Section 9May 23, 2008, Sec./Art. 9

Section 8 of the same Act, as amended, is hereby renumbered as Section 7-B and further amended to read as follows:

"SEC. 7-B Power and Functions. - The MSMED Council shall have the following powers, duties and functions:

"a) To help establish the needed environment and opportunities conducive to the growth and development of the MSME sector;

"b) To recommend to the President and the Congress all policy matters affecting MSMEs;

"c) To coordinate and integrate various government and private sector activities relating to MSME development;

"d) To review existing policies of government agencies that would affect the growth and development of MSMEs and recommend changes to the President and Congress through the Committee on Economic Affairs of the Senate and the Committee on Small Business and Entrepreneurship Development of the House of Representatives. whenever deemed necessary. This shall include efforts to simplify rules and regulations, as well as review of the applicability in the registration, financing, and other activities relevant to MSMEs the result shall be included in the annual report to be submitted to Congress;

"e) To monitor and determine the progress of various agencies geared towards the development of the sector. This shall include overseeing, in coordination with local government units and the Department of Interior and Local Government as well as private sector groups/association, the development among MSMEs;

"g) To provide the appropriate policy and coordinative framework in assisting relevant government agencies, in coordination with the NEDA and the Coordinating Council for the Philippine Assistance Program, as may be necessary, in the tapping of local and foreign fund's for MSME development;

"h) To promote the productivity and viability of MSMEs by way of directing and/or assisting relevant government agencies and institutional at the national, regional and provincial level towards the:

"1) Provision of business training courses, technical training for technicians and skilled laborers and continuing skills upgrading programs;

"2) Provision of labor-management guidance, assistance and improvement of the working conditions of employees in MSMEs;

"3) Provision of guidance and assistance regarding product quality/product development and product diversification;

"4) Provision of guidance and assistance for the adoption of improved production technique and commercialization of appropriate technologies for the product development and for increased utilization of indigenous raw materials;

"5) Provision of assistance in marketing and distribution of products of MSMEs through local supply-demand information, industry and provincial profiles, overseas marketing promotion, domestic market linkaging and the establishment of common service facilities such as common and/or cooperative bonded warehouse, grains storage, agro-processing and drying facilities, ice plants, refrigerated storage, cooperative trucking facilities, etc;

"6) Intensification of assistance and guidance to enable greater access to credit through a simplified multi-agency financing program; to encourage development of other modes of financing such as leasing and venture capital activities; to provide effective credit guarantee systems, and encourage the formation of credit guarantee associations, including setting up credit records and information systems and to decentralize loan approval mechanism;

"7) Provision of concessional interest rates, lower financing fees, which may include incentives for prompt credit payments, arrangements tying amortizations to business cash flows, effective substitution of government guarantee cover on loans for the borrower's lack of collateral;

"8) Provision of bankruptcy preventive measures through the setting up of a mutual relief system for distressed enterprises, and the establishment of measures such as insurance against extraordinary disasters;

"9) Intensification of information dissemination campaigns and entrepreneurship education activities;

"10) Availment of and easier access to tax credits and other tax and duty incentives as provided by the Omnibus Investment Code and other laws;

"11) Provision of support for product experimentation and research and development activities as well as access to information on commercialized technologies; and

"12) Through appropriate government agencies:

"a) Provide more infrastracture facilities and public utilities to support operations of MSMEs;

"b) Establish, operate, and administer a small business incubation program in coordination with academic institutions, Department of Science and Technology and other appropriate government entities that will provide space for start-up and expanding firms, shared use of equipment and work areas, daily management support services essential to high-quality commercial operations, technical assistance and other services to develop innovative and deserving MSMEs;

"d) Provide local and international network and linkages for MSME development;

"e) Compile and integrate statistical databank on Philippine MSMEs;

"f) Sept-up new MSME centers and revitalize already established MSME centers to provide MSMEs in the regions easier access to services such as, but not limited to, the following:

"i. Accept and act on all registration application of MSMEs;

"ii. Streamline registration process and facilitate speedy registration for the establishment of business enterprises in the country;

"iii. Provide all information and referral services it shall deem necessary or essential to the development and promotion of MSMEs;

"iv. Conduct other programs and development programs, training, advice, consultation on business conceptualization and feasibility, financing, management, capacity building, human resources, marketing, and such other services to support the needs of MSMEs;

"v. Provide courses and development programs, training, advice, consultation on business conceptualization and feasibility, financing, management, and such other services to support the needs of MSMEs;

"g) To submit to the President and the Congress through the OVERSIGHT Committee as defined under this Act, a yearly report on the status of MSMEs in the country, including the progress and impact of all relevant government policies, programs and legislation as well as private sector activities;

"h) To coordinate, monitor and assess the implementation of the MSMEDP, and when necessary, institute appropriate adjustments thereon in the light of changing conditions in both domestic and international environment; and

"i) Generally, to exercise all powers and functions necessary for the objectives and purposes of this Act."