Solons call for increase in DTI budget to help more MSMEs

Four lawmakers filed a resolution urging the House of Representatives to increase the funds that will be appropriated to the Department of Trade and Industry and its attached agencies for fiscal year 2022.

House Resolution 2228, filed by Representatives Wes Gatchalian, Stella Quimbo, John Rey Tiangco, and David Suarez, aims to benefit Filipino micro, small, and medium enterprises, which constitute 99.51% of the country's businesses and are responsible for employing at least 5.38 million Filipinos.

The lawmakers pointed out that MSMEs have been decimated by the COVID-19 pandemic and despite government's efforts to help them, 10% of MSMEs were forced to shut down permanently due to lack of sales.

They pointed out that with the meager proposed budget for the DTI, its attached agencies and the Small Business Corporation, only a fraction of MSMEs will be provided with help.

"There is an immediate need to provide further assistance for the upskilling and reskilling of our MSMEs as we transition to digitalization in these new times and and the frontline government agencies primed to assist MSMEs is the DTI, its attached agencies, and the Small Business Corporation," the resolution read.

The DTI is proposing a budget of P23.71 billion for 2022, which includes the P13.642 billion or 57.56% allocated for TESDA, one of its attached agencies.

The lawmakers are calling for at least P1.623 billion increase in its budget to serve MSMEs affected by the pandemic.

The government agencies could provide loans to registered and unregistered micro entrepreneurs, give training for their technology literacy, and provide a safe haven for MSMEs so they could sustain their businesses amid the health crisis, the lawmakers said.

Trade Secretary Ramon Lopez earlier said the agency needs at least P10 billion more to extend P10,000 in loans to some one million registered MSMEs.—AOL, GMA News