2019 MSME STATISTICS

Number of Establishments

The 2019 List of Establishments of the Philippine Statistics Authority (PSA) recorded a
total of 1,000,506 business enterprises operating in the country. Of these, 995,745
(99.5%) are MSMEs and 4,761 (0.5%) are large enterprises. Micro enterprises
constitute 89% (891,044) of total MSME establishments, followed by small enterprises
at 10% (99,936) and medium enterprises at 0.5% (4,765).
Sectoral Distribution

The top five (5) industry sectors according to the number of MSMEs in 2019 were: (1)
Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles (462,492); (2)
Accommodation and Food Service Activities (144,024); (3) Manufacturing (115,387); (4)
Other Service Activities (65,918); and (5) Financial and Insurance Activities (46,100).
These industries accounted for about 83.35% of the total number of MSME
establishments.

Geographical Spread of MSMEs

Majority of the MSMEs can be found in the National Capital Region (NCR) with 202,011
(20.2%) business establishments, Region 4-A (CALABARZON) with 148,017 (14.8%),
Region 3 (Central Luzon) with 115,877 (11.6%), Region 7 (Central Visayas) with 70,227
(7%), and Region 6 (Western Visayas) with 61,513 (6.1%). These top five (5) locations
accounted for about 59.7% of the total number of MSME establishments in the country.
Regional concentration of MSMEs is largely associated with economic activity and
population size.

Employment 

Together, these MSMEs generated a total of 5,510,760 jobs or 62.4% of the country’s
total employment. The micro enterprises produced the biggest share (29.8%) closely
followed by small enterprises (25.2%) while medium enterprises were far behind at
7.4%. Meanwhile, large enterprises generated a total of 3,315,575 jobs or 37.6% of the
country’s overall employment.

In terms of regional distribution, majority of the jobs are generated by MSMEs in the
National Capital Region (NCR) with 1,538,106 jobs; followed by MSMEs in Region 4-A
(CALABARZON) with 797,399; Region 3 (Central Luzon) with 586,508; Region 7
(Central Visayas), 431,056; and Region 6 (Western Visayas), 307,831.

By industry sector, MSMEs in the Wholesale and Retail Trade; Repair of Motor Vehicles
and Motorcycles sector generated the most number of jobs with 1,984,227 followed by
Accommodation and Food Service Activities (805,081), Manufacturing (747,114),
Financial and Insurance Activities (307,316), and Education (303,314).

Sales and Census Value-Added

In terms of value added, the MSME sector contributed 35.7% of the total with
manufacturing contributing the largest share of 6.87%. Wholesale and retail trade and
repair contributed 6.58% followed by financial intermediation with a share of 6%. 

Within the sector, small enterprises accounted for the largest share of 20.5%. Medium
enterprises followed with a share of 10.3% while micro enterprises registered a share of
4.9%. Among small enterprises, wholesale and retail trade and repair contributed the
most with a share of 4.07% followed by manufacturing with a share of 3.82% while
financial intermediation was next with a share of 3.35%.

For medium enterprises, manufacturing accounted for the biggest share of 2.77%
followed by electricity, gas and water with a share of 1.92% and financial intermediation
with 1.87%. For micro enterprises, wholesale and retail trade and repair represented the
largest contribution of 1.73%.

Exports Contribution of MSMEs

MSMEs account for 25% of the country’s total exports revenue. It is also estimated that
60% of all exporters in the country belong to the MSME category. MSMEs are able to
contribute in exports through subcontracting arrangement with large firms, or as
suppliers to exporting companies.

Data Source: Philippine Statistics Authority (PSA)