SME PAKISTAN FORUM TO MEET ON 21st NOVEMBER AT SBP

The Union of Small and Medium Enterprises (UNISAME) is looking forward to the first meeting of the SME Pakistan Forum (SMEPF) at the State Bank of Pakistan (SBP) on 21st November 2019 to be chaired by Syed Samar Hasnain Executive Director of SBP and to be attended by directors of SBP and other senior government officers from SMEDA, SECP. SEDF and provincial officers of Small Industries Corporations.

The aim and object of the SMEPF is for uplift of the sector on fast track and to co-ordinate for best integrated efforts between the SBP, the Small and Medium Enterprises Development Authority (SMEDA), Security and Exchange Commission of Pakistan (SECP) , Provincial Small Industries Corporations, Sindh Enterprise Development Fund (SEDF) and UNISAME.

In order to promote, facilitate, motivate and upgrade the SME sector UNISAME as member of SBP Technical Committee under National Financial Inclusion Strategy (NFIS) has from time to time suggested to the government to take concrete measures to educate the SMEs about the new technologies in production, management, marketing, accounting & inventory control and encourage the SMEs to modernize and make plans for balancing and replacement of their units and arrange transfer of technology.
Zulfikar Thaver president UNISAME and member SMEPF has emphasized to the government to facilitate the SMEs through modern banking, leasing and insurance as these are the pillars for growth.

Thaver said the SECP, SEDF, SMEDA and the provincial Small Industries Corporations are all dedicated institutions and working hard for the promotion and development of the SMEs together with the commercial banks and financial institutions but they all need to co-ordinate with one another for integrated efforts and the SMEPF will offer best co-ordination ground for synergy.

UNISAME experts said the SMEs in order to progress fast need law and order and protection and need to feel safe and have urged for a liaison committee on the pattern of the Citizens Police Liaison Committee (CPLC) to work as SME-LC to cater to the needs of the SME units in industrial areas.
The infrastructure definitely needs to be improved and UNISAME has urged the authorities in specific areas to carry out immediate repairs and renovation especially in S.I.T.E, Korangi, Hawksbay and other industrial areas.
The SME sector is dependent on logistics which encompasses transportation, warehousing and collateral management. The sector is thankful to SBP and SECP for the promotion of concept of Collateral Management Companies and Warehouse Receipt Financing facilities.

The need for alternate energy is being felt strongly due to load shedding of gas and electricity both and the sector is thankful for concessional financing under SBP schemes. however the issue of banks financing only against selective collateral remains and this needs the attention of the SBP.
There is an urgent need of industrial estates in all the provinces and UNISAME has urged the government to allow Special Economic Zones facilities in private sector and also finance ‘Pay as you earn ‘ schemes for the SMEs.
The government should adopt a policy of fair taxation and also give tax benefit and tax holiday to innovative industries and new units. Friendly policies are required.
The SMEs need their own chamber of commerce and also their own value addition/ export promotion bureau. It is believed that the forthcoming SME policy has provided for an SME ombudsman and hope the policy makers will not disappoint the sector.
Last but not the least the government should strengthen and equip SMEDA and broaden its scope to enable it to reach the SMEs involved in manufacturing, trading and services.The sector is hopeful that a full time CEO of SMEDA will be appointed very soon and the board of directors will be formed and above all a very comprehensive SME policy 2019 will be announced before the end of 2019.

Posted in: Press Releases