Small and Medium-based enterprise fast growing in Bacolod
BACOLOD CITY -- Permit and License Division Chief Ardis Jaculina vehemently denied yesterday the report that business climate in Bacolod City had a slowdown because of the sudden growth of the small business and family-based entrepreneur.
She said that the observation is not accurate because the report only based their figures on the large company like the rise of big businesses including Shoemart and 888 China Town which needs the capitalization of more than P180 million.
She said that "if the Small and Medium Based Enterprise suddenly increased, it is a positive indication that it has full support from the government and in fact it should be fostered, nurtured and strengthened because it is the backbone of the economy."
It was reported earlier that in 2007, the Business and Permit Division of the City of Bacolod received a new business application with the total figures of 2,825 which is higher compared to 2005 and eventually lower compared to 2006 with the average of 3,856 new business application.
But this year, the records strengthened to 2,517 even if the year 2008 had not yet concluded.
Jaculina said that she had a positive look that this will drastically increas considering that we have two months more to go before year 2009 starts.
She emphasized that we need to strengthen SMEs "because it has played a critical role in the economic growth in general and in industrial production in particular in less developed, developing and transitional economies worldwide. She further said that since SMEs has lower capital requirement, they are expected to stimulate growth of numerous indigenous enterprises.
"SMEs could be instrumental in promoting balanced growth and more equitable income distribution," Jaculina added.