TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
25 JUL 29 PI :59
SENATE
s. No. 760
Rt:C£l\
Introduced by Senator Bam Aquino
AN ACT
AMENDING REPUBLIC ACT NO. 11337, OTHERWISE KNOWN AS THE 
"INNOVATIVE STARTUP ACT," BY EXPANDING THE DEFINITION OF 
STARTUPS, STRENGTHENING INTER-AGENCY COORDINATION, 
ESTABLISHING A STARTUP PROGRAM SECRETARIAT, AND PROVIDING 
ADDITIONAL MEASURES TO PROMOTE INNOVATION-DRIVEN
ENTERPRISES
EXPLANATORY NOTE
Republic Act No. 11337, or the Innovative Startup Act, was enacted in 2019 to 
support the growth of innovative startups in the Philippines through streamlined 
processes, incentives, and inter-agency collaboration. It was a landmark step in 
recognizing startups as key contributors to innovation, job creation, and inclusive 
economic development.
However, in the years since its enactment, the startup landscape has rapidly 
evolved. Startups are now emerging in a broader range of fields, including green 
technology, biotechnology, advanced manufacturing, creative industries, and social 
innovation. At the same time, global competition for talent, capital, and innovation has 
intensified significantly, prompting many countries to update their policies and 
ecosystems to attract and retain high-potential enterprises.
This bill seeks to future-proof and strengthen the Innovative Startup Act by:
• 
Clarifying the legal definition of "startup" to reflect the realities of today's 
innovation landscape and capture emerging high-impact sectors;
• 
Designating the Department of Science and Technology (DOST) as the lead agency 
of the Philippine Startup Development Program (PSDP), with support from the 
Department of Trade and Industry (DTI) and the Department of Information and 
Communications Technology (DICT);


• 
Establishing a permanent PSDP Secretariat under the DOST to coordinate inter­
agency efforts, manage startup-related data and platforms, and ensure effective 
program delivery;
• 
Requiring the Department of the Interior and Local Government (DILG) and local 
government units (LGUs) to streamline startup-related permitting and registration 
processes;
• 
Enhancing the Startup Venture Fund (SVF) by allowing new investment 
instruments and introducing incentives for early-stage investors and angel funds;
• 
Supporting startup talent through streamlined visa processing, a Filipino Startup 
Returnee Program, and fast-tracked pathways for foreign and returning Filipino 
startup founders;
• 
Providing grants to higher education and training institutions to develop specialized 
curricula in deep tech, startup management, and entrepreneurship, and 
establishing a national internship and apprenticeship program to link students with 
startups; and
• 
Institutionalizing an annual Startup Ecosystem Report and performance tracking, 
with oversight and monitoring by the National Innovation Council.
This measure is a timely response to the growing need for a more cohesive,
inclusive, and competitive innovation ecosystem in the Philippines, empowering
Filipino startups to scale, thrive, and lead in the global economy.
In view of the foregoing, the passage of this bill is earnestly sought.
\Aa' (vf


1
TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
25 JUL29 PI 59
SENATE
s. No. 760
Introduced by Senator Bam Aquino
AN ACT
AMENDING REPUBLIC ACT NO. 11337, OTHERWISE KNOWN AS THE 
"INNOVATIVE STARTUP ACT/' BY EXPANDING THE DEFINITION OF 
STARTUPS, STRENGTHENING INTER-AGENCY COORDINATION, 
ESTABLISHING A STARTUP PROGRAM SECRETARIAT, AND PROVIDING 
ADDITIONAL MEASURES TO PROMOTE INNOVATION-DRIVEN
ENTERPRISES
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
Section 1. Short Title. - This Act shall be known as the "Enhanced Startup Law."
