Management of forest resources in the Philippines is still highly centralized and most of the power is retained at the central government. Moreover, the high number of actors and stakeholders in forest administration has resulted in poor management of the forestry sector, making the assignment and identification of accountability difficult. This paper reviews current governance issues confronting forest administration in the Philippines under a unitary system of government. Specifically, it discusses the current policy and institutional framework in the forestry sector, as well as the functional assignments of major forestry initiatives across levels of government. It also reviews the forest governance structures in federal countries, including the distribution of responsibilities in forest management. Finally, it suggests an indicative structure for forest governance in the Philippines under a federal system, and the enabling conditions towards better governance.