PAGBABAGO: Increasing Access to Economic Opportunities

GUILLERMO M. LUZ | Co-Chairman

Aksyon Para sa Ambisyon: Philippine Development Expo SMX Convention Center, Pasay City June 2, 2017

GLOBAL COMPETITIVENESS REPORT CARD

GLOBAL COMPETITIVENESS REPORT PHILIPPINES and ASEAN

DOING BUSINESS REPORT

No. 99 from No.148

GLOBAL COMPETITIVENESS REPORT

No. 57 from No. 85

ECONOMIC FREEDOM INDEX

No. 58 from No. 115

CORRUPTION PERCEPTION INDEX

No. 101 from No. 134

+57 +33 +49 +28

TOP 4 GAINS SINCE 2010/11

EASE OF DOING BUSINESS PROCESS IMPROVEMENT

+97 From 153 to 56

Resolving Insolvency

+71 From 156 to 85

Dealing with Construction Permits

+32 From 54 to 22

Getting Electricity

Paying Taxes

+11 From 124 to 115

+10 From 128 to 118

Getting Credit

-5 From 132

to 137

Protecting Minority Investors

-34 From 61 to 95

Trading Across Borders

-18 From 118 to 136

Enforcing Contracts

-10 From 102 to 112

Registering Property

Starting a Business

-15 From 156 to 171

UPGRADES & DOWNGRADES Philippine Rankings (2011-2017)

PHILIPPINES vs ASEAN (2011-2017) Source: Published Doing Business Report

PROJECT REPEAL REGULATORY FOCUS

RATIONALE • Consumers and Businesses are saddled by too much regulation

• Regulation happens at Executive, Legislative, Local Government levels

• Laws date back to Commonwealth period and includes PDs from Martial Law era

• Multiple layers of laws, rules, regulations

• Are they all necessary or relevant ?

Reduce cost of compliance for people and businesses; generate savings

OBJECTIVE

REVIEWING WHAT TO REPEAL

• Executive Department Orders/Circulars • Executive Orders & Administrative Orders • Legislation • LGU Ordinances

JOURNEY TO GOOD REGULATORY PRACTICE • Repeal • Cost Accounting (Quantifying the Savings) • Regulatory Impact Assessment (Cost vs Benefit) • Better Regulatory Delivery

GOVERNMENT ONLINE BUSINESS-FRIENDLY FOCUS

Why go online ? Many NGA and LGU licenses and permits are :

Paper-based; use multiple, identical forms Require manual application Require manual processing Over-the-counter transactions Take place in multiple offices in different locations Take too long

The Goal File applications online, anytime, anywhere. Pay online (e.g., credit card, debit payments, mobile cash) License or permit issued electronically, where possible (a la

airline tickets). Online kiosks to be provided in government offices to

accommodate those without access to computers.

Getting Started Priority Permits to Take Online or Automate

o Incorporation : Starting a Business o Business (Mayor’s) Permits o Construction Permits o Occupancy Permits o BIR and Social Agencies (SSS,

Philhealth, Pag-IBIG)

o Fire Safety Inspection Certificates (FSIC)

o Import/Export Trade-related o National Quality Infrastructure (FDA,

BPS, DA) – standards and certification

Ease of Doing Business- Contains basic licenses and permits for starting, renewing, and operating businesses at the national and local government levels.

Portal: www.business.gov.ph

Trade Facilitation- Inter-Agency Business Process Interoperability (IABPI). Link approximately 55 agencies or units of government involved in import/export and movement of goods.

Portal: www.trade.gov.ph

National Quality Infrastructure- Focus on the standards, accreditation, and certification of agricultural, industrial, food, and pharmaceutical products.

Portal: www.quality.gov.ph

LET’S CREATE PORTALS

HOW

• Nationally-funded through single agency (DICT)

• Crowd-sourced app (cheaper, faster than traditional procurement?)

• Hackathon

1. Transparency leads to Competitiveness : Governance matters 2. Work-in-Progress is no longer good enough 3. Importance of Execution and Delivery 4. Teamwork is required : No More Silos 5. We must focus on Multiple Fronts (no single variable) 6. The Competition never sleeps 7. The bar always rises. We move up a weight class and meet larger, stronger competition 8. Speed-to-Reform should be our new mantra 9. Maintaining Momentum is important (gain speed) 10. Embedding and institutionalizing change / reform for the long run is important. This has become a key concern. 11. Public – Private collaboration is important and effective. We learn from each other.

LESSONS LEARNED

LISTEN TO YOUR CUSTOMERS : CAN WE GO FROM THIS…?

…TO THIS ? “ONE WINDOW” SERVING ALL TRANSACTIONS…

…TO THIS. CAN WE USE MOBILE PHONES TO GET ALL PERMITS ?

THANK YOU Fb.com/compete.philippines www.competitive.org.ph

@NCC_ph