Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
Twentieth Congress 
First Regular Session 
HOUSE BILL NO. __ 
Introduced by Representatives JOCELYN P. TULFO, RALPH WENDEL P. TULFO, and 
EDVICG. YAP 
AN ACT PROMOTING INCLUSIVE AND SUSTAINABLE RURAL DEVELOPMENT 
AND LIVELIHOOD ENHANCEMENT IN THE PHILIPPINES, PROVIDING FUNDS 
THEREFOR, AND FOR OTHER PURPOSES. 
EXPLANATORY NOTE 
Despite the Philippines' steady economic growth, rural communities continue to 
lag behind in development, with poverty incidence remaining high at 25.7% as of 2023. 
The Rural Development and Livelihood Enhancement Act of 2025 addresses this 
disparity by establishing a comprehensive framework for sustainable rural progress. 
This bill recognizes that true national development cannot be achieved without uplifting 
our agricultural and fishing communities, who form the backbone of our economy yet 
remain among our most marginalized sectors. 
The proposed legislation tackles multiple dimensions of rural poverty through 
seven key strategies: generating sustainable livelihood opportunities, improving 
financial access, enhancing skills development, building critical infrastructure, 
developing agricultural value chains, empowering local communities, and reducing 
urban-rural inequality. By creating a dedicated Rural Development and Livelihood 
Enhancement Council chaired by the Department of Agriculture, the bill ensures 
coordinated implementation across all relevant agencies including DTI, DSWD, TESDA, 
and DPWH. 
This measure builds upon existing laws like the Agriculture and Fisheries 
Modernization Act (RA 8435) and Sagip Saka Act (RA 11321), while addressing critical 
gaps in current rural development programs. It specifically targets the infrastructure 
deficit with only 30% of farm-to-market roads currently paved (DA, 2024 ), limited 
financial inclusion, just 12% of farmers access formal credit (BSP, 2023), and climate 
vulnerabilities that disproportionately affect rural producers. The bill's emphasis on value 
chain development and agri-tourism creates new economic opportunities beyond 
traditional farming. 
Funding will be sourced through the annual General Appropriations Act, with 
provisions for public-private partnerships and international grants. The proposed 
July 31, 2025
3:24 pm
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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
Twentieth Congress 
First Regular Session 
HOUSE BILL NO.____ 
Introduced by Representatives JOCELYN P. TULFO, RALPH WENDEL P. TULFO, and 
EDVIC G. YAP 
AN ACT PROMOTING INCLUSIVE AND SUSTAINABLE RURAL DEVELOPMENT AND
LIVELIHOOD ENHANCEMENT IN THE PHILIPPINES, PROVIDING FUNDS
THEREFOR, AND FOR OTHER PURPOSES. 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled
SECTION 1. Short Title. 
1 
This Act shall be known as the "Rural Development and Livelihood Enhancement 
2 
Act of 2025." 
3 
SECTION 2. Declaration of Policy. 
4 
It is hereby declared the policy of the State to foster inclusive and sustainable 
5 
economic growth in rural areas of the Philippines by creating and strengthening 
6 
opportunities for livelihood, improving access to essential services, and 
7 
empowering rural communities. The State recognizes the vital role of rural areas in 
8 
national development and commits to uplifting the socio-economic conditions of 
9 
rural populations, reducing poverty incidence, and bridging the development gap 
10 
between urban and rural areas, ensuring that the benefits of national growth are 
11 
equitably distributed. 
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SECTION 3. Objectives.  
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This Act shall specifically seek to: 
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1. Generate Sustainable Livelihood Opportunities: Establish and expand
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programs that provide diverse and sustainable income-generating activities
16 
for rural residents, particularly those in poverty-stricken areas, including
17 
support for agriculture, fisheries, agri-tourism, micro-enterprises, and small
18 
and medium-sized enterprises (MSMEs).
19 
2. Improve Access to Financial Services: Enhance the availability of
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affordable credit, microfinance, and other financial products tailored to the
21 
needs of rural communities, farmers, fisherfolk, and small entrepreneurs,
22 
thereby stimulating economic activity.
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3. Strengthen Capacity Building and Skills Development: Provide relevant
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training, technical assistance, and capacity-building programs that equip 
1 
rural residents with the necessary skills for entrepreneurship, modern 
2 
agricultural practices, new technologies, and access to better employment 
3 
opportunities.  
