MANILA — The Philippines is embarking on a new socioeconomic and development planning era by reorganizing the National Economic and Development Authority (NEDA) into the Department of Economy, Planning, and Development (DEPDev).
On April 10, 2025, President Ferdinand R. Marcos Jr. signed the Economy, Planning, and Development Act (Republic Act [RA] No. 12145), legislating the DEPDev’s charter. The new law strengthens the agency’s mandate, institutional independence, and capacity as the country’s primary policy, planning, coordinating, and monitoring arm of the Executive branch on the national economy.
“The establishment of the DEPDev contributes to sound economic governance by bridging past and future development strategies, ultimately ensuring our upward development trajectory and that economic progress is sustained, remains resilient, and is beneficial to all Filipinos,” said NEDA Secretary Arsenio M. Balisacan.
The passage of the law fulfills Section 9 of Article XII of the 1987 Philippine Constitution, which states that the “Congress may establish an independent economic and planning agency headed by the President, which shall, after consultations with the appropriate public agencies, various private sectors, and local government units, recommend to Congress, and implement continuing integrated and coordinated programs and policies for national development.”
The DEPDev can trace its roots to the National Economic Council, which the National Assembly established on December 23, 1935. Before Congress established the DEPDev, NEDA carried out its policy advisory and coordination functions through Executive Order (EO) No. 230, s. 1987, which designated the agency as a technical and research body providing recommendations and assistance to the NEDA Board chaired by the President.
Over the years, NEDA’s role has significantly expanded to include oversight of or membership in more than 100 interagency bodies and councils concerned with a wide range of socioeconomic matters and overall national development. This role is in addition to its central mandate in policy formulation, development planning, investment programming, policy and program coordination, and monitoring and evaluation (M&E).
The agency has served as a secretariat to high-level bodies such as the NEDA Board and its subcommittees, the Regional Development Councils, the Legislative-Executive Development Advisory Council, the National Innovation Council, and the Economic Development Group. Given its expanding role, the amendment to the NEDA charter was first introduced in Congress in 2009.
With its transformation into a full-fledged executive department, NEDA’s reorganization into the DEPDev enables the agency to function more effectively, enhancing its ability and authority to ensure policy continuity and coherence through long-term strategic planning and foresight.
The DEPDev is mandated to ensure the alignment of institutionalized national and regional plans, the integration of long-term strategies into the budgeting process, and the pursuit of proactive approaches toward addressing emerging challenges. It is also tasked to strengthen the capacities of national and local government agencies in planning and policymaking to ensure equitable access to economic opportunities.
RA No. 12145 aims to institutionalize the DEPDev’s mandate to conduct futures thinking and scenario planning exercises to enable the government to better anticipate and respond to technological shifts, economic disruptions, and global uncertainties. Through long-term strategic policymaking, the agency will ensure the sustainability of economic progress and the resilience of the nation’s development trajectory despite economic disruptions and political administration changes.
Another key reform under the law is the institutionalization of the Planning Call, which seeks to further strengthen the linkages between planning, budgeting, and M&E by establishing clear standards, guidelines, and accountability mechanisms. This initiative streamlines the integration of development priorities into the budgeting process, reducing inefficiencies and delays, promoting transparency and accountability in government decision-making, and ensuring that public resources are channeled to programs and projects most responsive or proven impactful to the country’s development needs.
“We thank President Ferdinand R. Marcos Jr. as well as our partners in Congress for passing this reform as we reach a new milestone in our nation’s economic history. By institutionalizing the DEPDev, we are committing to a future-ready, well-coordinated, and institutionally robust system for economic governance—one that can help drive sustained and inclusive growth and help us progressively realize our nation’s long-term vision of a matatag, maginhawa, at panatag na buhay para sa lahat,” Balisacan said.
As the DEPDev’s legislated charter, RA No. 12145 provides for the agency’s mandate, powers and functions, composition, and organizational structure. The law frames the agency’s scope of work for the major technical exercises and outputs it expects to undertake and produce. These include the formulation of the country’s long-term vision and development framework; the national and regional development plans and reports; the public investment program and regional development investment programs; transparency and accountability reports; the medium-term national evaluation agenda; and an Inter-Generational Report, among others.
The law will take effect fifteen days after its publication in the Official Gazette or in a newspaper of general circulation.