2 
Sec. 2. Section 3(g) of Republic Act No. 11337, otherwise known as the
3 
"Innovative Startup Act," is hereby amended to read as follows:
4 
Sec. 3. Definition of Terms. - As used in this Act, the following terms shall mean:
5 
XXX
6 
"(g) 'INNOVATIVE STARTUP' OR 'Startup' - [any person or registered entity in the
7 
Philippines which aims to develop an innovative product, process, or business model]
8 
ANY ENTERPRISE OR REGISTERED BUSINESS ENTITY, INCLUDING BUT
9 
NOT LIMITED TO, THOSE ENGAGED IN DIGITAL TECHNOLOGY, GREEN
10 
TECHNOLOGY, BIOTECHNOLOGY, ADVANCED MANUFACTURING, CREATIVE
11 
INDUSTRIES, AND SOCIAL INNOVATION, THAT IS LESS THAN TEN (10)
12 
YEARS OLD FROM ITS DATE OF REGISTRATION, WHOSE PRIMARY
13 
BUSINESS MODEL OR PRODUCTS/SERVICES ARE CHARACTERIZED BY
14 
INNOVATION, HIGH GROWTH POTENTIAL, AND SCALABILITY, AND WHICH


1 
AIMS TO DEVELOP OR OFFER NEW OR SIGNIFICANTLY IMPROVED
2 
PRODUCTS, SERVICES, PROCESSES, OR BUSINESS MODELS. FOR
3 
PURPOSES OF THIS ACT, A MAJORITY OF ITS OPERATIONS, INCLUDING
4 
CORE TEAM AND RESEARCH AND DEVELOPMENT ACTIVITIES, SHALL BE
5 
BASED IN THE PHILIPPINES, REGARDLESS OF WHERE IT IS LEGALLY
6 
REGISTERED, PROVIDED IT ADHERES TO PHILIPPINE LAWS."
7 
XXX
8 
Sec. 3. Section 4 of the same Act is hereby amended to read as follows:
9 
"Sec. 4. Philippine Startup Development Program. - There is hereby created a
10 
Philippine Startup Development Program hereinafter referred to as the "Program".
11 
The Program shall be composed of programs, benefits, and incentives for startups and
12 
startup enablers promulgated through the respective mandates of national
13 
government agencies, and through additional mandates provided by the provisions of
14 
this Act. The Program shall also include programs, benefits, and incentives for startup
15 
and startup enablers extended by NGOs in partnership with any national government
16 
agency.
17 
The DOST [, DICT, and DTI shall be-the lead-agencies that-shelf-assess, monitor^
18 
develop and] SHALL BE THE LEAD AGENCY THAT WILL DEVELOP,
19 
IMPLEMENT, AND expand the Program consistent with the objectives of this Act.
20 
DICT AND DTI SHALL SUPPORT DOST AS PROGRAM IMPLEMENTATION
21 
PARTNERS. To this end, the DOST, DICT, and DTI, in consultation with government
22 
and NGOs, shall set key metrics to track the impact and development of the Program.
23 
The DTI shall promulgate the rules for the efficient registration and assessment of
24 
startup enablers to be registered under the Program.
25 
Sec. 4. A new section, to be designated as Section 7-A, is hereby inserted after
26 
Section 7 of the same Act to read as follows:


1 
"SEC. 7-A. LGU REGISTRATION AND OPERATIONAL BENEFITS AND
2 
INCENTIVES. - THE DILG SHALL SUPPORT THE DTI IN ENSURING THAT
3 
LGUS ARE STREAMLINING ALL PERMITTING PROCESSES AND CORPORATE
4 
RESTRUCTURING PROCEDURES FOR STARTUPS, WITH A FOCUS ON
5 
EFFICIENCY AND ACCESSIBILITY THROUGH ONLINE PLATFORMS. THE
6 
DILG SHALL ALSO MONITOR AND REPORT THE NUMBER OF STARTUPS PER
7 
LGU, AND THE PROCESSING TIME OF THEIR LGU PERMITS AND OTHER
8 
REQUIREMENTS, IN PARTNERSHIP WITH LGU OFFICIALS."
