The Philippines has taken a significant leap in socio-economic planning and economic governance with the transformation of the National Economic and Development Authority (NEDA) into the newly established Department of Economy, Planning, and Development (DEPDev).
On April 10, 2025, President Ferdinand R. Marcos Jr. signed the landmark Economy, Planning, and Development Act (Republic Act No. 12145), officially chartering the DEPDev. This milestone legislation enhances the agency’s institutional independence, strengthens its mandate, and solidifies its role as the premier policy, planning, and coordinating body for the country’s economic strategy.
“The establishment of the DEPDev is a crucial step toward sound economic governance. By strengthening our long-term planning mechanisms, we ensure resilience, sustainability, and inclusive progress for all Filipinos,” said NEDA Secretary Arsenio M. Balisacan.
A Constitutional Mandate
The passage of RA No. 12145 fulfills a mandate outlined in the 1987 Philippine Constitution, specifically Section 9 of Article XII, which authorizes Congress to create an independent economic planning agency under the President’s leadership. The DEPDev is tasked with developing, recommending, and coordinating integrated national development programs in consultation with government agencies, private stakeholders, and local government units.
Strengthening Economic Planning
Tracing its roots back to the National Economic Council established in 1935, NEDA has served as the country’s leading policy advisory and coordination body since Executive Order (EO) No. 230 was enacted in 1987. Over time, its functions expanded significantly, spanning over 100 interagency bodies and councils addressing a broad spectrum of national development priorities.
Recognizing its growing responsibilities, Congress first proposed amendments to NEDA’s charter in 2009. The official transformation into the DEPDev positions the agency for greater efficiency, continuity, and authority in shaping policies that drive long-term economic stability.
Key Functions and Strategic Impact
DEPDev’s charter mandates alignment between national and regional development strategies, ensuring integrated long-term planning within the government’s budgeting framework. Additionally, the agency will spearhead future thinking, equipping the government to proactively address technological advancements, economic disruptions, and global uncertainties.
Another major reform is the institutionalization of the Planning Call, a mechanism designed to strengthen the connection between policy planning, budget allocations, and performance evaluations. This initiative enhances transparency, streamlines public resource allocation, and optimizes government decision-making.
“We extend our deepest gratitude to President Marcos Jr. and Congress for their unwavering support in realizing this reform,” Secretary Balisacan noted. “The DEPDev represents a future-ready, well-coordinated, and institutionally robust economic planning system—one that ensures sustained and inclusive growth for the Filipino people.”
Legislative Framework and Next Steps
RA No. 12145 clearly defines DEPDev’s mandate, functions, organizational structure, and responsibilities. It outlines essential outputs such as:
- National and Regional Development Frameworks
- Public investment programs
- Evaluation agendas and economic foresight reports
- Transparency and accountability reports
- The Inter-Generational Report, ensuring long-term stability across administrations
The law takes effect 15 days after its publication in the Official Gazette or a newspaper of general circulation.
