The Micro, Small, and Medium Enterprise Development (MSMED) Council, the agency responsible for the promotion, growth, and development of MSMEs in the country, approved a resolution that adopts the recommended set of methods and framework for the MSMED Plan 2017-2022 and its component programs.

MSMEs consist of 99.54% of the total establishments and generate more than 60% of the total employment in the country. The MSMED Plan aims to protect this sector by providing them direction for growth and advancement, and making businesses sustainable, resilient, and globally competitive through strategies that simplify and streamline business transactions, provide access to technologies, and promote mentorship and expansion programs.

Supported by an Evaluability Assessment and Process Documentation, which was led by the National Economic Development Authority (NEDA) in partnership with the United Nations Development Programme (UNDP), the resolution emphasizes how evaluation studies are vital bases to determine the success of MSMED 2017-2022 and its six flagship programs, namely: Kapatid Mentor ME, Negosyo Center, One Town One Product, Pondo sa Pagbabago at Pag-asenso, Shared Service Facilities, and Small Enterprise Technology Upgrading Program.

The recommendations comprise of a theory of change, a results framework, and a full-blown evaluation, which will help determine approaches that are appropriate and effective in implementing these six programs in line with the preparations for the succeeding cycle of the Plan and PDP for 2023-2028. And with identified sets of indicators, there will be means to measure the growth and development of MSME beneficiaries across the country, which fall under various industries, including accommodation and food services, agriculture, construction, food processing, gifts and handicrafts, construction, personal hygiene, and retail, among others.

“COVID-19 has slowed MSME operations with the recent limited access to raw materials and human resources. We believe that these measures will provide Filipino MSMEs guidance in sustaining and expanding their businesses and make Filipino operators become smarter entrepreneurs, not just during the pandemic, but also even after”, Department of Trade and Industry (DTI) Secretary and MSMED Chairperson, Ramon Lopez, said.

Relevant agencies including the DTI and Department of Science and Technology (DOST), together with NEDA and UNDP and local stakeholders, met on 21 February and discussed the details of the recommendations. NEDA and partner agencies are expected to implement the full evaluation of the program covering all MSME beneficiaries in the next 6-20 months.

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