THE House of Representatives voted unanimously to approve on third and final reading the bill which seeks to encourage the development of micro, small and medium enterprises (MSMEs) in the country.
All 212 members of the House of Representatives voted in favor of House Bill 8714, which seeks to amend Republic Act No. 6977, as amended, otherwise known as the “Magna Carta For Micro, Small and Medium Enterprises.”
Cagayan de Oro 2nd District Rep. Maximo Rodriguez Jr., principal author of the bill, said there is a need to strengthen the Magna Carta for MSMEs.
“The MSME Sector accounts for 62.8 percent of total jobs generated by all types of business establishment in 2014. Of the total number of MSMEs, 90.3 percent are micro enterprises, 9.3 percent are small enterprises and 0.4 percent are medium enterprises,” Rodriguez said in a statement.
He also noted that the lack of access to financing and other related support continue to be a major handicap for the MSMEs.
Party-list 1PACMAN Representative Michael Romero, co-author of HB8714, said there is a need to create a more effective financial institution that is better geared to meet the needs of the MSMEs.
The bill mandates the National Government, its bureaus, offices and agencies to allocate at least 10 percent of all its procurement opportunities for goods and services to eligible MSMEs in accordance with the provisions of Republic Act No. 9184, otherwise known as the “Government Procurement Reforms Act”, and its implementing rules and regulations.
The proposal also expands the membership of the Micro, Small and Medium Enterprises Development (MSMED) Council with the inclusion of the Secretary of Finance, three representatives from the MSME sector to be designated by a national organization representing and dominated by MSMEs as members.
The other lawmakers who authored the measure are Majority Leader Rolando Andaya Jr., Minority Leader Danilo Suarez, Deputy Speaker Ferdinand Hernandez, Deputy Majority Leader Ann Hofer, Reps. Enrico Pineda, Jose Antonio Sy-Alvarado, Salvador Belaro Jr., Peter Unabia, Carmelo Lazatin II, Gary Alejano, Ricardo Belmonte, Carlos Isagani Zarate, Dennis Laogan, Jocelyn Limkaichong, Rodrigo Abellanosa, among others. (Keith A. Calayag/SunStar Philippines)