially including variants like the Saab Gripen or F-16, though no contract has been awarded. Complementarily, three new-build were approved in the 2022 national budget to replace aging C-130s, with acquisitions integrated into broader modernization efforts. The PAF's 2028 outlines a 14-year roadmap aligning with these horizons, emphasizing capabilities, though implementation depends on sustained funding releases exceeding PHP 5 billion in special allotments as of October 2025.
ProjectHorizonQuantityKey DetailsDelivery Timeline
FA-50 1 & 312 initial + 12 additionalSupersonic light fighters/trainers; initial from KAI, Block 20 upgrade for extras2016–2017 (initial); 2026–2030 (additional)
S-70i Black Hawk Helicopters1 & 216+ (ongoing batches)Combat utility for troop transport and special ops; additional funding in 20252013–2019 (core); 2022–2025 (expansions)
C-130T/J Medium-Lift Transports1 & 33 C-130T + 3 C-130JStrategic ; ex-US for initial, new-build for replacements2016–2017 (C-130T); post-2022 (C-130J)
Despite achievements in fleet expansion, challenges include procurement delays from fiscal shortfalls—total RAFPMP funding lagged behind targets through 2022—and vulnerability to issues for legacy platforms. As of mid-2025, the PAF operates approximately 12 FA-50s combat-ready, with Black Hawks forming the backbone of rotary-wing assets, but lacks fourth-generation fighters, prompting calls for accelerated Horizon 3 execution to achieve credible deterrence.

Philippine Navy Modernization

The 's modernization under the Revised Modernization Program, enacted via Republic Act No. 10349 in December 2012, prioritizes enhancing surface combat capabilities, maritime patrol, and to address territorial defense needs in the West Philippine Sea. This effort focuses on acquiring blue-water assets, replacing aging World War II-era vessels, with an emphasis on frigates, corvettes, and offshore patrol vessels (OPVs) procured primarily from South Korean shipbuilder (HHI). By October 2025, the Navy has commissioned key surface combatants, though submarine acquisition remains pending, reflecting budgetary constraints and procurement delays typical of Horizon phases. Under Horizon 1 (2013-2017), the Navy targeted two multi-role frigates to form the core of its surface fleet. The Jose Rizal-class frigates, contracted in 2016 for approximately ₱21 billion, feature a displacement of 2,600 tons, equipped with vertical launch systems for anti-air missiles and capable of 25-knot speeds. BRP Jose Rizal (FF-150) was delivered in May 2020 and commissioned in July 2020, while BRP Antonio Luna (FF-151) followed with delivery in January 2021. These deliveries, delayed from original timelines due to design modifications and funding shortfalls, marked the Navy's first purpose-built frigates in decades, enabling extended patrols beyond littoral waters. Horizon 2 (2018-2022) expanded the fleet with two guided-missile corvettes under the Offshore Combat Force, contracted in 2018 for about $550 million total, emphasizing (ASW) and multi-role operations. The -class vessels, displacing around 2,500 tons with 118.4-meter lengths and 76mm main guns, include ASW sonar and helicopter facilities. BRP (FF-203) arrived in April 2025, followed by BRP (FF-204) departing in September 2025 for delivery. Additional OPVs, such as the Rajah Solayman-class, launched in June 2025 with 76mm armament and remote weapon stations, support EEZ enforcement but face integration challenges from maintenance backlogs. In Horizon 3 (2023 onward), plans include two additional full-complement frigates budgeted at ₱34-43 billion, proposed for improved variants with enhanced missile capacities, alongside two ASW corvettes and eventual submarine procurement to counter regional submarine threats. Negotiations for ASW platforms advanced in late 2024, driven by heightened tensions, though submarine timelines extend beyond 2027 due to high costs exceeding ₱100 billion per unit. Progress has accelerated with 2023-2025 budget hikes to ₱50 billion annually for naval assets, yet persistent issues include spare parts shortages and crew training gaps, limiting operational readiness to 60-70% for new vessels. Overall, these acquisitions have tripled the Navy's modern surface combatants since 2012, shifting from brown-water to limited blue-water posture.

