DA centralizes World Bank farm reforms under PMO

The Department of Agriculture (DA) is tightening control over two major World Bank-funded reform programs by placing them under a single project management office, in a move designed to speed up execution while improving oversight of agriculture modernization efforts.

The new structure covers the Philippines Sustainable Agriculture Transformation (PSAT) Program and the Technical Assistance for Sustainable Agricultural Transformation (TASAT) Project, both financed through Official Development Assistance. The consolidation is intended to address coordination gaps that have slowed implementation of large-scale reform initiatives in the past.

Agriculture Secretary Francisco P. Tiu Laurel Jr. said the unified setup is meant to improve delivery and accountability across the department’s reform agenda.

“The creation of a unified PMO is critical to ensure that these programs are implemented efficiently, transparently, and in full alignment with our reform agenda,” Tiu Laurel said. “This will allow us to accelerate delivery and ensure development assistance translates into tangible gains,” he added.

Under the new arrangement, a Project Director will lead operations, supported by a Deputy Project Director who will oversee day-to-day execution and compliance across participating units. The PMO also introduces Result Area (RA) Units tasked with delivering specific outputs linked to disbursement conditions set by the World Bank.

These units will be supported by technical working groups drawn from key DA offices handling rice, high-value crops, logistics, procurement, audit, and internal services, reflecting a shift toward more integrated implementation across the agency.

A dedicated Project Support Team will manage finance, procurement, human resources, and technical requirements to ensure alignment with both government rules and donor standards. Separate finance and procurement units are expected to help reduce delays that have long affected public sector projects.

The PSAT program operates as a policy-based loan, where funding is tied to performance targets, while TASAT provides technical assistance to support institutional reforms. Together, they link financing to measurable governance and delivery outcomes.

The DA said the new structure is expected to improve coordination and accountability, although it also introduces stricter compliance mechanisms tied to loan disbursements.

Funding for the PMO will be sourced from project allocations and existing agency budgets, subject to government auditing rules.

The order takes effect immediately, as the DA pushes to improve productivity and strengthen food security through more disciplined management of foreign-assisted agricultural programs.