The Department of Transportation (DOTr) said the proposed P197 billion budget for the agency for 2026 does not include allocations for the Mindanao Railway Project. However, the feasibility study of the project is being updated in preparation for the next potential funding, according to Transportation Assistant Secretary Eduardo Macabulos. Acting Transportation Secretary Giovanni Lopez recommended allocating funds in the Project Management Office (PMO) for the railway project, particularly for the right of way. The Mindanao Railway Project was originally set to begin construction for its phase 1 or Tagum-Davao-Digos segment in January 2019, with a length of 100.2 kilometers, over eight stations, and an estimated project cost of P81.6 billion as of 2021. The government had already dropped Chinese official development assistance financing for the project in October 2023.