Philippine Marine Corps Modernization

The (PMC), as the branch of the , has pursued modernization under the Revised AFP Modernization Program (RA 10349) to enhance its sea-to-land maneuver capabilities, primarily through acquisitions of armored vehicles, artillery support systems, and infantry weapons suited for littoral operations. Horizon 1 (2013-2017) emphasized capability upgrades, including the procurement of eight KAAV-7A1 amphibious assault vehicles from South Korea's Hanwha Defense at a cost of approximately PHP 2.42 billion (USD 46 million), with deliveries completed and full commissioning by May 2019 to replace aging vehicles and improve troop transport and fire support in amphibious assaults. In Horizon 2 (2018-2022, extended into subsequent years), efforts shifted toward mid-life support and sustainment, including upgrades to existing light armored vehicles such as the Commando V-150 and V-300 fleets, with mobility enhancements completed around 2019 to extend operational life amid budget constraints. Mortar systems saw incremental additions, such as the 60mm Mortar Acquisition Project under Horizon 2 for close , and a 2024 follow-on tender for six additional 81mm mortars to supplement prior orders, addressing gaps in platoon-level . A planned Lot 3 acquisition for eight 120mm mortars was scaled back from the PMC's requested 12-15 units, reflecting prioritization within limited funding. Horizon 3 (2023 onward) focuses on force multipliers, with ongoing tenders for light wheeled armored personnel carriers and up to 60 tactical combat vehicles to bolster rapid deployment and survivability against external threats, though specific PMC allocations remain subject to inter-branch competition and fiscal shortfalls. These efforts align with the program's external defense shift, yet implementation has faced delays, with only partial fulfillment of amphibious requirements due to procurement bottlenecks and reliance on foreign suppliers. President Ferdinand Marcos Jr. reaffirmed commitment to PMC upgrades during its 74th anniversary in November 2024, emphasizing integration with naval assets for archipelagic defense.

Key Acquisitions and Capabilities

Major Equipment Procurements

The Revised AFP Modernization Program has facilitated the acquisition of several high-value platforms to enhance operational capabilities across air, sea, and land domains. Under Horizon 1 (2013-2017), key procurements included 12 FA-50PH from , delivered between 2015 and 2016 to bolster the 's air superiority and roles, at a cost of approximately PHP21.7 billion. These jets represented the first fixed-wing fighter acquisition in decades, addressing the obsolescence of legacy aircraft like the F-5. Additionally, 16 S-70i Black Hawk utility helicopters were procured for the starting in 2019, though initial deliveries aligned with early modernization funding, providing improved troop transport and combat utility over aging UH-1H Hueys. Horizon 2 (2018-2022) emphasized territorial defense, yielding two Jose Rizal-class guided-missile frigates (BRP Jose Rizal and BRP Antonio Luna) from Hyundai Heavy Industries, with contracts signed in 2019 for PHP25.3 billion, commissioned in 2020 and 2022 respectively. These 2,600-ton vessels, equipped with anti-ship missiles and close-in weapon systems, marked the Philippine Navy's first new frigates in over 20 years, enhancing maritime patrol and anti-surface warfare. The program also delivered two Miguel Malvar-class offshore patrol vessels in 2025, built locally by Hyundai with technology transfer, focusing on extended-range surveillance. In Horizon 3 (2023 onward), procurements have accelerated with a 2022 contract for 32 additional S-70i Black Hawk helicopters valued at PHP32 billion, with initial deliveries commencing in 2025 to expand rotary-wing assets for multi-role operations including search-and-rescue and insertion. A June 2025 deal added 12 more FA-50 Block 70 aircraft for PHP40 billion (approximately USD700 million), doubling the fleet to improve strike range and sensor integration amid tensions. These acquisitions, funded through reallocated budgets and loans, prioritize with allies like the , though implementation has faced delays due to procurement complexities.
PlatformBranchQuantityKey FeaturesProcurement Details
FA-50PH/B7024 total (12 initial + 12 additional) with air-to-air/air-to-ground munitions, advanced Horizon 1 initial; Horizon 3 follow-on, contracts 2013 & 2025
S-70i Black Hawk/Army support48 total (16 + 32) for transport, medevac, special opsHorizon 2/3, contracts 2019 & 2022, deliveries ongoing
Jose Rizal-class FrigateNavy22,600-ton multi-mission with SSM-700K missiles, RAM defenseHorizon 2, 2019 contract, delivered 2020-2022

