The meeting focused on improving access to finance, with new definition, extended scope proposed for SMEs
15. National Coordination Committee meeting on SME development. PHOTO: SCREENGRAB
ISLAMABAD:
Pakistan’s banking sector has provided Rs882.4 billion in financing to 302,922 borrowers under the Small and Medium Enterprises (SME) financing initiative.
According to a press release, the development was discussed at the 15th meeting of the National Coordination Committee on SME Development held on Tuesday. The meeting was chaired by Haroon Akhtar Khan, Special Assistant to the Prime Minister. The gathering was attended by Saif Anjum, Secretary, Ministry of Industries and Production; Executive Director of the Small and Medium Enterprises Development Authority (SMEDA); representatives of the provincial ministry and key people from the banking sector.
Under new guidelines, micro enterprises will have a turnover limit of up to Rs30 million, small enterprises will range from Rs30 million to Rs400 million and medium enterprises will range from Rs400 million to Rs2 billion.
Haroon emphasized that a review of the definition and scope of SMEs is essential for the growth of the economy. He stated: “The federal and provincial governments are fully on board with this new definition and will adopt it in a coordinated manner.”
“The government is taking all possible measures to support SME development,” he added.
Haroon assured that all banks are ready to cooperate in providing loans to SMEs across the country, from Gilgit-Baltistan (GB) and Azad Jammu and Kashmir (AJK) to Balochistan. “This is a key priority for us,” he said, stressing that the government is committed to supporting businesses at all levels.
The meeting also addressed the importance of tax breaks and easy access to loans in the country’s industrial policy. In addition, skill development initiatives such as Skill Development Bonds and Artificial Intelligence (AI) training programs were highlighted as important steps to empower SMEs in Pakistan.
The meeting ended with a call to SMEDA and the provincial authorities to continue to follow up on progress and ensure effective implementation of the policy measures discussed.
