ISLAMABAD: With a sense of urgency, Prime Minister Shehbaz Sharif on Friday expressed his dissatisfaction with the delay and directed the authorities concerned to immediately constitute a board for the Small and Medium Enterprises Authority (Smeda) to enhance its working.

Chairing a meeting on Smeda, the premier directed that the boards of all such institutions should be formed immediately, which is significant for the country’s economy.

Highlighting the vital contribution of small and medium enterprises to the economy, Mr Shehbaz emphasised that these businesses serve as the foundation of the country’s economic strength.

Expressing dismay over the non-functioning of the Smeda board, the prime minister also ordered the necessary steps to ensure the appointment of its CEO. He also ordered including people from the private sector in Smeda’s steering committee.

The prime minister said he will preside over the steering committee. He also directed the promotion of sub-contracting in industries and underlined the need to take steps to make these industries part of the global supply chain.

The meeting was told that a development fund of Rs30 billion had been set up for Smeda for six years. It was further informed that Rs491 billion had been provided in bank credit to the SME sector, which needed to be raised to Rs800bn.

It was further informed that there are currently 5.2 million small and medium enterprises in Pakistan, which contribute 40pc of the country’s GDP while 31pc of exports also depend on SMEs.

The meeting was attended by Deputy Prime Minister and Foreign Minister Ishaq Dar, Minister for Economic Affairs Ahad Khan Cheema, Minister for Industries and Production Rana Tanveer Hussain, PM’s coordinator Rana Ihsaan Afzal and other relevant officials.

Published in Dawn, August 24th, 2024