Technological and Operational Enhancements

The Revised AFP Modernization Program has prioritized enhancements in C4ISR (Command, Control, Communications, Computers, , , and ) systems to enable network-centric operations across military branches. These include acquisitions of VHF/UHF repeaters, military lensatic compasses, and upgrades to existing C4I/Geographic Information Systems (GIS) for improved and . fixed-wing aircraft projects under Horizon 2 further support real-time decision-making by providing airborne platforms for coordination in joint operations. Integration of unmanned aerial vehicles (UAVs) and drone technologies represents a core operational upgrade, with the receiving medium-altitude long-endurance (MALE) UAVs from in 2020 for enhanced ISR missions. Recent indigenous developments include armed drones capable of carrying explosive payloads for diverse combat scenarios, alongside AI-powered systems for explosive hazard detection to reduce risks in operations. Starlink-enabled drones have been deployed to bolster , enabling persistent littoral monitoring amid territorial challenges. Cybersecurity and intelligence capabilities have been strengthened through dedicated upgrades, including the planned activation of an AFP Intelligence Command and enhancements to the cyber group to counter emerging digital threats. The program emphasizes self-reliant development of cyber defense technologies under complementary legislation like the Self-Reliant Defense Posture Revitalization Act, integrating these into broader modernization efforts for deterrence and response. Operationally, these enhancements have improved interoperability, with command and control systems now incorporating drones and ISR tools into ground, air, and naval maneuvers, yielding gains in mobility, firepower, and combat support since early implementations. The focus on communication, surveillance, and weapons system upgrades across platforms further enables sustained operations, though full realization depends on Horizon 3 force multipliers like advanced sensors.

Funding and Budgetary Framework

Allocation Mechanisms and Government Funding

The funding for the Armed Forces of the (AFP) Modernization Program, established under Republic Act No. 7898 (RA 7898) enacted on February 23, 1995, is primarily derived from annual appropriations within the national budget's General Appropriations Act (GAA). Section 10 of RA 7898 mandates that these appropriations must cover the full funding requirements for all modernization phases, including acquisition, upgrade, and sustainment of equipment, with allocations distributed across the AFP's major services (, , ) based on prioritized capability gaps identified by the Department of National Defense (DND) and AFP General Headquarters. The () releases funds to the DND upon congressional approval, with oversight ensuring alignment to the program's horizons—Horizon 1 (completed), Horizon 2 (ongoing until 2028), and Horizon 3 (force multipliers from 2023 onward). An AFP Modernization Trust Fund (AFPMATF), created under Section 11 of RA 7898, serves as a dedicated mechanism to augment general appropriations, accumulating revenues from sources such as duties and taxes on imports (e.g., PHP 3.5 billion recorded in recent fiscal years) and other non-tax collections like proceeds from AFP-managed facilities. Funds from the trust are disbursed for specific modernization projects upon DND certification of need, providing flexibility beyond annual GAA cycles but subject to the same procurement laws under the Reform Act. RA 10349, signed on December 11, 2012, extended the program for another 15 years and reinforced the trust fund's role, targeting PHP 75 billion overall while maintaining reliance on government budgetary outlays rather than dedicated defense taxes or bonds. In recent years, allocations have increased to support Horizon 3 priorities, with PHP 40 billion appropriated in 2024 (98.5% of which was released and obligated, primarily for ongoing contracts). For 2025, approved a record PHP 50 billion, directed toward multi-domain capabilities like unmanned systems and electronic warfare, sourced entirely from general revenues amid no alternative financing mechanisms in the original act. Proposed 2026 funding seeks further elevation to PHP 90-133 billion, though subject to bicameral adjustments, highlighting dependence on executive budget proposals and legislative prioritization over competing domestic needs. Complementing RA 7898, Republic Act No. 12024 (Self-Reliant Defense Posture Revitalization Act), signed October 8, 2024, introduces expanded mechanisms including presidential authority for defense loans and multi-year obligating contracts to stabilize funding for Horizon 3 acquisitions, potentially drawing from international financing while prioritizing domestic industry offsets. This addresses prior constraints where annual budgeting led to procurement delays, but core allocations remain tied to the GAA process without guaranteed multi-year commitments under the modernization act itself.
Fiscal YearAllocated Amount (PHP Billion)Key Utilization Notes
20244098.5% obligated; focused on Horizon 2 completions and initial Horizon 3 payments.
202550Record high; targeted at force multipliers like UAVs and radar systems.
2026 (Proposed)90-133Aimed at accelerating Re-Horizon 3; pending final GAA approval.

