As Filipinos move beyond the Lenten season — a time of reflection, sacrifice, and renewal — the country continues to face a sobering economic reality. Recent data from the Philippine Statistics Authority show that 2.96 million Filipinos remain unemployed, per the January 2026 Labor Force Survey. The 5.6 percent unemployment rate was also the highest under the current administration.

Beyond the numbers are real stories: families seeking livelihoods, young graduates navigating an uncertain job market, and workers searching for opportunities that seem increasingly out of reach. At the same time, global uncertainties continue to weigh on the economy, contributing to higher fuel and transport costs that push up everyday expenses. These pressures translate into real challenges for households.

Addressing unemployment and underemployment requires more than waiting for large industries to expand or for government hiring programs to absorb displaced workers. These efforts matter, but they are not enough on their own. In many developing economies like the Philippines, job creation often begins not in large corporations but in the everyday enterprises that line our streets and neighborhoods —small stores, food businesses, repair services, transport operations, and home-based ventures.

Micro, small, and medium enterprises (MSMEs) form the backbone of our economy. They account for the vast majority of businesses and collectively employ millions. In many communities, especially outside urban centers, these enterprises are not just sources of income — they are lifelines.

Yet the challenge remains: many Filipinos have the drive to start businesses but lack the resources to sustain and grow them. Capital remains one of the biggest barriers. Aspiring entrepreneurs often have viable ideas but cannot access loans from traditional financial institutions due to lack of collateral, formal credit histories, or documentation.

This is where microfinance and financial inclusion play a crucial role.

Microfinance institutions (MFIs) have long demonstrated that even small loans — when paired with financial education and support — can unlock economic potential. A modest amount of capital can enable a mother to open a sari-sari store, help a vendor expand inventory, allow a home-based baker to invest in better equipment, or support a farming family in diversifying income.

What begins as a single microenterprise can grow into something much larger. Many ventures evolve into small businesses that employ others: a carinderia hires cooks and servers, a tailoring shop trains apprentices, and a local food processor sources from nearby farmers.

Entrepreneurship, in this sense, creates a multiplier effect across communities.

This becomes even more important during periods of economic uncertainty. When costs of basic goods rise, low- and middle-income households feel the strain most. Stable, locally-generated sources of income become essential.

Financial inclusion extends beyond access to loans. It includes savings, insurance, and digital financial services that help families manage risks and plan for the future. When people can safely save, insure their livelihoods, and access responsible credit, they are better equipped to navigate economic shocks.

An enabling environment is also essential. Skills training, mentorship, and market access all play a role in helping enterprises thrive. Many entrepreneurs benefit from guidance in bookkeeping, product development, marketing, and digital tools. Programs that connect small businesses to wider markets — through cooperatives, online platforms, or supply chains — can help them move beyond subsistence and toward sustainable growth.

Education plays an important role. By fostering entrepreneurial thinking among young people, schools can expand how the next generation views work — not only as employment to be sought, but as opportunities to be created.

Government policy is critical. Simplifying business registration, expanding credit guarantees, supporting innovation, and strengthening partnerships with MFIs all contribute to a more dynamic environment.

Equally important is recognizing that entrepreneurship often flourishes among those who have experienced hardship. Many inspiring stories come from individuals who once struggled to find employment but eventually built businesses that now sustain their families and provide jobs to others. These enterprises may begin modestly -- but their impact is significant.

The spirit of renewal associated with the Holy Week season offers a timely reminder: recovery and resilience are always possible. In much the same way, economic progress can emerge from the determination and creativity of ordinary Filipinos.

Large investments and infrastructure projects will continue to play an important role in economic growth. Yet the quiet engine of employment in the Philippines will remain the thousands of small businesses started by ordinary people—especially when supported by inclusive finance and a strong entrepreneurial ecosystem.

At a time when unemployment and uncertainty continue to shape the national conversation, the focus must go beyond job scarcity to job creation. When entrepreneurship is nurtured and financial inclusion is expanded, unemployment statistics can tell a different story. Empowering Filipinos to build enterprises is not just an economic strategy -- it is an investment in resilience, dignity, and hope.

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“Now is the time for MSMEs.” – Joey Concepcion