Deliberations at the House of Representatives of the 2022 budget of the Department of Trade and Industry (DTI) focused on the need to give more assistance to micro, small and medium enterprises (MSMEs) for them to weather the ill effects of the new coronavirus disease 2019.
Trade Secretary Ramon Lopez at Friday’s hearing of the DTI budget noted ideally, fund allocation for microfinance and livelihood kits for MSMEs should be doubled to P10 billion.
Congress on proposed a budget higher than the National Expenditure Program (NEP) for 2022 of P23 billion.
Iloilo Rep. Janette Garin in her interpellation proposed to channel P7.5 billion or 50 percent of the budget of the Technical Education and Skills Development Authority (TESDA) to the DTI so it can assist MSMEs in, among other things, complying with health protocols including free COVID testing to their employees. TESDA is an attached agency of the DTI.
Lopez said while DTI can just encourage businesses to conduct regular testing of their employees, making COVID tests a requirement in the future can be explored.
At the hearing, it was learned TESDA had P16 billion in unused budget – P11.9 billion this year and P4.3 billion in 2020.
This year, 80 percent of TESDA’s budget remains unutilized, according to Deputy Speaker Wesley Gatchalian.
This, Gatchalian said, comes at a time where there is more immediate support our MSME.
“Whether it’s P3 (Pondo sa Pagbabago at Pagasenso) or through the MSME development program or the cooperative development …it’s better to give this funds to them, especially right now, that there is a pandemic when a lot of MSMEs have closed down,” Gatchalian said.
Garin said: “TESDA remains to have the highest share in DTI’s NEP at P14. 75 billion or more than half the agency’s budget. About 1,100 positions or 50 percent have remained unfilled. TESDA’s budget
is huge; unfortunately expectations are different from what happens on the ground.”