Historical Shortfalls and Recent Budget Increases

The Armed Forces of the Philippines (AFP) modernization efforts, initiated under Republic Act No. 7898 in 1995, targeted PHP 331 billion in funding over 10 years to upgrade equipment across all branches, but actual disbursements were severely limited by chronic underfunding, with the majority of defense budgets diverted to personnel maintenance rather than capital outlays. This shortfall persisted into the Revised AFP Modernization Program (RAFPMP) under Republic Act No. 10349, enacted on December 11, 2012, which allocated PHP 75 billion for Horizon 1 (2013–2017, later extended) but achieved only 68% completion of 53 planned programs despite expending PHP 96 billion, due to inconsistent appropriations, procurement delays, and equipment obsolescence rendering some projects unviable. Funding constraints notably disrupted the Philippine Navy's Strategic Sail Plan 2020, leaving key naval acquisitions under-resourced amid competing fiscal priorities. Recent administrations have addressed these gaps through sustained budget expansions, with Philippine defense spending averaging 1.25% of GDP over the past decade and peaking at 1.41% in 2021, reflecting heightened emphasis on external threats. The Department of National Defense (DND) budget for 2026 is proposed at PHP 299.3 billion, a double-digit increase for the third consecutive year, including PHP 40 billion specifically for the RAFPMP—up PHP 5 billion from prior guaranteed funds—with 98.5% of the 2024 allocation of PHP 40 billion fully released and obligated. Overall DND funding for 2026 totals PHP 430.87 billion, nearly 14% higher than the PHP 378.89 billion in 2025, supporting the restructured Re-Horizon 3 phase aimed at USD 35 billion in investments despite historical delays. However, these increments have not fully closed the funding deficit, as evidenced by PHP 71 billion in unfunded Horizon 1 projects and broader estimates of a PHP 2.4 trillion modernization gap as of 2025, underscoring ongoing challenges in sustaining long-term commitments.

Implementation Progress and Challenges

Achievements and Operational Milestones

The Armed Forces of the Philippines (AFP) Modernization Program, governed by Republic Act No. 7898 as amended, marked initial successes in Horizon 1 (2013-2017) through targeted acquisitions that bolstered core operational capacities. The Philippine Navy commissioned the BRP Gregorio del Pilar (FFG-15), its first modern frigate, in 2011, followed by the BRP Ramon Alcaraz (FFG-16) in 2013; these vessels, former U.S. Coast Guard cutters upgraded with armaments, extended maritime domain awareness and patrol endurance in the West Philippine Sea. Concurrently, the Philippine Air Force integrated 12 South Korean FA-50PH light combat aircraft, with initial deliveries commencing in March 2015 and full operational capability achieved by 2016, enabling enhanced air interdiction and close air support missions after decades without dedicated fighters. Horizon 2 (2018-2022) advanced multi-domain enhancements, including the acquisition of 16 Sikorsky S-70i Black Hawk combat utility helicopters by 2020, which improved troop mobility, , and ; these assets supported over 1,000 missions annually by 2023, including typhoon relief and counter-insurgency insertions. The program also delivered offshore patrol vessels and fast attack interdiction craft, such as the Shaldag Mk V-class boats operationalized in 2020, strengthening littoral defense against asymmetric threats. These procurements contributed to measurable operational gains, with the reporting a 40% increase in sea patrols and the achieving initial certifications for integrated systems. By early Horizon 3 (2023 onward), milestones included the integration of advanced sensors and the commencement of guided-missile deliveries from Hyundai Heavy Industries, with the first vessel expected by 2026 under a ₱28 billion contract, aiming to provide capabilities. Collectively, these achievements restored approximately 70% of critical capabilities in command, control, and mobility, enabling the AFP to conduct joint exercises like with allies, demonstrating in territorial defense scenarios.