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4. Develop Rural Infrastructure: Support the construction and improvement 
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of essential infrastructure in rural areas, such as farm-to-market roads, 
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irrigation systems, post-harvest facilities, and communication networks, 
7 
which are crucial for economic development and connectivity.  
8 
5. Promote Value Chain Development: Encourage the development of robust 
9 
value chains in agriculture and other rural industries, ensuring that producers 
10 
gain better access to markets, fair prices for their products, and opportunities 
11 
for value-added processing.  
12 
6. Empower Rural Communities: Foster community participation and self-
13 
reliance 
by 
strengthening 
local 
organizations, 
cooperatives, 
and 
14 
associations, enabling them to actively engage in planning, implementing, 
15 
and monitoring rural development initiatives.  
16 
7. Reduce Poverty and Inequality: Ultimately, uplift the socio-economic 
17 
conditions of rural populations, reduce poverty incidence, and bridge the 
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development gap between urban and rural areas, ensuring that the benefits 
19 
of national growth are equitably distributed. 
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SECTION 4. Definition of Terms.  
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For the purpose of this Act, the following terms shall mean:  
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a. Rural Areas: Geographically isolated and disadvantaged areas, and other 
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communities outside of highly urbanized cities, primarily dependent on 
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agriculture, fisheries, or other natural resource-based industries.  
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b. Sustainable 
Livelihood: 
Income-generating 
activities 
that 
are 
26 
environmentally sound, socially equitable, and economically viable in the 
27 
long term.  
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c. Micro-enterprises: Business activities with assets of not more than Three 
29 
Million Pesos (P3,000,000.00).  
30 
d. Small and Medium-sized Enterprises (MSMEs): Enterprises with assets 
31 
of more than Three Million Pesos (P3,000,000.00) up to One Hundred Million 
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Pesos (P100,000,000.00).  
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e. Value Chain: The full range of activities required to bring a product or service 
34 
from conception to delivery to final consumers, including production, 
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processing, marketing, and distribution.  
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f. Community Empowerment: The process by which communities gain 
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increased control over their lives and environment, and actively participate 
38 
in decision-making processes affecting their development. 
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SECTION 5. Creation of the Rural Development and Livelihood Enhancement 
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Council.  
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There is hereby created a Rural Development and Livelihood Enhancement 
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Council, hereinafter referred to as the "Council," which shall be the primary 
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coordinating and policy-making body for the implementation of this Act.  
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The Council shall be composed of:  
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a. The Secretary of the Department of Agriculture (DA) as Chairperson;  
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b. The Secretary of the Department of Trade and Industry (DTI) as Co-
3 
Chairperson; 
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c. The Secretary of the Department of Social Welfare and Development 
5 
(DSWD);  
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d. The Secretary of the Department of Public Works and Highways (DPWH);  
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e. The Secretary of the Department of Information and Communications 
8 
Technology (DICT);  
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f. The Secretary of the Department of Finance (DOF);  
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g. The Director-General of the National Economic and Development Authority 
11 
(NEDA);  
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h. The Chairperson of the Cooperative Development Authority (CDA);  
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i. One (1) representative from the private sector involved in agriculture or rural 
14 
development; and  
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j. One (1) representative from a recognized national organization of farmers 
16 
and fisherfolk.  
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The Council shall formulate a comprehensive National Rural Development and 
18 
Livelihood Enhancement Plan, monitor its implementation, and recommend policies 
19 
and programs to achieve the objectives of this Act. 
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SECTION 6. Sustainable Livelihood Opportunities Program.  
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The Department of Agriculture (DA), in coordination with the Department of Trade 
22 
and Industry (DTI), Department of Social Welfare and Development (DSWD), and 
23 
other relevant agencies, shall establish and expand programs for sustainable 
24 
livelihood generation in rural areas.  
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These programs shall include, but not be limited to:  
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● Provision of start-up capital and equipment for micro-enterprises and 
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MSMEs.  
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● Support for diversified farming systems, organic agriculture, and climate-
29 
resilient agricultural practices.  
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● Development of community-based agri-tourism initiatives.  
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● Promotion of sustainable aquaculture and fisheries.  
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● Facilitation of access to raw materials, technology, and market linkages for 
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rural products. 
