If the Arroyo government focused on boosting foreign investments in the country, the Aquino administration is looking at tapping the entrepreneurial spirit of Filipinos as a crucial part of its development plan for the economy.
Finance chief Cesar Purisima said the government is eyeing the development of entrepreneurship amongst Filipinos as the centerpiece of the economic program. [Read micro-entrepreneurship to fight poverty here]
“We need to develop an entrepreneurial trait amongst Filipinos. We must not allow our students to aim to be an employee but to have a business of their own,” Purisima said. “This can be our way of helping the nation by becoming entrepreneurs.”
Although the Philippines is known as a country with high entrepreneurial spirit, most of the estimated 94 million Filipinos opt to become salaried employees. [See nine signs that you are ready for entrepreneurship here]
It is easy to understand why having a larger entrepreneurial base will be good for both the economy and the government.
First, the higher number of entrepreneurs makes wealth creation in the country so much easier as entrepreneurship uses resources and also creates more jobs, thus driving the economy.
Second, the government benefits from a broader entrepreneurial base as there will be more tax revenues from increased spending, and less dependence of the people on government subsidy for basic services.
Another benefit is that while foreign investors may bring in the big bucks, they can easily pack up at the first sign of trouble, entrepreneurs, on the other hand, are more likely to stay and continue with their business. [Read ADB sees better economy for the Philippines here]
“We have groups who are doing well in franchising, retail, some in exports. We will not only just have people go into their own business; we must build an entrepreneurial class that can compete globally,” Purisima said.