Local business stakeholders have identified priority programs the government should invest in more following the announcement of President Rodrigo Duterte to pour more funds to support the country’s micro, small and medium enterprises (MSMEs).
Cebu Chamber of Commerce and Industry (CCCI) President Melanie Ng said the government should use these additional funds on projects in economic development and connectivity to create quality, efficiency, volume and market.
“We are very pleased to hear President Duterte announce the increase in budget for MSME development in the country,” she told Cebu Daily News in a text message.
On Sunday, President Duterte vowed to introduce changes in the national budget to funnel more funds into small businesses that help prop up the Philippine economy.
Speaking at the Association of Southeast Asian Nations (Asean) Business and Investment Summit, Duterte said focus should be given to the “small guys,” especially now that the government had received a boost in revenue collection.
“Next year, I’d like to make some late changes in the GAA (general appropriations act), the annual budget. I would like to pour more money in these medium, small, micro enterprises (MSMEs),” Duterte said.
“So you guys, the small businessmen, maybe a few billions here and there would suffice,” he added.
Ng, who attended the summit to represent CCCI, said funds for financial literacy programs and initiatives on the use of digital technologies are also worth considering in their quest for inclusive growth among businesses in the country.
Glenn Soco, president of the Mandaue Chamber of Commerce and Industry (MCCI), meanwhile, recommended that the country’s MSME program be enhanced and expanded using the additional funds.
“We should expand the beneficiaries of the mentorship program, enlisting of more mentors as well as involving the academe and other sectors relevant to MSME development,” he said.
Soco added that local government units need to activate their respective MSME Development Councils.
He said additional funding is needed to operationalize these proposed initiatives.
For Department of Trade and Industry (DTI) Cebu Provincial Director Ma. Elena Arbon, the augmented budget should be spent on more mentoring activities, shared service facilities and the government-led financing program for MSMEs.
She said it can also be poured into capacity development of businesses, initiatives to improve market access such as trade fairs and electronic commerce, brand equity development and digital transformation programs.
“Of course, startups and other tech-based initiatives will be there,” said Arbon.