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A palladium-catalyzed allylic alkylation of unsubstituted 2-cyanoacetates using a 1,1′-bi-2-naphthol-derived multifunctional N,O,P ligand is reported. A number of chiral monosubstituted 2-cyanoacetates with two adjacent stereogenic carbon centers are obtained in this Pd-catalyzed asymmetric allylic alkylation reaction, in which the multistereogenic and multifunctional 1,1′-bi-2-naphthol-derived N,O,P ligand-promoted Pd-catalyzed asymmetric allylic alkylation reaction proceeds smoothly in high diastereo- and enantioselectivity (up to >99:1 dr and up to 96 % ee). [ABSTRACT FROM AUTHOR]