Business leaders are urging the government to step up support for micro, small and medium enterprises (MSMEs), warning that climate-related disasters and supply chain disruptions continue to threaten the survival of thousands of small businesses across the country.

Industry representatives said stronger disaster resilience programs, easier access to financing and permits, and greater assistance for digital transformation are critical to helping MSMEs adapt to increasingly frequent extreme weather events.

Experiencing climate change effects

Regan Rex King, president of the Cebu Chamber of Commerce and Industry, said more than 60 percent of the chamber’s members are MSMEs that are already experiencing the effects of climate change.

“Majority of MSMEs are in a tough situation. They need a hand to help them get back on their feet… organizations that will proactively reach out to them,” King said during a Department of Trade and Industry forum on MSME disaster resilience.

Call for proactive approach

King said many small businesses remain unaware of government programs that could help them prepare for disasters and strengthen climate resilience, calling for a more proactive approach in reaching affected enterprises.

He also said reducing the cost and complexity of doing business would provide immediate relief to small firms.

“For businesses to thrive and succeed, let’s not make things complicated for them when they are getting loans or permits,” he said.

King added that many traditional businesses are also struggling to keep pace with the rapid growth of online commerce, making digitalization support another key priority.

Major challenge for exporters

Meanwhile, Ronaldo Salazar, manager of Cebu-based furniture manufacturer Finali Furniture, said repeated supply chain disruptions caused by natural disasters have become a major challenge for exporters.