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Transparency by design: The promise of the CADENA Act

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STOCK PHOTO | Image by Jcomp from Freepik

In a political environment repeatedly shaken by allegations of misuse of funds, overpriced procurements, and questionable projects, a reform bill has emerged that deserves far greater public attention: Senator Bam Aquino’s Citizens’ Access and Disclosure of Expenditures for National Accountability (CADENA) Act.

While many legislative proposals focus on adding new agencies, increasing budgets, or introducing new programs, the CADENA Act aims to do something far more fundamental: to finally give Filipinos a full, structured, real-time view of how government actually spends public money. And as simple as that may sound, it has the power to change the country.

I laud Mr. Aquino for pushing this measure. It could not have come at a more urgent time, when corruption, both petty and large-scale, continues to drain national resources and erode public trust.

Although the name sounds technical, the principle behind CADENA is very straightforward: every peso of taxpayer money must be visible, traceable, and publicly disclosed. The bill directs the government to create a single, unified digital platform where all National Government agencies must upload expenditure-related documents. This includes the National Expenditure Program, the Budget of Expenditures and Sources of Financing, the General Appropriations Act, all procurement documents, contractor information, project details, and progress reports. The goal is not merely to post scanned files online, but to ensure that data is shared in structured, machine-readable formats so that the public, media, civil society, and independent analysts can easily review and cross-check information.

The measure also requires agencies to upload documents within seven days of issuance, release, or payment. This near real-time disclosure prevents irregularities from being hidden until long after the damage is done.

To preserve the integrity of data, the bill requires that uploaded documents be tamper-resistant and traceable. This means that once a document is published, any modification will leave a permanent audit trail, with previous versions remaining accessible. While the bill does not specify which technology should be used, its language clearly points to the adoption of systems that can ensure verifiability, immutability, and long-term data protection.

It is worth noting that there should be a transition from a tamper-evident system to a truly tamper-resistant one. Tamper-evident simply means one can detect if something has been altered, while tamper-resistant means altering it in the first place is close to impossible. This shift demands not only secure digital infrastructure but also strict governance protocols and oversight.

It is here that the CADENA Act’s future-proofing must be taken seriously. The bill’s intention is strong, but its success will depend on execution — how data will be stored, verified, and protected in the long run.

Future-proofing the CADENA framework means thinking beyond the technology of today. The platform must be designed to accommodate emerging innovations, from advanced data analytics to AI-powered anomaly detection, while remaining resilient against evolving cybersecurity threats. The system’s architecture should allow for upgrades without disrupting continuity, and its policies should mandate regular independent audits to ensure that it continues to serve the public interest.

The government must also establish a clear governance framework to define ownership, accountability, and access. Which agency will operate the portal? Who verifies data quality? How will privacy and national security be balanced with transparency? These are not technical questions but policy ones. A multi-stakeholder oversight board that includes government, civil society, and private sector representatives could help guarantee both transparency and accountability in implementation.

Another crucial element will be the establishment of a pilot program. Before full-scale rollout, a limited pilot involving select agencies — such as the Department of Budget and Management, the Department of Public Works and Highways, and the Department of Education — should be undertaken to test interoperability, user experience, and data consistency. This approach allows lessons to be learned early, avoiding costly errors when scaling nationally. It will also help identify gaps in staff training, process alignment, and infrastructure readiness across different departments.

In addition, issues related to data sovereignty must be clearly defined. With the growing involvement of cloud computing and third-party vendors in government digital infrastructure, it is essential that data generated under CADENA remains within Philippine jurisdiction and subject to Philippine law. National expenditure data cannot be stored or processed in a way that exposes it to external manipulation or foreign access. The policy must explicitly state where data is hosted, how backups are handled, and who has ultimate control over the information.

Equally important, CADENA should not just be about uploading data but about making that data usable. Structured formats and open APIs will allow journalists, researchers, and watchdog groups to develop their own tools to monitor projects and spending. A transparency portal is only as good as its ability to generate citizen engagement. It must therefore be intuitive, searchable, and accessible even to ordinary Filipinos who may not be experts in data analysis.

This is why the CADENA Act matters now more than ever. For decades, Filipinos have witnessed corruption in many forms: delayed projects, overpriced deals, ghost deliveries, substandard infrastructure, and billions of pesos in leakages. Each scandal follows a familiar pattern, with documents surfacing too late, audits happening long after the fact, and accountability fading as the news cycle moves on. CADENA breaks this pattern by shifting the fight against corruption from after-the-fact investigation to real-time exposure. Corruption thrives when information is hidden. Transparency, on the other hand, acts as a disinfectant. When expenditure data is public, accurate, and searchable, irregularities become much harder to conceal.

It is also important for citizens to understand that even well-intentioned reforms take time. The legislative process in the Philippines requires committee hearings, multiple readings, and reconciliation between the Senate and House versions before the President can sign or allow a bill to lapse into law. Even with strong public and legislative support, a reform like CADENA could take one to two years before implementation begins. But every great reform starts with persistence and vigilance, and CADENA is worth that effort.

At a time when frustration with corruption runs deep, the CADENA Act represents a rare and tangible opportunity to rebuild trust in government. It will not eliminate corruption overnight, but it will make it far more difficult to hide. It will not solve all problems, but it will create the conditions for accountability to thrive.

If we want a Philippines where transparency is automatic, where citizens have the right to know how their money is spent, and where public office truly means public trust, then CADENA deserves our collective and vocal support. The fight for accountability does not begin when the law is passed. It begins now with understanding, advocacy, and the courage to demand that our leaders finally turn transparency from a promise into practice.

Dr. Donald Patrick Lim is the founding president of the Global AI Council Philippines and the Blockchain Council of the Philippines, and the founding chair of the Cybersecurity Council, whose mission is to advocate the right use of emerging technologies to propel business organizations forward. He is currently the president and COO of DITO CME Holdings Corp.