CITIES AND MUNICIPALITIES COMPETITIVENESS INDEX 2014

ABOUT THE INDEX

How competitive are our cities and municipalities? How easy is it to start a business in a city? What is the cost of doing business in a municipality? We asked…

Difficult to gather data at city and municipality level Sustainability of data collection affected by funding Time lag in national data surveys We found out…

The creation of Regional Competitiveness Committees (RCCs) tasked to: Track local competitiveness indicators Formulate programs to improve competitiveness Engage in investment promotion activities to attract investors and create new jobs We proposed…

50 Private Sector/ Academe 50 Public Sector Regional Competitiveness Committees (RCCs) Overview

15 Regional Competitiveness Committees (RCCs) + National Capital Region Region I (Ilocos) Region II (Cagayan) Region III (Central Luzon) Region IVA (CALABARZON) Region IVB (MIMAROPA) Region V (Bicol) Region VI (Western Visayas) Region VII (Central Visayas) Region VIII (Eastern Visayas) Region IX (Zamboanga) Region X (Northern Mindanao) Region XI (Davao) Region XII (SOCCSKSARGEN) Region XIII CARAGA CAR Overview

As building block of overall competitiveness Overview

INSTITUTIONAL LINKAGES

INSTITUTIONAL RESPONSIBILITIES NCC Coordinates with RCCs, DILG and NSO/PSA Prepares resources for conduct of data collection and FGDs RCCs Engages the identified LGUs to participate in the annual data collection Identifies the 3 rd Party Institution to implement data collection LGUs, Local firms, Research Institutions RCCs enter into a MOA with the Research Institution Local Firms support implementation of the annual data collection

RCC TIMELINE

NCC advocates for the creation of Regional Competitiveness Committees 1Q 2012 NCC holds a meeting workshop with all RCCs to improve the framework JULY 2013 The city of Cagayan de Oro, Misamis Oriental and the municipality of San Francisco, Agusan del Sur topped the Index which ranked 122 cities and 163 municipalities based on the local competitiveness framework. RCCs gather in Iloilo and Cagayan de Oro to prepare for the next round of the Index Dec April 2014 NCC presents the 1 st Cities and Municipalities Competitiveness Index at the Regional Competitiveness Summit JULY 2013 RCC Dialogues held in Cebu and Davao; 15 RCCs + NCR formed June 2012 Sept USAID assists NCC in developing a framework to measure local competitiveness Nov.-Dec List of indicators for the framework finalized in RCC Forum Feb Final list of indicators released to RCCs; data collection begins March nd Round of Data Collection April – May 2014 May – June2014 Submission and Validation Standardization and Processing of data into rankings June 2014 TIMELINE July 2014 Announcement and Awarding of the Top Cities and Municipalities

CMCI FRAMEWORK

FRAMEWORK and Competitiveness

ABOUT THE INDEX

THE INDICATORS

ECONOMIC DYNAMISM Economic dynamism refers to “activities that create stable expansion of businesses and industries and higher employment.” It is divided into eight indicators: 1.Size of the Local Economy (Registrations, Capital, Revenue, Permits) 2.Growth of the Local Economy (Registrations, Capital, Revenue, Permits) 3.Capacity to Generate Employment 4.Cost of Living 5.Cost of Doing Business 6.Financial Deepening 7.Productivity 8.Presence of Business and Professional Organizations

GOVERNMENT EFFICIENCY 1. Transparency Score in LGPMS 2. Economic Governance Score in LGPMS 3. Ratio of LGU collected tax to LGU revenues 4. LGU Competition-Related Awards 5. Business Registration Efficiency 6. Investment Promotion 7. Compliance to National Directives for LGUs 8. Security 9. Health 10. Schools Government efficiency refers to “the quality and reliability of government services and support for effective and sustainable productive expansion.” It is divided into ten indicators:

INFRASTRUCTURE 1. Existing Road Network 2. Distance of Center to Major Ports 3. DOT-Accredited Accommodations 4. Health Infrastructure 5. Education Infrastructure 6. Availability of Basic Utilities 7. Annual Investments in Infrastructure 8. Connection of ICT 9. Number of ATMs 10. Number of Public Transportation Infrastructure refers to “the physical building blocks that connect, expand, and sustain a locality and its surroundings to enable the provision of goods and services”. It is divided into ten indicators:

SCORING

Separate rankings were made for cities and municipalities. OVERALL COMPETITIVENESS RANKING = Economic Dynamism Score (33.33) Government Efficiency Score (33.33) Infrastructure Score (33.33) Sum of scores on 8 indicators (4.17) Sum of scores on 10 indicators (3.33) Sum of scores on 10 indicators (3.33)

SCORING To standardize the computations, the standard formula for the human development index was adopted: The resulting value is then multiplied to the identified weight per indicator. Actual value(x) - Minimum Value (x) Maximum value (x) - Minimum value (x) NOTE: Some data, such as those requiring a yes or no answer or growth rates, were subject to a special scoring system so they could be reflected in the rankings.