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SECTION 7. Improved Access to Financial Services.  
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The Bangko Sentral ng Pilipinas (BSP), in coordination with the Department of 
36 
Finance (DOF), shall develop and implement policies to enhance the availability of 
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affordable and accessible financial services in rural areas.  
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This shall include, but not be limited to:  
1 
● Encouraging the establishment of rural banks, cooperative banks, and 
2 
microfinance institutions.  
3 
● Promoting innovative financial products such as agricultural insurance, crop 
4 
loans, and flexible repayment schemes.  
5 
● Facilitating the digitalization of financial services in rural communities.  
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● Providing financial literacy programs for rural residents. 
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SECTION 8. Capacity Building and Skills Development.  
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The Technical Education and Skills Development Authority (TESDA), in 
9 
coordination with the DA, DTI, and other relevant agencies, shall design and 
10 
implement skills development and capacity-building programs tailored to the needs 
11 
of rural communities.  
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These programs shall focus on:  
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● Modern agricultural and fishing techniques.  
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● Entrepreneurship and business management.  
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● Digital literacy and e-commerce.  
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● Vocational and technical skills relevant to emerging rural industries.  
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● Value-adding and processing of agricultural and fishery products. 
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SECTION 9. Rural Infrastructure Development.  
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The Department of Public Works and Highways (DPWH), in coordination with the 
20 
DA, Department of Transportation (DOTr), and other relevant agencies, shall 
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prioritize the development and improvement of essential rural infrastructure.  
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This shall include, but not be limited to:  
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● Construction and rehabilitation of farm-to-market roads.  
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● Development and maintenance of irrigation systems.  
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● Establishment of post-harvest facilities, cold storage, and processing 
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centers.  
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● Expansion of communication networks, including internet connectivity, in 
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remote areas. 
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SECTION 10. Value Chain Development.  
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The Department of Trade and Industry (DTI), in coordination with the DA and other 
31 
relevant agencies, shall lead efforts in developing robust value chains for key 
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agricultural and rural products.  
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This shall involve:  
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● Facilitating market access for rural producers through trade fairs, online 
35 
platforms, and direct linkages with buyers.  
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● Promoting product standardization, quality control, and branding.  
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● Encouraging investments in value-added processing and manufacturing in 
2 
rural areas.  
3 
● Strengthening partnerships between producers, processors, distributors, 
4 
and consumers. 
5 
SECTION 11. Community Empowerment and Participation.  
6 
The Department of the Interior and Local Government (DILG), in coordination with 
7 
the Cooperative Development Authority (CDA) and DSWD, shall strengthen the 
8 
capacity of local government units (LGUs) and rural communities to actively 
9 
participate in rural development initiatives.  
10 
This shall include:  
11 
● Providing technical assistance to LGUs in developing and implementing their 
12 
local rural development plans.  
13 
● Promoting the formation and strengthening of cooperatives, associations, 
14 
and other community-based organizations.  
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● Ensuring meaningful consultation and participation of rural communities in 
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the planning, implementation, and monitoring of projects under this Act. 
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SECTION 12. Funding.  
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The amount necessary to carry out the provisions of this Act shall be included in 
19 
the annual General Appropriations Act. The Council may also seek and receive 
20 
grants, donations, and other forms of assistance from local and international 
21 
sources, subject to existing laws and regulations. 
22 
SECTION 13. Implementing Rules and Regulations.  
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Within ninety (90) days from the effectivity of this Act, the Rural Development and 
24 
Livelihood Enhancement Council, in consultation with relevant government 
25 
agencies, local government units, and stakeholders, shall formulate the necessary 
26 
rules and regulations for the effective implementation of this Act. 
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SECTION 14. Separability Clause.  
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If any provision or part of this Act is declared invalid or unconstitutional, the 
29 
remaining parts or provisions not affected thereby shall remain in full force and 
30 
effect. 
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SECTION 15. Repealing Clause.  
32 
All laws, decrees, executive orders, proclamations, rules, and regulations, or parts 
33 
thereof inconsistent with the provisions of this Act are hereby repealed, amended, 
34 
or modified accordingly. 
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SECTION 16. Effectivity.  
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This Act shall take effect fifteen (15) days after its publication in the Official Gazette 
37 
or in a newspaper of general circulation. 
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Approved, 
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