MINISTRY OF PLANNING, DEVELOPMENT & REFORM TO REVISIT SME POLICY AT SME GROWTH CONFERENCE ON 29th APRIL

The Ministry of Planning Development and Reform (PD&R) has scheduled a ” Round-Table Conference on SME Growth.”on 29th April, 2014 at Ministry of Planning, Development and Reform to be chaired by Prof. Ahsan Iqbal federal minister PD&R with participation of stakeholders.
President Union of Small and Medium Enterprises (UNISAME) Zulfikar Thaver also member of the National Committee on SMEs (NCSMEs) said we are looking forward to participate in the conference and thanked Kaleem Ahmad the Young Development Fellow (YDF) at the PD&R for inviting and sharing with UNISAME the executive Summary of the event.
Thaver appreciated the sincere and dedicated efforts of the ministry of PD&R to provide a policy for SME growth and seeking inputs from experts.
He said we will pinpoint the requirements of the sector and stress the needs for conducive environment, planning for motivation, encouragement and facilities for SMEs.
He emphasized the urgent need for finance at affordable mark up on pay as you earn schemes for purchase of land, shops, offices, workshops and factories. Purchase of raw material under bridge financing and post shipment finance for fast turnover. There is urgent need for collateral management system including warehouse receipt financing for rapid development of SMEs.
He pointed out that banking, leasing, insurance and logistics are the 4 pillars of SME growth and the government must aim at facilitating efficiently the sector on modern lines and do away with orthodox systems. If proper tools are applied in facilitating the sector by means of financing, reducing risks and risk management combined with indemnifying the banks for financing the sector and then facilitating logistics with speed and risk covered movements of goods both inland and overseas will promote the entrepreneurs to grow rapidly.
The SMEs need marketing support, information and incentives for import of modern technology and the ministry of PD&R needs to recommend this aspect in the SME growth policy to be formulated by them. The government must make especial endeavours for modernization of existing units and reviving the sick units with the help of the Small and Medium Enterprises Development Authority (SMEDA). The prime ministers youth loan scheme must be made available to all deserving applicants on merit and the youth should not be left to rely on ballot luck. After all it is the responsibility of the state to facilitate the youth to set up their own business for self employment.
The UNISAME chief reiterated the need for strengthening SMEDA with more funds and for hiring personnel on higher salaries according to private corporate bodies and the establishment of promised institutions like SME chamber of commerce, SME specific bank, SME insurance guarantee company, an institute of technology, office of SME ombudsman, SME export house for the benefit of the sector He urged the minister PD&R to convey to the finance ministry the need for Exim Bank which has been delayed and needs to be established urgently.
Thaver said Ahsan Iqbal is an excellent planner with deep thought and vision and the sector is glad that the minister is taking personal interest in the sector and revisiting the SME policy with the inputs from SME experts and hope it will go a long way in promoting the sector with a strong and implementable strategy.

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