COVERAGE

LOCAL GOVERNMENTS COVERED: 2013 vs 2014 * Out of 1,634 local governments in the Philippines (285 Local Governments) (535 Local Governments)

COMPLETION RATE

is the total number of data points filled over the total number of data points required. COMPLETION RATE-

PILLARS INDICATORS SUB- INDICATORS TOTAL NUMBER OF INPUTS Economic Dynamism Government Efficiency Infrastructure TOTAL TOTAL NUMBER OF INPUTS REQUIRED FOR 2013 and 2014 Inputs- refer to the number of data points/ cells required to be filled under each pillar. Example for Economic Dynamism: Indicator : (Total Annual Business Registrations) Sub-indicators : (# of new business registrations, # of renewals) Inputs : (Total annual count : 2011, 2012, 2013, Jan-March 2013, Jan-March 2014 )

COMPLETION RATE: 2013 vs 2014 Completion Rate PILLARSCities Municipalities Cities Municipalities Economic Dynamism52%47%83%69% Government Efficiency 46%40%85%74% Infrastructure71%63%72%64% TOTAL56%50%79%68%

COMPLETION RATE: 2013 vs % % 2014

INDICATORS CITIES MUNICIPALITIES Total Annual Business Registrations 87%77% Capital 83%62% Revenue 85%65% Permits 85%69% Jobs 66%60% Inflation Rate 99%93% Financial Institutions 83%73% Productivity 77%59% Business Groups 68%60% Cost of Doing Business 85%65% Economic Dynamism 83%69% ECONOMIC DYNAMISM COMPLETION RATE: PER INDICATOR

INDICATORS CITIES MUNICIPALITIES Transparency Score in LGPMS 96%95% Economic Governance Score in LGPMS 96%95% Ration of LGU collected tax to LGU revenues 89%79% LGU Competitions Related Awards 81%68% Business Registration Efficiency 92%76% Investment Promotion 98%77% Compliance to National Directives for LGUs 91%79% Security 96%88% Health 66%61% Schools 81%68% Government Efficiency 85%74% GOVERNMENT EFFICIENCY COMPLETION RATE: PER INDICATOR

INDICATORS CITIES MUNICIPALITIES Existing Road Network 74%57% Distance of Center to Major Ports 86%63% DOT Accredited Accommodations 65%64% Health Infrastructure 63%57% Education Infrastructure 82%75% Availability of Basic Utilities 84%67% Annual Investments in Infrastructure74%58% Connection to ICT 91%83% Number of ATMs 81%72% Number of Public Transportations 67%61% Infrastructure 72%64% INFRASTRUCTURE COMPLETION RATE: PER INDICATOR

SUBMISSIONS PER REGION # OF CITIES Completion Rate # OF MUNICIPALITIES Completion Rate TOTAL # OF Local Govts. REGIONAL AVERAGE Cordillera Administrative Region % % % National Capital Region %186.23% % Region I - Ilocos Region892.91% % % Region II - Cagayan Valley476.72% % % Region III - Central Luzon % % % Region IVA- CALABARZON % % % Region IVB- MIMAROPA273.69% % % Region V - Bicol Region778.16% % % Region VI - Western Visayas % % % Region VII - Central Visayas % % % Region VIII- Eastern Visayas768.95%782.76% % Region IX - Zamboanga Peninzula % % % Region X - Northern Mindanao994.64% % % Region XI - Davao Region675.07% % % Region XII - SOCCSKSARGEN498.00% % % Region XIII - Caraga Region699.91% % % COMPLETION RATE: REGIONAL AVERAGE * In yellow are regions with above 90% Regional Average

COMPLETION RATE: REGIONAL AVERAGE

COMPLETION RATE: LOCAL GOVERNMENT TYPE

2014 RESULTS

CITIES Parañaque Makati Manila 4.Naga (Camarines Sur) 5.General Santos 6.Mandaluyong 7.Valenzuela 8.Caloocan 9.Cagayan de Oro 10.Cebu 11.Davao 12.Muntinlupa 13.Butuan 14.El Salvador (Misamis Oriental) 15.Bacolod MUNICIPALITIES Tanza (Cavite) General Trias (Cavite) San Pedro (Laguna) 4.Carmona (Cavite) 5.Taytay (Rizal) 6.Polomolok (South Cotabato) 7.Sta. Maria (Bulacan) 8.Cuyapo (Nueva Ecija) 9.Pinamalayan (Oriental Mindoro) 10.Puerto Galera (Oriental Mindoro) 11.Kalibo (Aklan) 12.Isulan (Sultan Kudarat) 13.Rodriguez (Rizal) 14.San Mateo (Rizal) 15.Lubao (Pampanga) Top Cities and Municipalities: Economic Dynamism

