DTI, GTZ push for the use of the LRED planning tool

CEBU, Philippines - The Department of Trade and Industry along with the non-government funding institution German Technical Cooperation (GTZ) push for the usage of the Local and Regional Economic Development (LRED) planning tool to enable local government units to improve their local economies.

DTI-7 business development division chief Elias Tecson said the LRED is a planning tool that introduces to LGUs the idea on how they can improve their localities and how they can adopt better processes that can help them achieve economic development and growth.

This tool is a participatory, action oriented approach and process wherein public and private stakeholders in a locality jointly improve conditions for economic growth and employment generation.

The project was first initiated in the province of Leyte in October 2004 through DTI and GTZ’s private sector promotion program and selected LGUs that participated in the program include cities of Ormoc and Baybay, and municipalities of Carigara and Palompon.

In 2006, these four pilot LGUs reported significant gains from the program as they were able to bring public and private sectors together to work for economic development as well as the establishment of public-private dialogues and community and business sector participation were encouraged.

According to Tecson, here in Cebu LRED was first conducted in the municipality of Liloan last June 2008 followed by the municipality of Argao in August.

He said that this year, they have new schedules for five more municipalise that will undergo LRED and these include Barili, Carcar and Naga which is scheduled this month as well as Bogo and Consolacion which are scheduled in July.

“All stakeholders in a particular municipality that participated in LRED is involved in the process from the business sector to the academe so they can get sufficient information to create an action plan on how to better develop their municipality,” said Tecson.

He said that the outcome of this process is an economic master plan that will help a particular municipality and its officials determine the projects to implement.

Tecson said that some of the action plans implemented after the LRED planning process include the business processing and licensing system (BPLS) which streamlines the process of securing permits and licenses that will enable investors to fast track their projects and development plans.

He said that adaptation of BPLS helps a particular LGU to improve its business opportunities and attract influx of more investors.

Other areas that will be determined through LRED aside from streamlining their business permit processing include improvement in the municipality’s zoning, among others.

Tecson said that DTI and GTZ is hoping that more LGUs in Cebu will utilize LRED to jumpstart the start of economic development in their areas.