MANILA – The House of Representatives’ Committee on Appropriations is pushing for a higher budget for the Department of Trade and Industry (DTI) next year, seeing its crucial role in economic recovery amid the pandemic.
House Committee Vice Chair, Rep. Manuel Zubiri, who presided over the budget hearing Wednesday, has assured DTI Secretary Ramon Lopez that lawmakers “will clamor for (a) bigger budget” for the department.
Lopez said the proposed overall budget for DTI is PHP22.4 billion in 2021, lower than the PHP23.3 billion for this year.
About PHP20.1 billion of the budget proposal will be shared among its attached agencies and corporations, which also went down from nearly PHP21-billion allocation for this year.
A big chunk of the budget will go to the Technical Education and Skills Development Authority with PHP13.5-billion allocation.
Attached agencies such as the Board of Investments is allotted with PHP383 million, the Philippine Trade Training Center with PHP69 million, Design Center of the Philippines (DCP) with PHP110 million, Construction Industry Authority of the Philippines with PHP124 million, and Cooperative Development Authority with PHP611 million.
DTI-attached corporations, including Aurora Pacific Economic Zone Authority, is set with a budget of PHP168.7 million, Center for International Trade Expositions and Missions (CITEM) with PHP141.9 million, and Small Business (SB) Corp. that manages the microfinancing program Pondo sa Pagbabago at Pag-Asenso or P3 Program with PHP1.5 billion.
For the organic office of DTI, its chief said the budget is reduced to PHP5.35 billion next year from PHP6.65 billion this year.
Many of the members of the lower House expressed their disappointments for DTI’s budget cut amid the coronavirus disease 2019 (Covid-19) pandemic that impacted several businesses and displaced a lot of Filipino workers.
Zubiri said the proposed budget for DTI is not even 1 percent of the PHP4.5-trillion national budget eyed next year.
“The fact that it is not one of the top 10 departments with a big allocation is not a good indication,” Manila 6th District Rep. Bienvenido Abante Jr. said.
He added the budget for micro, small and medium enterprise (MSME) assistance should be increased.
Marikina City 2nd District Rep. Stella Luz Quimbo also flagged the slashing of the budget for MSMEs at PHP2.2 billion for 2021 from PHP2.65 billion this year.
Valenzuela 1st District Rep. Weslie Gatchalian said the budget of DTI’s microfinancing arm, SB Corp., remains the same before and during the pandemic at PHP1.5 billion wherein it should be more aggressive in rolling out loans for MSMEs.
Gatchalian proposed to come up with a resolution to increase DTI’s overall budget, particularly for the SB Corp. and programs assisting micro, small, and medium enterprises (MSMEs).
“DTI now will play a big role in jumpstarting our MSMEs,” said Gatchalian. “We need to strengthen entrepreneurship.” (PNA)