9 
Sec. 5. Section 12 of the same Act is hereby amended to read as follows:
10 
"Sec. 12. Startup Venture Fund. - There is hereby created a Startup Venture Fund
11 
(SVF) under the DTI, to be administered in coordination with the National
12 
Development Company (NDC). The SVF shall be used to match investments by
13 
selected investors in startups based in the Philippines.
14 
THE SVF SHALL DIVERSIFY ITS INVESTMENT INSTRUMENTS TO INCLUDE
15 
FUND OF FUNDS, CONVERTIBLE NOTES, AND BLENDED FINANCE, IN
16 
ADDITION TO MATCHING INVESTMENTS. TO SUSTAIN THE SVF, THE DTI
17 
AND NDC SHALL IDENTIFY AND PROVIDE INCENTIVES FOR ANGEL
18 
INVESTORS AND EARLY-STAGE VENTURE CAPITAL FUNDS INVESTING IN
19 
STARTUPS.
20 
The NDC and DTI shall jointly develop and issue the appropriate rules and regulations
21 
for the selection of investors and the effective management and utilization of the SVF.
22 
The initial and succeeding appropriations for the SVF shall be proposed by the DTI
23 
and included in the budget of the NDC under the annual General Appropriations Act.
24 
Sec. 6. A new section, to be designated as Section 13-A, is hereby inserted
25 
after Section 13 of the same Act to read as follows:
26 
"SEC. 13-A. STARTUP TALENT VISA STREAMLINING. - THE DFA SHALL
27 
STREAMLINE AND FURTHER EXPEDITE THE PROCESSING OF STARTUP
28 
OWNER, EMPLOYEE, AND INVESTOR VISAS, AND ENSURE THAT THE


1
2
4
5
EXEMPTIONS FROM ALIEN EMPLOYMENT PERMITS (AEP) BY THE 
DEPARTMENT OF LABOR AND EMPLOYMENT (DOLE) ARE CONSISTENTLY 
APPLIED. REGULAR REVIEWS OF VISA CATEGORIES AND REQUIREMENTS 
SHALL BE CONDUCTED TO ENSURE COMPETITIVENESS WITH OTHER 
ASEAN NATIONS."
6 
Sec. 7. A new section, to be designated as Section 13-B, is hereby inserted
7 
after the new Section 13-A of the same Act to read as follows:
8 
"SEC. 13-B. FILIPINO STARTUP RETURNEE PROGRAM. - THE DOST SHALL
9 
ESTABLISH A PROGRAM SIMILAR TO THE BALIK-SCIENTIST PROGRAM, IN
10 
COLLABORATION WITH THE COMMISSION ON FILIPINOS OVERSEAS (CFO)
11 
AND DEPARTMENT OF LABOR AND EMPLOYMENT (DOLE), TO INCENTIVIZE
12 
HIGHLY SKILLED FILIPINO PROFESSIONALS AND ENTREPRENEURS
13 
RESIDING ABROAD TO RETURN TO THE PHILIPPINES AND CONTRIBUTE TO
14 
THE LOCAL STARTUP ECOSYSTEM THROUGH MENTORSHIP, INVESTMENT,
15 
OR DIRECT INVOLVEMENT IN STARTUPS. THIS MAY INCLUDE FAST-TRACK
16 
IMMIGRATION PROCESSES, TAX INCENTIVES, AND RELOCATION
17 
SUPPORT."
