Business-friendly policies in Baguio proposed

A proposed ordinance seeks to institutionalize policies aimed at establishing Baguio as a business-friendly city by streamlining government processes, strengthening support mechanisms for enterprises, and fostering stronger collaboration between the local government and the private sector.

The measure seeks to create an environment that encourages entrepreneurship, attracts investments, promotes innovation, and generates economic opportunities.

Under the measure, Baguio City shall adopt standards and programs designed to improve the ease of doing business. These include client-friendly procedures, streamlined business requirements, simplified permitting systems, accessible Business One-Stop Shops, localized business support mechanisms, robust information technology infrastructure, responsive tax policies, and support programs for startups, nano enterprises, and micro, small, and medium enterprises (MSMEs).

Among the support mechanisms identified in the proposal are technical assistance during business registration, free training and capacity-building programs for entrepreneurs, the establishment of incubation hubs for startups, and the provision of soft loans or business grants for qualified nano businesses and MSMEs. The ordinance also encourages the creation of business-friendly help desks at City Hall and, where practical, in barangays to assist entrepreneurs with government transactions.

The measure further acknowledges concerns commonly raised by the local business sector including voluminous documentary requirements, overlapping procedures among city departments, stringent regulatory requirements that may be difficult for small businesses to comply with, and the absence of responsive measures during economic disruptions.

To address these concerns, the city government is encouraged to develop solutions such as simplifying requirements for locational clearances and zoning certificates, streamlining permit applications, adopting user-friendly digital platforms, reducing redundant requirements, and establishing off-site Business One-Stop Shops in barangays when feasible.

The ordinance also proposes the adoption of local tax relief measures and investment incentives whenever legally permissible, as well as more flexible systems such as multi-year business permits for enterprises with excellent compliance records. It likewise encourages separating land title issues from the processing of business permits in appropriate cases to avoid unnecessary delays in business registration.

The measure creates the Local Business-Friendly Advisory Council (LBFAC) which shall serve as an advisory body to assist the city government in formulating policies and mechanisms that promote business growth and investment.

TheLBFAC shall be composed of representatives from the academe, the Philippine Chamber of Commerce and Industry-Baguio Chapter, the Philippine Economic Zone Authority, the Department of Economy, Planning and Development-CAR, the Federation of Filipino-Chinese Chamber of Commerce and Industry in Baguio City, the Department of Trade and Industry, the Anti-Red Tape Authority, the Department of the Interior and Local Government, and representatives from business-serving civil society organizations.

The LBFAC shall help strengthen collaboration between the city government and the business community, promote innovation and business continuity planning, assist in formulating local economic development strategies, encourage the establishment of startup incubation hubs, and develop mechanisms to monitor local business performance indicators.

It shall likewise help explore the establishment of a Local Business Development Academy or Training Institute, assist MSMEs in marketing their products, identify investment opportunities, organize an annual local business summit, and regularly review business-related policies and procedures to ensure that they remain responsive to the changing needs of investors and enterprises.

The proposed ordinance was approved on first reading by the Baguio City Council on June 22, 2026 and was subsequently referred to the Committee on Market, Trade, Commerce, and Agriculture for review. Baguio City – Sangguniang Panlungsod