WHEREAS, it is the policy of the State to promote, support, strengthen and encourage the development of Small and Medium Enterprises (SMEs) in all productive sectors of the economy, particularly rural/agri-based enterprises as embodied in Republic Act No. 6977, also known as the Magna Carta for Small Enterprises;

WHEREAS, the full development of SMEs which comprise over 95% of total Philippine enterprises is vital to the Administration's thrust towards the empowerment of the people;

WHEREAS, in view of the Philippine ratification of the Agreement establishing the World Trade Organization, and the worldwide trend towards globalization, there exists a pressing need for government to focus attention and implement plans and programs which would encourage and hasten the development and unification of SMEs to ensure the achievement of global competitiveness;

WHEREAS, the concerned public and private sector participants of the first SME National Leaders' Summit held on April 15, 18, 24, and 25, 1995 at the Development Bank of the Philippines, June 5, 1995 at the PCCI National Office at Philippine International Convention Center and June 1 and 8, 1995 at the Philippine Trade and Training Center, have recommended specific measures which will, with appropriate study, planning and implementation by the Department of Trade and Industry (DTI), the Small and Medium Enterprises Development (SMED) Council, the Small Business Guarantee and Finance Corporation (SBGFC), and other concerned government agencies, with the cooperation and support of the private sector, spearheaded by the Philippine Chamber of Commerce and Industry (PCCI), ensure the greater success and global competitiveness of Philippine SMEs; and

WHEREAS, it is imperative that the SMEs, in particular, and the public, in general, are informed of all the efforts undertaken by the government and concerned private sector organizations towards the development of SMEs.

NOW, THEREFORE, I, FIDEL V. RAMOS, President of the Republic of the Philippines, by virtue of the powers vested in me by law, do hereby proclaim the year 1996 as the Small and Medium Enterprise Development Year under the auspices of the DTI, SMED Council and SBGFC, with the support of the PCCI. The government agencies mentioned are hereby directed to lead and oversee the conduct of such activities and programs which will ensure the accomplishment of the foregoing objectives of this Proclamation in the observance of the occasion.

The DTI, SMED Council and SBGFC are authorized to call on any department, bureau, office, agency or any instrumentality of the government, including government-owned or controlled corporations, for assistance in discharging their functions.

Participation of the public and private sectors in the observance of the Small and Medium Enterprise Development Year shall be encouraged. For this purpose, the concerned government agencies shall closely coordinate with the PCCI and such other non-governmental organization supportive of the efforts at developing SMEs in the country.

IN WITNESS WHEREOF, I have hereunto set my hand and caused the seal of the Republic of the Philippines to be affixed.

Adopted: 09 June 1995

(SGD.) FIDEL V. RAMOS
President

By the President:

(SGD.) RUBEN D. TORRES
Executive Secretary