Islamabad, July 10, 2019 (PPI-OT): Ahmed Hassan Moughal, President, Islamabad Chamber of Commerce and Industry said that SMEs played key role in the economic development of any country, but these businesses in Pakistan were facing multiple problems due to lack of supportive policies. He stressed that government should take measures for early finalization of SME Policy 2019 to create conducive environment for better growth of SMEs.
Ahmed Hassan Moughal said that SMEs were the backbone of our economy as they constituted over 90 percent of all enterprises in Pakistan, contributed 40 percent to GDP growth, employed 80 percent of non-agricultural labour force and were a major source of exports. However, it was unfortunate that these businesses were not getting due attention of the government despite the fact that SME sector was an important pillar of the economy and needed priority focus for development and growth.
ICCI President said that SMEDA has been working for the last many months on SME Policy 2019, but still the policy could not be finalized. He urged that government in consultation with all stakeholders should immediately finalize and announce new SME policy as the last SME policy developed in 2007 could not contribute effectively in promoting SMEs in the country.
He said that lack of easy access to finance was the major hurdle for SMEs due to which share of SMEs in total private sector credit was just around 6-8 percent. He emphasized that new SME policy should ensure easy access to credit for SMEs so that these businesses could grow up to their real potential and play effective role in the economic development of the country.
Raffat Farid Senior Vice President and Iftikhar Anwar Sethi Vice President, Islamabad Chamber of Commerce and Industry said that the economy of Pakistan was passing through a critical phase as the exports were not growing up to potential and trade deficit was rising. They said that if provided with an enabling environment, SMEs could drive Pakistan out of current economic challenges and put it on the path of sustainable growth.
They said that SMEs led growth would bring multiple benefits to the economy as it would attract new investment, create more jobs, reduce poverty, improve tax revenue, promote exports and enhance forex reserves of the country. Therefore, they stressed upon the government to announce new SME Policy on priority basis to pave way for better growth of this important sector.
For more information, contact:
Islamabad Chamber of Commerce and Industry (ICCI)
Chamber House, Aiwan-e-Sanat-o-Tijarat Road,
Mauve Area, G-8/1, Islamabad, Pakistan
Tel: +92-51-2250526, 2253145, 8432676
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Category: General Business News