The Philippine Cities and Municipalities Competitiveness Index (CMCI) as a Tool for Approaching Net-zero Targets

Abstract

The Cities and Municipalities Competitiveness Index (CMCI), developed in 2013 by the Philippines’ National Competitiveness Council and the Department of Trade and Industry with support from USAID, measures the competitiveness of local government units (LGUs) based on key economic indicators. Initially composed of three pillars—economic dynamism, government efficiency and infrastructure—it later expanded to include resiliency in 2014, following Typhoon Haiyan, and innovation in 2019 to address climate preparedness and Industry 4.0 readiness. This study examines the 2024 CMCI scores of selected Philippine localities, specifically cities categorized as highly urbanized cities (HUCs). Using correlation matrix and multiple regression models, we analyze the relationship between resiliency pillar and the other pillars of competitiveness. The findings reveal a significant correlation between resiliency and other components of competitiveness, highlighting how disaster preparedness and adaptive capacity contribute to sustained economic performance. Furthermore, the analysis suggests that CMCI indicators can guide LGUs in integrating resilience and innovation into local development planning. This article argues that CMCI has the potential to serve as a governance tool for coordinated climate action and could support Philippine cities in formulating practical, data-drive pathways towards net-zero transitions.

Keywords

Local competitiveness resilience Cities and Municipalities Competitiveness Index (CMCI)climate governance net-zero transition

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