SM’s inclusive growth puts MSMEs at the heart of its operations
SM Investments Corporation (SM Investments), the leading conglomerate in the Philippines, recognizes the potential as it continues to provide growth opportunities to its MSME partners across its core businesses: retail, property, and banking.
With over 99% of business enterprises operating in the Philippines listed as micro, small, and medium enterprises, the opportunity for growth exhibits considerable promise.
The success of these MSMEs directly contributes to the development of the economy nationwide. According to the Philippine Statistics Authority, businesses from this sector have created 5.46 million jobs, representing 64.67% of the country's total employment.
Serving MSME partners
SM Supermalls' strong ties to its communities contribute to local economic growth, with 68% of its tenants representing the MSME sector. Additionally, SM's role as a marketplace for over 90,000 MSMEs helps its communities navigate the changing landscape of modern retailing.
In terms of financial support, SM has extended additional funding to MSMEs through its banks BDO Unibank Inc. and the China Banking Corporation. The two banks combined accounted for over PHP62 billion in outstanding loans to MSMEs in 2022.
BDO's community banking arm BDO Network Bank provides financially inclusive programs in the region through access to funds. Through the MSME Kabuhayan Loan, BDO assists small business owners in need of extra funding to increase their inventory of stocks, purchase business equipment and assets, or pursue expansion plans.
The SM StartUp Market, one of SM's MSME support initiatives, recently launched its second batch of new businesses, which joined the program in SM City Fairview in Quezon City earlier this year. The first batch of these budding enterprises was launched in October 2021 to help online businesses set up their first physical stores. The package comes with start-up-friendly rates and the use of kiosks or carts free of charge.
The second batch of MSMEs participated in SM's StartUp Market launched at SM City Fairview in Quezon city in July 2023.
SM remains dedicated to the communities in which where it operates by engaging with key leaders in both the public and private sectors to create a thriving environment for MSMEs. At this year's National MSME Summit, SM Investments Vice Chairperson Teresita Sy-Coson noted the importance of working together referring to how MSMEs are integrated into the company.
"Starting as a small enterprise ourselves, we recognize MSMEs as a driving force for innovation," she said. "They are the ones who bring new ideas, new concepts, and new offerings to the consumers. That's why we remain committed to supporting the growth and empowerment of MSMEs."
