While a weaker peso may be wreaking havoc on consumer spending, Go Negosyo founder Joey Concepcion believes that this allows overseas Filipino workers (OFWs) to become entrepreneurs and, in turn, promote inclusive economic growth and job generation in the Philippines.
Concepcion said this amid concerns due to the rising value of the US dollar against the Philippine peso. Based on the Bankers Association of the Philippines, the current exchange rate closed at P58.935 for every dollar.
In a public briefing, Concepcion said the rising dollar value means a 12- to 13-percent increase for every dollar OFWs earn.
He added that the higher earnings could be leveraged to achieve long-term growth if OFWs decide to invest in the country and become entrepreneurs.
"Malaki ang kontribusyon dahil marami tayong OFWs (The OFWs contribute a lot because there are so many of them)," he said.
"Their income is rising in terms of pesos, but they should spend and invest it wisely. Hopefully, our OFWs will have enough savings so they can come back and start a small business so that they will not be forever working away from home," he added.
Concepcion, who also leads the Jobs group of the Private Sector Advisory Council, encouraged OFWs to become entrepreneurs as this would redound to more jobs for Filipinos, especially in the provinces.
He noted that the government and private sector also make it easier for OFWs to reintegrate as entrepreneurs by providing mentoring. Concepcion shared that this December 3, the non-profit Go Negosyo will be hosting an OFW Summit, which will be geared toward mentoring OFWs on entrepreneurship.
Another event is the Digital SignUp Now on October 24, which will explore digitalization as another avenue to make it easier for MSMEs to compete with even the big brands.
According to Concepcion, the private sector is trying to make conditions favorable for MSMEs, such as working with the government to secure bivalent vaccines to prevent economic disruptions.
Manufacturing companies, meanwhile, are stocking up on commodities to make sure there Is enough to supply essentials such as sugar and flour throughout the Christmas season and through to the first quarter of 2023.
Meanwhile, Concepcion reiterated that the fourth quarter economic activity would be crucial for business as it represents the peak of consumer spending.
"Hopefully, sales for the MSMEs will be good, and they will have enough working capital to let them cross over to 2023," he said.