Delays, Setbacks, and Corrective Measures

The implementation of the AFP Modernization Program has encountered significant delays primarily attributable to chronic funding shortfalls and bureaucratic inefficiencies. Horizon 1, intended for completion between 2013 and 2017, suffered from slow processes and insufficient personnel dedicated to execution, resulting in only partial fulfillment of objectives despite eventual completion rates estimated at 80-90% by some defense analysts. Horizon 2, spanning 2018 to 2022, fared worse, with just 20% of its 97 scheduled projects delivered at a cost of PHP 428.6 billion (approximately USD 7.87 billion), representing a 43% overrun amid persistent underperformance. As of July 2021, 22 specific modernization projects remained unfinished due to "unforeseeable circumstances" cited by AFP spokespersons, including supply chain disruptions and procurement hurdles, though critics have pointed to deeper systemic issues like corruption in parallel infrastructure projects diverting potential defense funds. Broader setbacks included political distractions and graft scandals, such as those in flood control initiatives, which AFP Chief of Staff General Romeo Brawner Jr. warned in October 2025 could further impede modernization by eroding public trust and fiscal resources. By 2022, the program was described as stalled, with delays in achieving a minimum credible defense posture as most Horizon 1 and 2 acquisitions lagged behind timelines. In response, corrective measures have focused on legislative and administrative reforms to accelerate progress. The Department of National Defense (DND) under Secretary Gilberto Teodoro has advocated revising Republic Act No. 7898, including its repeal to enable greater foreign financing access and alignment with evolving threats, while pushing for fast-tracked implementation amid rapid technological shifts. President Ferdinand Marcos Jr. approved an expanded Re-Horizon 3 in January 2024, revamping the original 2023-2028 phase to prioritize strategic acquisitions and address prior shortfalls, with Senate leaders like JV Ejercito and Loren Legarda committing to sustained funding despite 2025 budget constraints. Teodoro emphasized strategic adjustments in October 2025 to mitigate delays, underscoring the need for PHP 480 billion over the subsequent 18 years to rectify historical gaps.

Controversies and Criticisms

Procurement Irregularities and Cancellations

The Frigate Acquisition Project under Horizon 2 encountered significant irregularities during its bidding and award process. In September 2016, the Philippine Navy awarded a PHP16 billion contract to South Korea's Hyundai Heavy Industries for two missile-capable frigates after disqualifying the lowest bidder, France's Naval Group, on technical grounds related to intellectual property rights for the combat management system (CMS). This decision sparked allegations of favoritism toward a Korean CMS provider, with critics claiming the disqualification was pretextual and that the winning bid offered reduced capabilities, including a less advanced CMS, potentially inflating costs by PHP5-6 billion compared to the original proposal. A Senate investigation in February 2018 examined claims of undue influence by then-Special Assistant to the President Christopher "Bong" Go, who was accused of intervening to steer the contract away from the French bidder, though Go denied involvement and attributed his input to national security consultations. The controversy persisted, culminating in a 2024 graft complaint filed against former President Rodrigo Duterte and Go for alleged manipulation resulting in "stripped-down" vessels, BRP Jose Rizal (FF-150) and BRP Antonio Luna (FF-151), which were delivered in 2020 and 2021 despite ongoing disputes over performance bonds and liquidated damages. Other procurement issues included persistent bidder complaints leading to and court cases for multiple Horizon 2 projects, delaying and contributing to only partial fulfillment of the phase's goals by 2022. In response to such setbacks, the Department of National Defense imposed , confiscated performance bonds, and terminated select contracts deemed non-compliant, affecting at least 22 modernization initiatives reported as lagging in 2021 due to vendor disputes and unforeseeable circumstances like the . Regarding cancellations, several Horizon 1 projects were effectively abandoned due to funding shortfalls and technological obsolescence after the phase's extension beyond 2017. For instance, the acquisition of guided 2.75-inch rockets was cancelled in early amid budget reallocations and shifting priorities. More recently, in October 2025, Defense Secretary Gilberto Teodoro announced plans to scrap remaining unexecuted Horizon 1 procurements, citing outdated specifications ill-suited to current threats, such as legacy equipment no longer viable for external defense roles. This move aligns with broader critiques of the original AFP Modernization Act's structure, which Teodoro argued fails to adapt to evolving security needs, prompting calls for and a revamped framework. These cancellations reflect systemic challenges, including chronic underfunding—Horizon 1 achieved only 68% completion despite PHP96 billion expended—exacerbated by competing national priorities.

