Small and Medium Enterprises (SMEs) are the backbone of the Philippine economy, comprising over 99% of all businesses and employing a significant portion of the workforce. Recognizing their vital role, the Philippine government has implemented various programs to support and empower SMEs. As of 2025, several key initiatives are in place to assist SMEs in their growth and development.
1. Department of Trade and Industry (DTI) Initiatives
a. Negosyo Centers
Established under the Go Negosyo Act, Negosyo Centers are one-stop shops that provide services to facilitate business registration, offer business advisory services, and provide information on market access. These centers aim to streamline processes for SMEs and reduce bureaucratic hurdles.
b. Kapatid Mentor ME (KMME) Program
The KMME program is designed to help SMEs scale up their businesses through coaching and mentoring. It pairs entrepreneurs with mentors who provide guidance on various aspects of business operations, including financial management, marketing, and strategic planning. Go Negosyo
c. One Town, One Product (OTOP) Next Gen
OTOP Next Gen is an initiative that supports MSMEs in developing and promoting products rooted in local culture and resources. The program offers assistance in product development, design, standards compliance, and market access to help local products become more competitive. Wikipedia
2. Small Business Corporation (SB Corp) Programs
a. Pondo sa Pagbabago at Pag-asenso (P3) Program
The P3 Program is a micro-financing initiative that provides affordable loans to micro-enterprises, offering an alternative to informal lenders. Loan amounts range from PHP 5,000 to PHP 200,000 with minimal interest rates, aiming to support the financial needs of small businesses. Olern AI for Business
b. RISE UP Loan Program
Launched to aid businesses affected by economic challenges, the RISE UP (Resilient, Innovative, Sustainable Enterprises, Unleash your Potential) Loan Program offers loans for working capital and business expansion. It targets MSMEs looking to recover and grow in the post-pandemic economy.
c. Purchase Order Financing Program
This program provides short-term financing to MSMEs with confirmed purchase orders from reputable buyers. It enables businesses to fulfill large orders without straining their cash flow, thereby supporting their capacity to scale operations.
3. Go Negosyo Programs
a. 3M on Wheels (3MOW)
3MOW is a free nationwide mentorship program offering on-the-spot mentoring sessions for entrepreneurs. It focuses on providing guidance in Money, Market, and Mentorship—the three Ms essential for business success. Go Negosyo
b. Youthpreneur
Targeting young entrepreneurs, the Youthpreneur program aims to instill entrepreneurial mindset and skills among the youth. It provides mentorship and training to senior high school students, encouraging them to consider entrepreneurship as a viable career path. Go Negosyo
c. Women Entrepreneurship Programs
Go Negosyo has initiatives focused on empowering women entrepreneurs, recognizing their significant contribution to the economy. Programs include mentorship, training, and networking opportunities tailored for women-led enterprises.
4. Philippine Trade Training Center – Global MSME Academy (PTTC-GMEA)
The PTTC-GMEA offers training programs aimed at enhancing the capabilities of MSMEs. These programs cover various topics such as export strategies, digital marketing, and business resilience, equipping entrepreneurs with the skills needed to compete in the global market. Log in or sign up to view
5. Barangay Micro Business Enterprises (BMBE) Program
The BMBE program provides incentives to micro-enterprises, including income tax exemptions and access to financing. Businesses registered under this program benefit from reduced regulatory requirements and support aimed at fostering growth at the grassroots level. Wikipedia
6. Tatak Pinoy (Proudly Filipino) Act
Signed into law in 2024, the Tatak Pinoy Act aims to enhance collaboration between the government and private sector to promote Filipino industries. It encourages the production of high-value and sophisticated goods and services, enhancing competitiveness both locally and internationally. Wikipedia+1Reuters+1
7. Corporate Recovery and Tax Incentives for Enterprises (CREATE) Law
Enacted to attract more foreign investments and support local businesses, the CREATE Law reduces corporate income tax rates and grants additional fiscal incentives. It aims to make the Philippines a more competitive destination for business operations. Reuters
8. National Innovation Council (NIC)
Established under the Philippine Innovation Act of 2018, the NIC is tasked with developing the country’s innovation goals and strategies. It provides support for research and development, technology transfer, and innovation initiatives that can benefit SMEs. Wikipedia
Conclusion
The Philippine government, in collaboration with various agencies and organizations, continues to implement programs aimed at supporting and empowering SMEs. These initiatives provide financial assistance, mentorship, training, and policy support to help SMEs thrive in a competitive market. Entrepreneurs are encouraged to explore and take advantage of these programs to enhance their business operations and contribute to the country’s economic growth.