2017 MSME STATISTICS
Number of Establishments
The 2017 List of Establishments of the Philippine Statistics Authority (PSA) recorded a total of 924,721 business enterprises operating in the Philippines. Micro, small and medium enterprises (MSMEs) account for 99.56% (920,677) of the total establishments, of which 89.59% (828,436) were microenterprises, 9.56% (88,412) were small enterprises, and 0.41% (3,829) were medium enterprises. Large enterprises made up the remaining 0.44% (4,044).
The top five (5) industries in terms of the number of MSMEs in 2017 were: (1) Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles with 423,637 establishments; (2) Accommodation and Food Service Activities with 121,740; (3) Manufacturing with 116,071 establishments; (4) Other Service Activities with 57,491 establishments; and (5) Financial and Insurance Activities with 41,012 establishments. These industries accounted for about 82.54% of the total number of MSME establishments.
Geographical Spread of MSMEs
Majority of the MSMEs in operation in 2017 can be found in the National Capital Region (NCR), with 192,316 business establishments;
Region 4-A (CALABARZON), 137,808; Region 3 (Central Luzon), 103,329; Region 7 (Central Visayas), 61,744; and Region 6 (Western Visayas), 55,926. These top five (5) locations accounted for about 59.86% of the total number of MSME establishments in the country.
MSMEs generated a total of 4,922,251 jobs in 2017 versus 2,909,838 for the large enterprises. This indicates that MSMEs contributed almost 62.9% of the total jobs generated by all types of business establishments that year. Of these, 30.3% or 2,369,748 jobs were generated by micro enterprises; 25.9% or 2,024,470 by small enterprises; and 6.7% or 528,033 by medium enterprises.
By industry sector, MSMEs in the Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles sector generated the most number of jobs with 1,731,866 followed by MSMEs in the manufacturing sector, 760,416; accommodation and food service activities, 664,596; education, 276,342; and financial and insurance activities, 253,232.
Majority of the jobs are generated by MSMEs in the National Capital Region (NCR) with 1,444,769 jobs; followed by MSMEs in Region 4-A (CALABARZON), 712,009; Region 3 (Central Luzon), 495,434; Region 7 (Central Visayas), 373,867; and Region 6 (Western Visayas), 278,366.
Sales and Census Value-Added
In terms of value-added, the MSME sector contributed 35.7%1 of the total with manufacturing contributing the largest share of 6.87%. Wholesale and retail trade and repair contributed 6.58% followed by financial intermediation with a share of 6%.
Within the sector, small enterprises accounted for the largest share of 20.5%. Medium enterprises followed with a share of 10.3% while micro enterprises registered a share of 4.9%. Among small enterprises, wholesale and retail trade and repair contributed with the most with a share of 4.07% followed by manufacturing with a share of 3.82% while financial intermediation was next with a share of 3.35%.
For medium enterprises, manufacturing accounted for the biggest share of 2.77% followed by electricity, gas, and water with a share of 1.92% and financial intermediation with 1.87%. For micro enterprises, wholesale and retail trade and repair represented the largest contribution of 1.73%.
Exports Contribution of MSMEs
MSMEs account for 25% of the country’s total exports revenue. It is also estimated that 60% of all exporters in the country belong to the MSME category. MSMEs are able to contribute in exports through subcontracting arrangement with large firms, or as suppliers to exporting companies.
Data Source: Philippine Statistics Authority (PSA)