The Securities and Exchange Commission (SEC) is shifting to the next phase of its reform agenda, rolling out structural changes aimed at making it easier for businesses to start operations, raise capital, and improve liquidity in the Philippine capital market.
After spending its first year reducing regulatory costs and streamlining internal processes, the SEC is now focusing on reforms designed to remove long-standing barriers that limit business formation and capital market participation, according to SEC chairperson Francis Lim.
“We have made progress in reducing regulatory friction, but there are still structural barriers that prevent businesses from starting faster and companies from tapping the capital market more efficiently,” Lim said.
“Our next task is to address these barriers and build a market that is easier to access, more liquid, and more competitive,” he added.
A centerpiece of the SEC’s proposals is the One Business Start Date initiative, which would allow companies to begin commercial operations immediately after securing SEC registration or another primary regulatory license while completing other government permits in parallel. The proposal is intended to narrow the gap between incorporation and the actual start of business operations, reducing delays for new enterprises.
The commission is also expanding its digital services and tightening processing standards by imposing internal turnaround times, including a “deemed approved” policy for applications that exceed prescribed processing periods.
As part of its broader effort to lower compliance costs, the SEC said it has reduced fees for corporate document requests by a cumulative 62.5% from 2023 levels, generating about ₱211 million in savings as of June 2026. Micro, small, and medium-sized enterprises have also received ₱148.63 million in discounts on registration and capital-related transactions, while businesses have been granted ₱3.72 million in relief from assessed penalties.
Beyond easing business entry, the SEC is overhauling the country’s capital-raising framework. Working with the World Bank, the regulator is reviewing public offering rules by separating regulatory requirements for debt and equity securities, with the goal of making disclosure obligations more proportionate to the risks and characteristics of each instrument. The commission said the changes are intended to make fundraising more accessible while maintaining investor protection.
At the same time, the SEC is collaborating with the Philippine Stock Exchange and the Philippine Dealing and Exchange Corporation to develop a market-making framework for listed securities, a move aimed at boosting trading activity and improving liquidity. It is also reviewing margin trading rules as another mechanism to deepen the domestic market.
Moreover, Lim said the commission is studying refinements to the Personal Equity and Retirement Account (PERA) framework to encourage greater participation from both employers and employees and broaden the country’s investor base.
The latest initiatives build on reforms introduced during Lim’s first year in office, including a five-year shelf registration framework, tiered minimum public ownership requirements, expanded Real Estate Investment Trust (REIT) rules, Sukuk regulations, and Southeast Asia’s first Green Equity Guidelines. The SEC has also widened financing options for smaller enterprises through crowdfunding and sector-specific capital-raising programs for hospitals, agribusinesses, and other priority industries.
To consolidate these efforts, the commission is developing a Philippine Capital Market Master Plan with the Asian Development Bank (ADB), laying out a long-term strategy to expand access to capital and strengthen the competitiveness of the domestic market. The roadmap forms part of the SEC’s ambition to position the Philippines among Southeast Asia’s leading capital markets by 2030.
Lim said developing a deeper capital market requires expanding both the supply of issuers and the pool of investors, underscoring the need to improve financial literacy alongside market reforms.
“A deeper capital market requires not only more issuers and more investment products. We also need Filipinos who understand how to save, invest, and participate in the market responsibly.” he said.
In support of that goal, the SEC has submitted a proposed Financial Literacy Bill that seeks to make financial literacy a core subject in secondary education. A technical working group of the House Committee on Basic Education and Culture has already prepared a report endorsing the measure for committee approval.
The reform push also aligns with the Philippines’ chairship of the ASEAN Capital Markets Forum in 2026. Under its leadership, the SEC is advancing initiatives on cross-border listings, ASEAN depositary receipts, and greater market connectivity as the region works toward positioning ASEAN as a single asset class for global investors. The forum is also set to establish its first permanent physical office at the ADB headquarters in Mandaluyong City.
Stay updated—follow Philippines Today on Facebook and Instagram, and subscribe on YouTube for more stories.