ENABLING

ENVIRONMENT FOR
BUSINESS-FRIENDLY &
COMPETITIVE LGUs
LINDSEY MARIE A. VISMANOS
Local Government Operations Officer II
Provincial Focal on Local Economic Development
DILG-Bohol
DILG Program Framework
 DILG Outcome Area:
Business-friendly and competitive LGUs

Calls for local governments to work with

the private sector and other
stakeholders to improve local economic
services
 Business-Friendliness and
Competitiveness

This is a condition where LGUs spur

sustainable economic and inclusive
growth by engaging the business sector by
promoting local trade/business and
generating employment
 Business-Friendliness and
Competitiveness
Program Objectives:
• Improve capacity of LGUs in engaging business
sector, promoting local trade/businesses and
generating employment following reforms in
their business environment
• Enhance LGU competitiveness towards
increasing sustainable growth and ensuring
that growth is inclusive
 Desired outcomes for a Business-
friendly and competitiveness LGU
1. Updated and approved CLUP/Zoning Ordinance as well as CDPs/sector
plans to guide location and focus of investments
2. Structure leading local economic investment and incentive promotion
(eg. LGU LEIPOs w/ capacity to perform their LED roles)
3. Local policies and ordinances for business and investment attraction and
retention consistent with national investment policies (Local Investment
and Incentives Code, Local Revenue Code, Local Tourism, etc.)
4. Streamlined transactional services (BPLS, building/construction permits,
occupancy permits, sanitation and fire clearances)
5. LGU Roadmap to attract investments and generate employment (ie. LGU
Business Plan)
6. Active partnership with business sector (implementation of a PPP project)
7. Basic infrastructure to support local businesses (roads, power, IT support)
 Local Economic Development defined…
• Local Economic Development (LED) involves added micro-
economic measures at the local level to complement macro-
economic measures at the national level. LED encompasses a
range of disciplines including physical planning, economics and
marketing, all with the goal of building up the economic
capacity of a local area to improve its economic future and the
quality of life for all (ILO)

• Local Economic Development (LED) offers local government,

the private sector, the civil society and the local community the
opportunity to work together to improve the local economy. It
aims to enhance competitiveness and thus encourage
sustainable growth that is inclusive. (WB)
 LEIPO
• DILG MC 2010-113, dated October 13, 2010
“Designation of Local Economic and
Investment Officer”
 THE LEIPO
• Responsibilities of LEIPO
– Facilitate the preparation, coordination, and execution
of local economic and investment promotion policies,
projects, and activities of the provincial/city
government
– Facilitate the establishment of an aggressive,
systematic, coordinated, sustained promotion and
marketing of the LGUs as investment location
– Provide basic information about business potentials of
the LGU including LGU services to prospective investors
to attract more investments to flow in the community
 THE LEIPO
• Responsibilities of LEIPO
– Establish a local economic data base containing
relevant facts and figures
– Coordinate with other offices in the promotion of
economic activities such as the Planning and
Development, Treasury and Budget Offices and the
local sanggunian
– Coordinate with the private sector in investment
promotion campaigns
– Conduct information dissemination on local
government policies on investment, investment wage
laws, required permits, etc.
 LIIC
• DILG-DTI JMC 2011-01, dated October 12,
2011, “Formulation of Local Investment and
Incentives Code”
• a legislation that articulates a local
government unit’s investment policies and
programs, Investment Priority Areas, fiscal
and non-fiscal incentives available to
domestic and foreign investors, and the
mechanics for availing them.
 Article 10 (2), 1987 Constitution of the
Republic of the Philippines on Local
Autonomy of territorial and political
subdivisions

Sec. 109(4), Title VI Book I of RA 7160,

LGC on Functions of the Local
Development Council to Formulate local
investments incentives to promote
Bases inflow of investments capital

of Sec. 192, Chapter 5, Book II of RA

7160 on the authority to grant tax
LIIC exemptions

Section 16, Chapter 2, Book I of R.A.

7160 on the General Welfare of the
people to balance ecology, peace,
employment, health, morals, justice &
convenience of inhabitants
 Reflects harmonization of investment policies of the national
R and the local governments;

A Advocates consistency; and

T Transparency of local investment policies

I Investments Promotion Marketing Strategy

Oversees efficiency of the IPC in the delivery of basic services

O to existing and prospective local and foreign investors

N Navigates the economic and investments framework of the area

A Asserts Investments Priority Areas (IPAs) of the LGUs

L LGUs showcase of good housekeeping

E Establish benefits to investors to enhance economic activities

 WHAT WE can DO.....
• Adopt measures that can create a business friendly and
competitive LGUs such as designating a permanent
LEIPO, adopting e-BPLS automation, establishment of
one-stop-shop and others
• Approve enabling policies that will strengthen the
business economic opportunities in the locality such as
Local Investment and Incentive Code (LIIC), Local
Revenue Code (LRC), Local Tourism Code (LTC),
Environmental Code and others
• Ensure that there is an approved CDP, CLUP,
and DRRMP
Thank
you!