The government is crafting the guidelines on the annual Innovation Fund allocation under the Philippine Innovation Act or Republic Act (RA) 11293.
Rosemarie Edillon, undersecretary of the National Economic and Development Authority (NEDA), at the AskNEDA briefing yesterday said the agency is coordinating with the Department of Budget and Management in finalizing the guidelines on the allocation of the P200 million budget from the 2021 General Appropriations Act.
“We are still ironing out the details by which this could be allocated to programs,” said Edillon.
The amount is supposed to serve as a revolving fund in assisting micro, small and medium enterprises as well as the poor and marginalized for tech innovation through the Department of Trade and Industry (DTI).
RA 11294 puts innovation as a vital component of national development and sustainable economic growth.
The fund for its implementation is supposed to be used to further this goal by supporting businesses and industries that are shifting into digital transformation and engaging in innovative activities.
The law has set P1-billion allocation but because of budgetary constraints, only a fifth can be funded.
Edillon said for the first tranche, NEDA is looking at tapping the different innovation initiatives of government agencies to disburse the amount.
The succeeding funding will then be used as grants for innovators, which NEDA is working out.
“But for now it will be through the innovation initiatives of government,” Edillon said.
Edillon said once the guidelines are out, NEDA will come up with a website for information on how innovators can tap the fund.
