President Ferdinand Marcos Jr. has ordered the creation of an Inter-Agency Committee on Inflation and Market Outlook (IAC-IMO) in a bid to boost efforts to ease inflation and improve the economy.
Under Executive Order No. 28, the IAC-EMO shall serve as an advisory body to the Economic Development Group (EDG), previously called the Economic Development Cluster, on measures that would keep inflation, particularly of food and energy, within government targets.
“In view of the increasing prices of key commodities, particularly food and energy resources, the creation of an advisory body to the EDC, tasked to directly address inflation, will strengthen the EDC, and reinforce existing government initiatives aimed to improve the economy and the quality of life of the Filipino people,” the EO read.
The IAC-EMO will be composed of the National Economic and Development Authority (NEDA) Secretary as chairperson; the Finance Secretary as co-chairperson; the Budget Secretary as vice-chairperson; and the secretaries of Agriculture, Energy, Science and Technology, Trade, and Interior as members.
Among the functions of the advisory body are to closely monitor the main drivers of inflation, particularly food and energy, and their proximate sources and causes; assess the supply-demand situation for essential food commodities during the cropping period, allowing periodic updating as new information becomes available; assess the possible impact of natural and man-made shocks on the supply of key food commodities; and regularly monitor data necessary to assess food prices and the supply and demand situation.
IAC-EMO is also tasked to facilitate regular and efficient data sharing among concerned agencies to effect timely supply and demand situation analysis; monitor global, regional, and domestic developments and issues that may affect prices: and provide timely recommendations to the EDG and relevant agencies on measures to curb price spikes and promote food security based on ex-ante supply and demand analysis.
The President also ordered the IAC-IMO to submit a report to the EDG of the country’s food and energy supply and demand situation and outlook every quarter, or as the circumstances may require.
The report shall include recommendations on short, medium, and long-term measures to manage inflation.
The IAC-IMO shall also formulate and maintain a dashboard containing relevant information on prices, as well as the supply and demand for food and energy commodities.
Meanwhile, the EO tasked the EDG to undertake research and development that are relevant to and supportive of the requirements of micro, small, and medium-scale enterprises and for national industries; improve national productivity and competitiveness of domestic products and services; and ensure deep and wide distribution of economic opportunities and benefits to the Filipino people.
EDG is composed of the Finance Secretary as chairperson; NEDA as co-chairperson; and the head of Presidential Management Staff and the secretaries of Agriculture, Budget, Energy, Information and Communications Technology, Interior, Labor, Public Workers, Science and Technology, Trade, Transportation, and Tourism as members.