Development programmes aimed at raising income levels of the half-million Philippine traditional municipal fishermen have emphasized production-oriented projects designed to up-grade vessels and gear. Review of recent biological, technical, and socio-economic research provides evidence that technology-based efforts have generally not been successful, and that the coastal resources fished by municipal fishermen are not as extensive as previously supposed. This paper argues the case for municipal fisheries development and management programmes that encourage reductions rather than increases in fishing intensity. Reductions in fishing effort can be achieved through either disincentives or incentives. Examples of disincentives include restrictions on certain types of vessels or gear, closed seasons, or other forms of limited entry. Incentives, on the other hand, include development of alternative income sources sufficiently attractive to induce fishermen away from fishing.