18 
Sec. 8. A new section, to be designated as Section 13-C, is hereby inserted
19 
after the new Section 13-B of the same Act, as amended, to read as follows:
20 
SEC. 13-C. SPECIALIZED TECH AND ENTREPRENEURSHIP
21 
EDUCATION. - THE DOST SHALL PROVIDE GRANTS TO HIGHER EDUCATION
22 
INSTITUTIONS (HEIS) AND TECHNICAL VOCATIONAL EDUCATION AND
23 
TRAINING (TVET) PROVIDERS TO DEVELOP AND OFFER SPECIALIZED
24 
CURRICULA IN EMERGING TECHNOLOGIES (INCLUDING BUT NOT LIMITED
25 
TO AI AND AI ETHICS, BLOCKCHAIN DEVELOPMENT, CYBERSECURITY,
26 
DATA SCIENCE, QUANTUM COMPUTING), STARTUP MANAGEMENT, AND
27 
STARTUP ECOSYSTEM MANAGEMENT INCORPORATING PRACTICAL,
28 
INDUSTRY-LED PROJECTS. THE DOST SHALL ALSO ESTABLISH A NATIONAL
29 
INTERNSHIP AND APPRENTICESHIP PROGRAM WITH STARTUPS,


1 
ALLOWING STUDENTS TO GAIN PRACTICAL EXPERIENCE AND FOSTERING
2 
A PIPELINE OF SKILLED TALENT FOR THE ECOSYSTEM."
3 
Sec. 9. A new section, to be designated as Section 17-A, is hereby inserted
4 
after Section 17 of the same Act to read as follows:
5 
"SEC. 17-A. SECRETARIAT FOR THE PHILIPPINE STARTUP DEVELOPMENT
6 
PROGRAM. - THERE IS HEREBY ESTABLISHED A PERMANENT SECRETARIAT
7 
FOR THE PHILIPPINE STARTUP DEVELOPMENT PROGRAM (PSDP).
8 
THE PSDP SECRETARIAT SHALL BE AN ATTACHED UNIT TO THE DOST AND
9 
SHALL PERFORM THE FOLLOWING FUNCTIONS:
10 
(a) 
PROVIDE TECHNICAL AND ADMINISTRATIVE SUPPORT TO THE
11 
PSDP IN THE FULFILLMENT OF ITS MANDATE, INCLUDING THE
12 
PREPARATION OF POLICY RECOMMENDATIONS, PROGRAM
13 
GUIDELINES, AND ANNUAL REPORTS;
14 
(b) 
SERVE AS THE PRIMARY COORDINATING BODY AMONG THE
15 
HOST AGENCIES AND OTHER GOVERNMENT ENTITIES INVOLVED IN
16 
STARTUP ECOSYSTEM DEVELOPMENT;
17 
(c) 
MANAGE AND MAINTAIN THE STARTUP PHILIPPINES WEBSITE
18 
AND OTHER RELEVANT GOVERNMENT PLATFORMS FOR STARTUP
19 
ECOSYSTEM DEVELOPMENT;
20 
(d) 
CONDUCT RESEARCH, DATA COLLECTION, AND ANALYSIS ON
21 
THE PHILIPPINE STARTUP ECOSYSTEM, LEVERAGING RELEVANT
22 
MARKET INFORMATION SYSTEMS AND PARTNERSHIPS;
23 
(e) 
ORGANIZE AND FACILITATE STAKEHOLDER CONSULTATIONS,
24 
WORKSHOPS, AND PROMOTIONAL EVENTS FOR THE STARTUP
25 
COMMUNITY;
26 
(f) 
ACT AS A LIAISON FOR INTERNATIONAL PARTNERSHIPS AND
27 
ENGAGEMENTS RELATED TO STARTUP DEVELOPMENT;


1 
(g) 
DEVELOP THE ANNUAL PHILIPPINE STARTUP ECOSYSTEM
2 
REPORT, WHICH SHALL BE SUBMITTED TO THE PRESIDENT AND
3 
CONGRESS, DETAILING KEY PERFORMANCE INDICATORS SUCH AS:
4 
NUMBER AND VALUE OF REGISTERED INNOVATIVE STARTUPS AND
5 
ENABLERS; TOTAL INVESTMENTS ATTRACTED BY PHILIPPINE
6 
