ACCESS to financing, an e-commerce site and an MSMEs registry are among the proposed solutions to boost micro, small to medium enterprises (MSMEs) in Cagayan de Oro City, city officials said on Thursday.
These solutions were presented during a press briefing for the forthcoming ‘Tinagboan Festival’ scheduled on Aug. 7-10 at the Limketkai Center rotunda.
The Tinagboan Festival is one of several major events included in City Hall’s calendar of activities for Cagayan de Oro City’s month long observance of its annual Higalaay Festival.
The four-day Tinagboan Festival features members of the Food Producers Association of Northern Mindanao (FOPANORMIN).
During the briefing, Councilor Goking said while there are enough tax incentives provided in the city’s ordinances, easy access to financing is critical to providing capitalization to MSMEs in order to sustain their operations.
‘There is an (amendment to the) CREATE law (Republic Act 9794) or the Corporate Recovery and Tax Incentives for Enterprises Act called CREATE MORE…the amendment will help the sustainability of these MSMEs through easy access to financing since most banks are reluctant to provide loans to MSMEs which they consider as high risk,’ Councilor Goking said.
Goking, who chairs the City Council’s committees on trade and commerce and ways and means, said they will enact an ordinance based on the CREATE MORE bill once it is passed by Congress and signed into law by the President.
Later, Asuncion said the e-commerce website geared towards marketing MSMEs will be set up this year.
‘The e-commerce website to be set up and operated by City Hall will help promote and showcase the products of these MSMEs and direct interested buyers to them but any transactions between buyer and seller (we will be hands off…(we will launch) the MSME registry this year (that will serve as database) for our office to (keep track of) and engage in business matching,’ Asuncion said.
About 98 percent of more than 31,000 registered businesses in Cagayan de Oro City are MSMEs and each provide employment for three to four families, Asuncion said.
‘That’s why the administration of Mayor Rolando ‘Klarex’ Uy partners with MSMEs,’ he said.
Asuncion said their office is looking into setting up this year an ‘incubation center’ for prospective MSME applicants.
For her part, FOPANORMIN President Ana Marie Viscayno thanked City Hall for their assistance especially in their recovery from economic restrictions caused by the COVID-19 pandemic. ‘Hopefully we can also ask for public support through patronage of our products,’ she said. Stephen Capillas of City Information Office