CITIES Naga (Camarines Sur) Iloilo Angeles (Pampanga) 4.Makati 5.Cagayan de Oro 6.Tagbilaran 7.San Fernando (Pampanga) 8.La Carlota (Negros Occidental) 9.Baguio 10.Laoag 11.Balanga (Bataan) 12.Mati (Davao Oriental) 13.Davao 14.Vigan 15.Pasay MUNICIPALITIES Kalibo (Aklan) Tupi (South Cotabato) San Mateo (Isabela) 4.Molave (Zamboanga del Sur) 5.Nabunturan (Compostela Valley) 6.Midsayap (North Cotabato) 7.San Luis (Aurora) 8.Odiongan (Romblon) 9.Carmona (Cavite) 10.Sablayan (Occidental Mindoro) 11.Tigaon (Camarines Sur) 12.Roxas (Isabela) 13.Surallah (South Cotabato) 14.Agoo (La Union) 15.T’boli (South Cotabato) Top Cities and Municipalities: Government Efficiency

CITIES Davao Cagayan de Oro Marikina 4.Makati 5.Cebu 6.Quezon City 7.Iloilo 8.Angeles (Pampanga) 9.Pasay 10.Manila 11.Valenzuela 12.Iriga (Camarines Sur) 13.Parañaque 14.Dasmariñas (Cavite) 15.Muntinlupa MUNICIPALITIES Daet (Camarines Norte) Rodriguez (Rizal) Paniqui (Tarlac) 4.Argao (Cebu) 5.Nabunturan (Compostela Valley) 6.Taytay (Rizal) 7.General Trias (Cavite) 8.Donsol (Sorsogon) 9.Manolo Fortich (Bukidnon) 10.Silang (Cavite) 11.Lala (Lanao del Norte) 12.Lubao (Pampanga) 13.San Jose (Antique) 14.Cuyapo (Nueva Ecija) 15.San Mateo (Rizal) Top Cities and Municipalities: Infrastructure

TOP CITIES Makati Cagayan de Oro Naga (Camarines Sur) 4.Davao 5.Marikina 6.Iloilo 7.Cebu 8.Manila 9.Valenzuela 10.Parañaque 11.Pasay 12.General Santos 13.Mandaluyong 14.Angeles (Pamapanga) 15.Baguio TOP MUNICIPALITIES Daet (Camarines Norte) General Trias (Cavite) Kalibo (Aklan) 4.Carmona (Cavite) 5.Nabunturan (Compostela Valley) 6.Lubao (Pampanga) 7.Isulan (Sultan Kudarat) 8.Polomolok (South Cotabato) 9.Manolo Fortich (Bukidnon) 10.Taytay (Rizal) 11.Angono (Rizal) 12.Midsayap (North Cotabato) 13.Tupi (South Cotabato) 14.Paniqui (Tarlac) 15.Polangui (Albay) OVERALL COMPETITIVENESS

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2015 COVERAGE

TOTAL NUMBER OF CITIES AND MUNICIPALITIES IN THE PHILIPPINES REGION COVERED AS OF MAY 28TOTAL LGUSNOT YET COVERED CITIESMUNICIPALITIESTOTALCITIESMUNICIPALITIESTOTALCITIESMUNICIPALITIESTOTAL Cordillera Administrative Region National Capital Region I - Ilocos Region II - Cagayan Valley III - Central Luzon IVA- CALABARZON IVB- MIMAROPA V - Bicol Region VI - Western Visayas VII - Central Visayas VIII- Eastern Visayas IX - Zamboanga Peninzula X - Northern Mindanao XI - Davao Region XII – SOCCSKSARGEN XIII - Caraga Region ARMM TOTAL

SCHEDULE OF ACTIVITIES

PROPOSED SCHEDULE OF ACTIVITIES FOR 2015 Schedule of Activities for 2015 Jan. 1 Jan. 15 Feb.1 Feb. 15 Mar. 1 Mar. 15 Apr. 1 Apr. 15 May. 1 May. 15 Jun.1 Jun. 15 Jul. 1 Jul. 15 Aug. 1 Aug. 15 Sept. 1 Sept.15 Oct.1 Oct. 15 Nov. 1 Nov. 15 Dec. 1 Dec. 15 I. Cities and Municipalities Competitiveness Index Identification of Research Partner for Data Gathering and RCC Focal Person Conduct of Data Gathering Validation of Results by RCC Data Processing by NCC Presentation of Ranking Publication of Results Review of Results and Audits

GET THE FULL RANKING RESULTS AT: