MANILA, Philippines — November 15, 2026 — President Ferdinand R. Marcos Jr. signed Executive Order No. 131 on November 12, establishing the National Artificial Intelligence Council (NAIC) and adopting a national framework to guide the development and use of artificial intelligence in the Philippines.
The measure creates a government-wide coordination structure covering AI policy, technical capabilities, digital infrastructure, research and business adoption, with particular attention to responsible technology development and the protection of workers and learners.
The decision comes as artificial intelligence becomes increasingly important to Philippine businesses, government services and employment. Its significance will depend not simply on the creation of another government body, but on whether agencies can turn the framework into practical standards, stronger digital capabilities and safeguards that people can trust.
National AI Council Gives Government a Central Coordination Structure
Executive Order No. 131 establishes the National Artificial Intelligence Council as an inter-agency body responsible for coordinating, facilitating and monitoring the implementation of the country’s AI Governance Framework.
The Executive Secretary serves as chairperson, while the Secretary of the Department of Economy, Planning, and Development (DEPDev) serves as vice chairperson.
The council includes the heads of the Department of Information and Communications Technology (DICT), Department of Science and Technology (DOST), Department of Trade and Industry (DTI), Department of Finance (DOF), Department of Education (DepEd), Department of Labor and Employment (DOLE), and Department of Budget and Management (DBM).
The Commission on Higher Education (CHED) chairperson and Technical Education and Skills Development Authority (TESDA) director general are also included.
One representative from the private sector will complete the council’s membership. The President will appoint this representative from nominees submitted by reputable business groups or associations.
The arrangement brings government departments responsible for technology, education, employment, industry and public financing into one coordinating structure.
This matters because AI affects multiple sectors simultaneously. A technology policy developed without considering workers, educational institutions, businesses and data protection could create gaps between innovation and public safeguards.
Four Elements Will Guide Philippine AI Governance
The framework adopted under EO 131 is organised around four interconnected elements.
Ethics and Principles establishes the values that should guide AI development, deployment and use. These include transparency and explainability, security and safety, accountability and integrity, human centricity, fairness and equity, and sustainable development.
Standards and Assurance addresses the need for technical standards, testing, evaluation and mechanisms for assessing AI systems.
Risk-Based Policy Toolkit provides a framework for selecting appropriate governance measures based on the risks associated with particular AI applications.
Enabling Resources focuses on the institutional, research, workforce and infrastructure capabilities necessary to support responsible AI development.
The risk-based approach is particularly important.
An AI system that recommends entertainment content does not necessarily present the same level of risk as one involved in employment decisions, financial assessments or essential public services.
A proportionate governance approach allows policymakers to consider the consequences of different applications rather than treating every AI tool identically.
The order also maintains the respective mandates of existing sector regulators. It should therefore not be interpreted as immediately replacing the regulatory responsibilities of government agencies already overseeing particular industries.
Five Technical Working Groups Will Address the Country’s AI Needs
The council will organise five technical working groups to develop action plans supporting the framework.
Their responsibilities cover five major areas:
- Institutions: Strengthening government agencies’ capacity to coordinate and oversee AI programmes.
- Data and Research Development: Improving research, trustworthy data systems, dataset availability and interoperability while respecting data privacy requirements.
- Capabilities: Developing national AI competencies, digital workforce training, education, literacy and scholarships.
- Infrastructure: Supporting reliable digital infrastructure and computing investment, including the country’s AI infrastructure master plan.
- Demand Generation: Encouraging responsible AI investment, public-private partnerships and financing mechanisms for government, businesses, MSMEs and startups.
Each action plan is expected to identify responsible agencies, deliverables, timelines, resource requirements and performance indicators.
This structure is important because AI adoption requires more than access to software.
Businesses and government offices also need reliable data, trained personnel, secure infrastructure and clear procedures for evaluating technology.
WWC ONE MEDIA previously examined the challenges facing Philippine local governments adopting artificial intelligence. That coverage illustrates why institutional readiness and reliable information matter when AI moves into actual public services.
What the New Framework Could Mean for Filipino Workers
The employment implications deserve particular attention.
AI can assist with repetitive administrative work, customer service, information processing, software development and other business activities.
However, the transition can also change the skills employers expect from workers.
Under the new framework, the Capabilities Technical Working Group will develop plans for national AI competencies, digital workforce development, education and scholarship programmes.
The council can also recommend measures to safeguard the rights and welfare of workers and learners affected by AI-driven transitions.
This is an important distinction: the framework recognises that technological progress must be accompanied by workforce preparation.
For the Philippines, this is particularly relevant to the information technology and business process management industry, where employees increasingly encounter AI-assisted systems.
WWC ONE MEDIA previously examined the Philippine AI talent shortage and the country’s digital competitiveness.
The broader issue is whether workers can access relevant training before changes in business operations affect their existing roles.
Training programmes, scholarships and industry partnerships could help, but their effectiveness will need to be measured through actual skills development and employment opportunities.
MSMEs and Startups Are Included in the AI Investment Strategy
The framework also recognises the importance of private-sector participation.
The Demand Generation Technical Working Group is tasked with developing measures to encourage responsible AI investment across government and industry.
Its scope includes public-private partnerships and innovative financing mechanisms for AI development and adoption, including opportunities involving MSMEs and startups.
For smaller businesses, this could eventually support wider access to technology that improves inventory management, customer support, marketing, data analysis and administrative operations.
But access to AI tools alone does not guarantee productivity improvements.
Businesses must also consider implementation costs, cybersecurity, data protection, employee training and the accuracy of automated outputs.
A company that adopts AI without adequate safeguards may introduce new operational risks even while attempting to improve efficiency.
WWC ONE MEDIA has also examined how Philippine technology firms are developing a new generation of AI engineers. Such workforce initiatives demonstrate why coordination between industry, education and government could become increasingly important.
Funding, Monitoring and Accountability Will Determine the Results
Creating the council is only the beginning of implementation.
The order provides for initial funding through existing appropriations of member agencies and other available funds identified by the Department of Budget and Management, subject to applicable budgeting, accounting and auditing rules.
Subsequent funding requirements will be included in the regular budget proposals of the participating agencies.
The DICT is tasked with establishing and maintaining a digital monitoring and reporting platform.
Government agencies must provide quarterly updates on implementation, while the council must submit progress reports to the President within 30 days after the end of each quarter.
The framework must also undergo review at least once every two years, or earlier when significant technological, regulatory or market developments require changes.
These reporting requirements could help identify delays and implementation gaps.
However, reporting alone does not establish that AI programmes are producing better services, protecting workers or improving business productivity.
The government will ultimately need measurable indicators showing whether the framework is achieving its objectives.
What Happens Next
The next stage involves organising the council’s technical working groups, preparing their action plans and establishing the monitoring arrangements.
DEPDev is also responsible for establishing an interim council secretariat within the period specified by the executive order.
Businesses, educational institutions, technology developers and workers will have an interest in the guidelines and initiatives that emerge from the implementation process.
For now, EO 131 establishes the institutional foundation for national AI governance, rather than providing an immediate guarantee of funding, employment or commercial benefits.
The real test will be whether the Philippines can develop an AI ecosystem that encourages innovation without leaving workers, smaller businesses and ordinary citizens behind.
Frequently Asked Questions
1. What is the National Artificial Intelligence Council?
The NAIC is an inter-agency government body established under Executive Order No. 131 to coordinate and monitor implementation of the Philippine AI Governance Framework.
2. Who will lead the National AI Council?
The Executive Secretary will serve as chairperson, while the Secretary of the Department of Economy, Planning, and Development will serve as vice chairperson.
3. Does EO 131 create a new AI regulatory agency?
No. It creates a coordinating council. Existing sector regulators retain their respective mandates.
4. How will the framework affect Filipino workers?
It provides for AI and digital workforce development, education, literacy and scholarships. The council can also recommend measures to safeguard workers and learners affected by AI-driven transitions.
5. Will small businesses receive government AI funding automatically?
No. The framework encourages responsible AI investment and financing mechanisms, including for MSMEs and startups, but does not guarantee automatic funding for individual businesses.
