Shifting Gears in Devolution

An Analysis of the Fiscal Implications of Reassigning Devolved Functions, Services, and Facilities among LGUs


Local government units (LGUs) have raised issues on the policy approach of Executive Order (EO) 138, s. 2021 including the lack of readiness of LGUs to fully assume all the devolved FSFs. In response, the President instructed NEDA to analyze the DILG-ULAP list of proposed reassignment of devolved FSFs. Also, to recommend ways to better implement a phased-in devolution process, which will guide the national government in formulating the appropriate devolution policy.

This report is a product of the National Economic and Development Authority (NEDA) study team composed of officials and staffs from the Regional Development Group and Investment Programming Group, with the overall guidance from Secretary Arsenio M. Balisacan. The study team acknowledges the support and collaboration of various national government agencies (NGAs), local government units (LGUs), and partner organizations in the conduct of the study and preparation of this report.

Download the Devolution Study here.