Makati City govt to help pandemic-hit firms
The Makati City government said it is allocating a total of P2.5billion worth of grants to be distributed to registered businesses in the city for their recovery.
In a statement on Monday, Makati City Mayor Abby Binay said she relayed to the city council a proposal to provide P2.5 billion of subsidies for firms affected by the Covid-19 pandemic. She explained many businesses are suffering from low volume of customers nowadays, and are in need of state intervention to carry through.
Under Binay’s ordinance, the more than 78,000 registered enterprises in Makati can get up to P100,000 in grant from the local government depending on how many employees they sustain.
“I have endorsed to the city council today an ordinance for the
P2.5-billion Makati assistance and support for the business program,” Binay said. “Makati-based businesses can get a grant of up to P100,000 depending on the number of Makatizens they employ.”
“The target is to help some 78,000 businesses registered in Makati,” she added, stressing the assistance is not a loan but a form of subsidy.
In exchange, businesses that will obtain financial support from the government will be required to keep their Makati-based workers for two years. Likewise, they should be able to sustain operations for until 2022, and is therefore prohibited to shut down.
Further, they are mandated to enforce minimum health standards in their establishments to make sure customers and workers alike are safe from the virus.
On top of the financial support, Binay announced she submitted to the city council a separate proposal to turn Makati into the country’s online business hub. As such, the mayor is asking all online sellers to register with the government and pay their proper taxes.
She vowed Makati will implement the lowest tax rate there is for digital retailers, and will roll out a simple process in registration to shun red tape.
As for the food service sector, the Makati mayor is allowing her citizens to buy from fast food and restaurants for up to 10 in the evening, two hours later than the curfew observed in the city. She said customers just need to present the receipt as proof they bought their food within the window period.
Binay said this should help restaurants and fast food chains to get back on their feet, as an extended operating time will mean higher revenues for their firms.
“In a nutshell, Makati’s major initiatives are to help businesses. First, we helped our citizens. Second, we are now helping our businesses recover. We need to give them assistance for them to survive and continue providing jobs to our kababayans,” she said.
The skyline at Makati City, the country’s main financial district, is seen in this July 9, 2019, photo.