By Anthony A. Araos
The Bank of Philippine Islands (BPI) made it a priority to help micro, small and medium enterprises (MSMEs) in the rural areas, thus, the creation of BanKo. Before long, BanKo’s continued success in assisting entrepreneurs spread its fame throughout the country. While not appearing as a costly-created bank, BanKo came up to be looked upon as a true leader.
The stakes are simply so high. According to records of the Department of Trade and Industry (DTI), 99.63 percent of registered businesses in 2023 were MSMEs, highlighting their contribution to the country’s economy,
This holds true in the capital town of Lagawe. Sadly, though, the town’s MSMEs are facing enormous difficulties.
Over time, many of them are no longer operating. To name a few: Orchard Café and Restaurant, Café Rio, Belgian Waffle, Kambal Pandesal, Top Trade, Starr’s Wellness Center, Dimsum Panda, same thing with sari-sari store and computer shops.
These are surely reasons for their closure. A majority of them were forced to close their businesses permanently due to lack of profit and inability to sustain their operations.
Since MSMEs form the backbone of the town’s economy they easily generate more than half of the total jobs in the town.
Currently, these MSMEs are struggling in these uncertain times. Unfavorable conditions are only exacerbated by the high cost of living and the lingering effects of the economic recession that followed the Covid-19 pandemic.
Thus, the need for mentoring them arises. They obviously are in need of guidance. It is essential to provide them direction towards solutions that will cut losses and allow their businesses to stay afloat, relevant and profitable in the face of various challenges.
In Lagawe, business owners should learn business basics. The good news, there are mentors from the DTI and the private sector as well as BanKo. Have they tried to see them?
Business owners are still unaware of the Small Business Corp. (SBC). More importantly, they are not knowledgeable of BanKo’s services. For quite some time, BanKo ushered opportunities to advance financial inclusion. As of 2023, it released Php 14.2 billion worth of business loans. Consistent with the bank’s goal for MSMEs’ advancement, it offers the Negosyo Ko loan, clients could borrow up to Php 500,000 to support and grow their businesses.
As Lagawe’s business owners face the challenges ahead, there is an urgent need to raise their awareness and consciousness that there are men and women in the private sector who are ready to give their best to serve their financing needs.
It’s time for them to level up. Traders, re-packers, retailers and wholesalers are already happy with meager earnings selling momma, when there’s a lot of future in cacao business. I would like to inform you that there is even cacao vinegar. A highly remarkable feat!
For entrepreneurs, to produce more wealth for Lagawe, Ifugao and the country, they should be instilled with responsive and innovative information. Making your customers truly happy with the value and quality of services they get from your business establishment. If you want to become impactful entrepreneurs, BanKo is for you.**
