Hello PIDS friends! Here's our #PIDSFactFriday for the week on the impact of government incentives on micro, small, and medium enterprises (MSMEs) in the Philippines.

A PIDS study ascertained the impact of government incentives on the innovation activities of MSMEs in the Philippines. Using the 2015 Survey of Innovation Activities of Establishments, the study found that receipt of government incentives increases the likelihood of undertaking organizational innovation by 18 percent and marketing innovation by 15 percent. The estimation results also indicated a positive effect on product innovation and a negative effect on process innovation, although the results were statistically not significant.

Know more about the study titled "Impact of Government Incentive on MSME Innovation” here: https://pidswebs.pids.gov.ph/.../PUBLICAT.../pidsdps1927.pdf

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