The Micro, Small and Medium Enterprise (MSME) Development Plan 2023-2028 features our comprehensive strategy to boost the agility and resilience of our MSMEs in an increasingly interconnected and innovation-centric business environment. It is a systematic roadmap that lays out the necessary steps that we have to take to fortify our position at the forefront of international commerce. It also aligns seamlessly with our shared goal of harnessing the intrinsic entrepreneurial spirit and dynamism of our people to propel our nation towards a trajectory of exponential advancement.
In line with the government’s eight-point socio-economic agenda, this initiative calls for our harmonized efforts to ensure the success of our MSMEs amidst the promising busing opportunities we see today. By embracing a whole-of-nation approach, we optimize the power of MSMEs and mold them into active agents of transformation with the aid of groundbreaking digital ecosystems. We likewise strive to further our competitiveness by fostering more beneficial partnerships among MSMEs in Asia Pacific and the rest of the world.
The Micro, Small and Medium Enterprise (MSME) Development Plan 2017-2022 is the sectoral plan for the growth and advancement of the MSME sector. It was developed in consultation with various stakeholders from the private sector, academia, and government agencies. It is aligned with the Philippine government’s goal of boosting employment, business, and livelihood or “Trabaho, Negosyo, Kabuhayan” translating to “Malasakit”, “Pagbabago”, at “Patuloy na Pag-unlad” of the Philippine Development Plan (PDP) 2017-2022.
The key inputs to the Plan’s formulation were also taken from the Ten-Point Agenda for Development presented by President Rodrigo R. Duterte at his first State of the Nation Address on 25 July 2016. It was also developed in accordance with AmBisyon Natin 2040, the long-term mission and vision statement for Philippine development formulated by the National Economic and Development Authority (NEDA) in March 2016.
The Plan envisions for “more globally competitive MSMEs that are regionally integrated, resilient, sustainable and innovative thereby performing as key drivers of inclusive Philippine economic growth.” It has three (3) focus areas, namely: business environment, business capacity, and business opportunities with the following 5 strategic goals: (1) improved business climate; (2) improved access to finance; (3) enhanced management and labor capacities; (4) improved access to technology and innovation; and, (5) improved access to market.
On 04 April 2018, President Rodrigo Duterte has issued Executive Order No. 50 approving the MSME Development Plan 2017-2022 and directing concerned government agencies and instrumentalities, including government-owned or –controlled corporations and local government units, to adopt and implement the Plan. Accomplishment Report:
The Micro, Small, and Medium Enterprise Development (MSMED) Plan 2011-2016 aims to promote, support, strengthen, and encourage the growth and development of Micro, Small, and Medium Enterprises (MSMEs) in all productive sectors of the economy. The plan serves as the framework for the convergence of initiatives adopted and implemented by multi-stakeholders towards the growth and development of the MSME sector in the country.
The MSMED Plan was developed in consultation with national, regional, and provincial stakeholders. A participatory approach was adopted involving a series of stakeholder consultation, validation, and recalibration workshops participated in by representatives from the private sector, LGUs, national government agencies, the academe, and civil society.
The MSMED Plan has four major outcome or result portfolios, namely Business Environment (BE), Access to Finance (A2F), Access to Markets (A2M), and Productivity and Efficiency (P&E). It will also take into consideration global themes and cross-cutting issues related to gender, climate change, corporate social responsibility, and migration.
SME Development Plan 2004-2010 presents the integrated efforts to strengthen and stimulate the micro, small, and medium enterprise (MSME) sector so it can contribute significantly to the country’s development. This Plan aims to make the sector a key factor in the country’s economic growth by 2010.
The plan is designed to be carried out in three stages: roll-out, assessment of interim results, and re-programmed implementation. It projects to increase the MSME sector’s gross value added contribution to 40% of aggregate by 2010.
It also intends to make the sector a major contributor to export growth, with exporting MSMEs achieving a 16-% annual growth rate in export sales. These are expected to come about mainly through the creation of globally competitive MSMEs and assistance extended to them in aggressively seeking new market and product opportunities.
To meet the issues and challenges of the sector, the Plan sets down the following strategies:
To enhance operations of the individual SME
- Provide SMEs access to comprehensive and focused support for enhancing managerial and technological capabilities, tapping business opportunities, and becoming competitive in the local and international markets.
- Provide support for identifying and developing business opportunities through the development of business ideas that promote the expansion and diversification of the country’s industrial structure.
To assist priority industries
- Strengthen support to the growth industries that are active in the international markets to sustain and enhance their competitiveness and improve their access to the domestic market.
- Provide support for industrial linkages of SMEs with leading Philippine industries to strengthen the country’s industrial structure.
To improve the SME operational environment
- Develop SME financing support programs and strengthen the institutions that provide direct and appropriate financial services to SMEs.
- Streamline the systems that provide support programs and incentives for SMEs.
Streamline the implementation of SME policies and regulations.
- Strengthen and build the capabilities of institutions that generate and implement programs for SME development.
The SMED Plan was launched during the celebration of the 2004 SMED Week. In October 2005, a proposal was submitted to and consequently approved by the German Technical Cooperation (GTZ) and the Canadian International Development Agency (CIDA) for the funding of the services of a consultant/facilitator who will professionally facilitate and document the discussions of the activity groups. Following the said approval, the Bureau of Micro, Small, and Medium Enterprises Development (BMSMED) conducted action planning and harmonizing workshops for the activity groups under the plan.
In formulating the SMED Action Plan, the lead agencies were assisted/guided in clarifying the specific gaps addressed by their programs and projects and the improved or desired situation envisioned in their targets.The clarification of program targets resulted in the streamlining of the activity groups from the original 48 to 10 groups as the similarities and differences in their envisioned deliverables were sharpened.
The Plan has the following four outcome portfolios:
- Business and Investment Enabling Environment (BIEE);
- Access to Finance (A2F);
- Access to Market (A2M); and
- Productivity and Efficiency (P&E)