STARTUPS (DOMESTIC AND FOREIGN); NUMBER OF JOBS CREATED
7 
DIRECTLY AND INDIRECTLY BY STARTUPS; GROWTH IN SPECIFIC
8 
INNOVATIVE SECTORS (SUCH AS DEEP TECH, GREEN TECH); GLOBAL
9 
RANKING OF THE PHILIPPINE STARTUP ECOSYSTEM; SUCCESS
10 
RATES AND STORIES OF STARTUPS COMPLETING GOVERNMENT
11 
PROGRAMS; RECOMMENDATIONS FOR FURTHER POLICY
12 
ENHANCEMENTS AND BETTER PROGRAM IMPLEMENTATION;
13 
(h) 
REPORT QUARTERLY ALL PROGRESS AND IMPACT OF THE
14 
PROGRAM TO THE NATIONAL INNOVATION COUNCIL, WHICH WILL
15 
SERVE AS THE LEAD MONITORING AND EVALUATION BODY FOR
16 
STARTUP ECOSYSTEM DEVELOPMENT; AND
17 
(i) ADMINISTER AND OVERSEE THE ALLOCATION OF FUNDS FOR
18 
SPECIFIC PROGRAMS AND GRANTS APPROVED BY THE PSDC, AS MAY
19 
BE DELEGATED."
20 
Sec. 10. A new section, to be designated as Section 17-B, is hereby inserted
21 
after the new Section 17-A of the same Act to read as follows:
22 
SEC. 17-B. STAFFING AND STRUCTURE OF THE SECRETARIAT. - THE
23 
SECRETARIAT SHALL BE HEADED BY AN EXECUTIVE DIRECTOR IV (SALARY
24 
GRADE 29) WHO SHALL BE APPOINTED BY THE PRESIDENT OF THE
25 
PHILIPPINES. THE EXECUTIVE DIRECTOR IV SHALL BE AT LEAST THIRTY
26 
(30) YEARS OF AGE AT THE TIME OF APPOINTMENT; MUST POSSESS GOOD
27 
MORAL CHARACTER; BE A PERSON OF PROVEN INTEGRITY; IS A HOLDER
28 
OF A COLLEGE DEGREE IN A RELATED FIELD OF DISCIPLINE; A PERSON OF
29 
PROVEN ADMINISTRATIVE PROFICIENCY, INDEPENDENCE, EXPERIENCE,


1 
KNOWLEDGE, AND COMMITMENT TO THE PROMOTION AND DEVELOPMENT
2 
OF THE PHILIPPINE STARTUP ECOSYSTEM; AND WHO HAS SERVED IN A
3 
POSITION OF LEADERSHIP FOR AT LEAST TEN (10) YEARS IN AT LEAST ONE
4 
(1) STARTUP OR INNOVATION-RELATED DOMAIN PRIOR TO THE DATE OF
5 
APPOINTMENT.
6 
THE EXECUTIVE DIRECTOR IV SHALL BE ASSISTED BY TWO (2) DEPUTY
7 
EXECUTIVE DIRECTORS IV (SALARY GRADE 28) AND AN ADMINISTRATIVE
8 
STAFF CONSISTING OF AT LEAST ONE (1) OF EACH OF THE FOLLOWING
9 
OFFICERS AND EMPLOYEES:
10 
(a) 
POLICY DEVELOPMENT MANAGER (SALARY GRADE 24);
11 
(b) 
RESEARCH AND ANALYTICS MANAGER (SALARY GRADE 24);
12 
(c)INTERNATIONAL ENGAGEMENT MANAGER (SALARY GRADE 24);
13 
(d) 
LOCAL ECOSYSTEM DEVELOPMENT MANAGER (SALARY GRADE
14 
24);
15 
(e) 
PROJECT MANAGER: REGULATORY SANDBOXES (SALARY
16 
GRADE 24);
17 
(f) PROJECT MANAGER: DIGITAL PLATFORM (SALARY GRADE 24);
18 
(g) 
PROJECT MANAGER: TALENT DEVELOPMENT (SALARY GRADE
19 
24);
20 
(h) 
LEGAL AND INTELLECTUAL PROPERTY SPECIALIST (SALARY
21 
GRADE 22);
22 
(i) FINANCIAL SERVICES SPECIALIST (SALARY GRADE 22); AND
23 
0) ADMINISTRATIVE SECRETARIAT (SALARY GRADE 18).
