National Capacity Building Workshop on Strengthening Entrepreneurship and Business Digitization among Micro-, Small and Medium-sized Enterprises in the creative industry for Accelerating Progress towards Sustainable Development Goals in the Philippines

Background

Micro, small, and medium-sized enterprises (MSMEs) are critical for the Philippine economy, fostering job creation, innovation, and inclusive economic growth. The Philippine Statistics Authority (PSA) reports that there are over 1.08 million businesses in the country, with MSMEs accounting for approximately over 99% of all business establishments across various sectors, including manufacturing, retail, wholesale trade, services, and the rapidly growing creative industry.

The creative industry sector holds immense potential, motivating innovation and inclusive and sustainable economic growth in the Philippines. In 2021, the creative industry sector created 11.6% of total employment of the country. Additionally, the creative industry sector played a crucial role in Philippine trade, with creative goods and services amounting to US$4.2 billion, representing 6.57% of the country's total trade volume. In 2022, the sector's value amounted to Philippine Peso 1.60 trillion, contributing 7.3% to the country's Gross Domestic Product (GDP), marking a 12.1% increase from 2021 (Philippine Statistics Authority, 2023). One significant challenge facing MSMEs in the Philippines is the vulnerability of MSMEs to both economic shocks and natural disasters. The archipelagic nature of the Philippines makes it highly prone to various hazards such as typhoons, earthquakes, and floods. The devastating impacts of these disasters can disrupt business operations, damage infrastructure, and jeopardize the livelihoods of MSME owners and employees.

In collaboration with the Division for Sustainable Development Goals, United Nations Department of Economic and Social Affairs (DSDG/DESA), Department of Trade and Industry (DTI) of the Philippines, through the Bureau of Small and Medium Enterprise Development (BSMED), launched the "Creative AGE for SDGs: Accelerating Growth of MSMEs in the Philippines" Programme on December 6, 2022. The first phase of the programme has strengthened capacities and enhanced the business resilience of women and youth-led MSMEs in the creative industry sector and provided in-depth insights on how to better support MSMEs in expanding their contributions to achieving SDGs. Thirteen creative MSME champions successfully completed the programme. They have received continuous support from various MSME-support organizations.

This workshop aims to validate and finalize the training manual with inputs from participating national and sub-national stakeholders, including policymakers, MSME entrepreneurs, representatives from MSME associations and development partners. In addition, the workshop will also support the DTI formulating a group of “master trainers”, who will be capacitated to disseminate the training manual and facilitate its adoption as a living document in the Philippines. With these two objectives, the workshop expects to support the effective implementation of the Creative AGE for SDGs programme.