President Ferdinand Marcos Jr. on Thursday signed into law a measure that reorganizes the National Economic and Development Authority (NEDA) into the Department of Economy, Planning, and Development (DEPDev).

In a statement, the agency noted that with the reorganization of NEDA, the country is now "embarking on a new socioeconomic and development planning era".

It noted that Economy, Planning, and Development Act (Republic Act [RA] No. 12145), legislating the DEPDev's charter, "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."

NEDA Secretary Arsenio Balisacan said "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."

"We thank President Ferdinand 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," he said.

"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," Balisacan added.

According to the agency, 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," it stated.

With its transformation into a full-fledged executive department, NEDA noted that its 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," it stated.

"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," it added.

The law noted that it will take effect 15 days after its publication in the Official Gazette or in a newspaper of general circulation. Robina Asido/DMS