24 
THE DEPUTY EXECUTIVE DIRECTORS SHALL HAVE THE SAME
25 
QUALIFICATIONS FOR APPOINTMENT AS THE EXECUTIVE DIRECTOR,


1 
WITH RELEVANT EXPERIENCE IN STARTUP ECOSYSTEMS, INNOVATION,
2 
OR PUBLIC POLICY.
3 
THE PRESIDENT OF THE PHILIPPINES SHALL APPOINT THE EXECUTIVE
4 
DIRECTOR AND THE DEPUTY EXECUTIVE DIRECTORS FROM A LIST OF AT
5 
LEAST FIVE (5) NOMINEES SUBMITTED BY THE PSDP. THE EXECUTIVE
6 
DIRECTOR AND THE DEPUTY EXECUTIVE DIRECTORS SHALL SERVE FOR A
7 
TERM OF THREE (3) YEARS, WITH REAPPOINTMENT FOR ANOTHER TERM.
8 
IN CASE OF DEATH, RESIGNATION, OR REMOVAL FOR CAUSE, THEIR
9 
REPLACEMENTS SHALL SERVE ONLY THE UNEXPIRED PORTION OF THEIR
10 
RESPECTIVE TERMS.
11 
WITHIN ONE HUNDRED TWENTY (120) DAYS AFTER THE EFFECTIVITY OF
12 
THIS ACT, THE PSDP SHALL DETERMINE THE ORGANIZATIONAL
13 
STRUCTURE, STAFFING PATTERN, AND COMPENSATION SYSTEM OF THE
14 
SECRETARIAT, INCLUDING THE DUTIES, QUALIFICATIONS,
15 
RESPONSIBILITIES, AND FUNCTIONS OF ITS OFFICERS AND STAFF
16 
MEMBERS, AND SUBMIT THE SAME TO THE DBM FOR APPROVAL. THE
17 
OFFICERS AND EMPLOYEES OF THE SECRETARIAT SHALL BE APPOINTED IN
18 
ACCORDANCE WITH CIVIL SERVICE LAWS, RULES, AND REGULATIONS."
19 
Sec. 11. Implementing Rules and Regulations. - Within ninety (90) days from
20 
the effectivity of this Act, the DOST and other Host Agencies shall promulgate the
21 
necessary rules and regulations for the effective implementation of this Act.
22 
Sec. 12, Appropriations. -The amount necessary for the initial implementation
23 
of this Act, including the operational expenses, personnel services, and program
24 
support of the Philippine Startup Development Program (PSDP) Secretariat, shall be
25 
charged against the current appropriations of the Department of Science and
26 
Technology (DOST). Thereafter, such sums as may be necessary for the continued
27 
implementation of this Act shall be included in the annual General Appropriations Act
28 
under the budget of the DOST.


1 
Sec. 13. Separability Clause. - If any provision of this Act is declared
2 
unconstitutional or invalid, the other provisions not affected thereby shall remain in
3 
full force and effect.
4 
Sec. 14. Repealing Clause. - All laws, decrees, executive orders, rules and
5 
regulations, and other issuances inconsistent with this Act are hereby repealed or
6 
modified accordingly.
7 
Sec. 15. Effectivity. - This Act shall take effect fifteen (15) days after its
8 
publication in the Official Gazette or in a newspaper of general circulation.
Approved,