Political and Bureaucratic Interference

The implementation of the Armed Forces of the Philippines (AFP) Modernization Program under Republic Act No. 7898 has been hampered by congressional interventions that prioritized alternative expenditures over defense modernization, resulting in persistent funding shortfalls. Despite the 1995 law mandating P50 billion for the initial five-year phase, authorized far less, reflecting political elite preferences for internal security operations and patronage networks rather than external defense capabilities. This underfunding extended into subsequent horizons, with a cumulative P2.1 trillion shortfall reported as of August 2024, as legislators diverted resources amid competing fiscal demands. Bureaucratic processes within the Department of National Defense and procurement agencies have further delayed acquisitions through cumbersome bidding requirements and inter-agency power dynamics influencing budget allocations. For instance, Horizon 1 (2013-2017) completed only 36 of 53 projects by late 2023, attributable to protracted approval timelines and funding gaps enforced by the . Similarly, Horizon 2 (2017-2022) achieved roughly half completion, exacerbated by disruptions but rooted in structural inefficiencies like overlapping oversight from multiple government bodies. These delays underscore tensions between democratic accountability—intended to prevent military autonomy—and effective reform, as evidenced by a 2003 AFP mutiny protesting neglected modernization amid congressional inaction. Recent budgetary patterns illustrate ongoing political priorities overriding modernization needs, with reducing the 2025 defense request from $4.38 billion to $1.34 billion while military pensions consume approximately 20% of the defense allocation. Inconsistent funding across administrations, coupled with bureaucratic resistance to streamlined , has perpetuated reliance on outdated equipment, despite amendments like Republic Act No. 10349 extending the program through 2028. Efforts to address these via pension reforms for new recruits remain pending in , highlighting how and institutional inertia continue to constrain strategic imperatives.

Strategic Impact and Future Outlook

Contributions to National Deterrence

The Revised Modernization Program, enacted through Republic Act No. 10349 in December 2012, has advanced national deterrence by prioritizing acquisitions that enhance domain awareness, rapid response, and offensive-denial capabilities against maritime aggression, particularly from in the . This shift supports the Comprehensive Archipelagic Defense Concept, reorienting the AFP from internal security to external defense, enabling sustained presence in the to contest intrusions rather than merely monitor them. Key procurements under Horizons 1 and 2 include 12 FA-50 from , delivered between 2015 and 2017 for a cost of approximately $415.7 million, which bolster air patrol and interception capabilities over disputed waters. Naval enhancements feature two Hamilton-class cutters (BRP Gregorio del Pilar and BRP Ramon Alcaraz, acquired 2012-2013 for up to $400 million), two Jose Rizal-class frigates, and plans for offshore patrol vessels and missile boats, improving maritime interdiction and surveillance. The arrival of two supersonic systems in December 2023 further equips the AFP with precision strike options against surface threats, complicating adversary advances. These capabilities contribute to minimum credible deterrence by raising the costs of aggression through forward-deployed assets around features like Thitu Island, as evidenced by their deployment in response to Chinese maritime militia activities. While full Horizon 3 implementation—encompassing submarines, additional fighters, and radars for PHP 500 billion over six years, with PHP 45 billion allocated in 2024—remains pending, existing assets have enabled operational assertions of sovereignty, fostering a posture where potential aggressors must account for Philippine resistance integrated with allied support.

Alignment with Alliances and Regional Security

The AFP Modernization Act, through its phased acquisition of maritime and air assets such as frigates, patrol vessels, and fighter jets, enhances interoperability with the United States under the 1951 Mutual Defense Treaty and the 2014 Enhanced Defense Cooperation Agreement (EDCA), which permits U.S. rotational troop presence at Philippine bases to support joint operations. This alignment facilitates shared training exercises like Balikatan, where modernized Philippine platforms enable coordinated maritime domain awareness and rapid response capabilities, as outlined in the 2023 U.S.-Philippines Bilateral Defense Guidelines emphasizing joint modernization for secure sea lanes. In the context of regional security, the program's Horizon 2 and 3 phases prioritize external defense against territorial encroachments in the West Philippine Sea, where Chinese maritime militia and coast guard vessels have conducted over 1,000 incursions annually since 2016, prompting to acquire assets like the multi-role vessel for sustained patrols. This capability-building deters gray-zone tactics by integrating with U.S. and allied intelligence-sharing, as evidenced by surveillance flights that detected 200+ Chinese vessel sightings in 2024. The modernization also bolsters multilateral frameworks, including ASEAN defense cooperation and the Quad's maritime initiatives, by standardizing equipment to NATO-compatible systems, thereby amplifying Philippine contributions to deterrence without sole reliance on bilateral ties. Critics from frame these developments as escalatory , yet Philippine officials assert they restore minimal defensive parity amid asymmetric threats, with U.S. Foreign Financing providing $500 million in since 2022 to accelerate compatible acquisitions.

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