'SMEs promotion imperative for economic stability'

25 Aug, 2004

Promotion of Small and Medium Enterprises (SMEs) is imperative for economic stability of the country which would help in eradication of poverty, illiteracy and unemployment.
'Government should bring the mark up of industrial loans to lowest as 3 percent and reduce the prices of the utility items including electricity, Natural Gas, and POL products', said Haji Fazalur Rehman, Vice President Rawalpindi Chamber of Commerce and Industry (RCCI) here on Tuesday.
In an interview with Business Recorder, Fazalur Rehman stressed the need of prompt measures on the part of the government to restore the confidence of the investors on Pakistan by taking investor friendly measures. 'SMEs also play an effective role in brining foreign as well as domestic investors towards Pakistan, besides helping in eradication of unemployment and raising the living standard of masses', he added.
He said that it was playing as bridge between business community and government in order to help resolve issues and enhance the trade and economic activities.
It was basically a service provider and imparts know how to the business entrepreneurs about various issues they conflict.
World, he said is rapidly changing particularly the economic scenario and priorities of the nations have shown different trends. When World Trade Organisation (WTO) would emerge in 2005, only nations with strong economic structure would survive and dominate the scene.
'Keeping in view such realities we must gear up our efforts to make our economy strong, increase the export volume and reduce the energy and production cost of the products in order to make them presentable and competitive in world market', he said.
He said that the Small and Medium size enterprises (SMEs) are being considered as the principal driving force in the economic development of a country. This stimulates private ownership and industrial skills, generate employment and help diversify economic activity thus augmenting exports and domestic trade.
Fazalur Rehman called upon the finance policy planners of the country to take stock of the situation and make positive efforts for establishment of the SMEs.

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