ISLAMABAD: A committee constituted by Prime Minister Shehbaz Sharif will submit a comprehensive plan within four weeks to reorganise the Small and Medium Enterprises Development Authority (Smeda), expand business support, and improve access to finance for micro, small and medium enterprises (MSMEs) nationwide.

The committee, chaired by Adviser to the Prime Minister on Industries and Production Haroon Akhtar Khan, observed on Tuesday that SMEs needed easy access to finance, business advisory services and institutional support.

Mr Khan said that reorganising Smeda aimed to extend its services to every small rural community and to enable aspiring entrepreneurs to benefit from government support.

Committee to submit reorganisation plan within four weeks

The prime minister formed the committee after Smeda had remained dormant for years, recognising the importance of promoting small businesses.

The meeting was informed that SMEs accounted for about 99pc of business enterprises in Pakistan and contributed around 78pc of employment.

A presentation by Smeda showed that about 61pc of SMEs — around 4.33 million units — were in Punjab, followed by 1.33m in Sindh. Of the total, 3.20m units were in retail and wholesale, while only 0.69m were in manufacturing.

The meeting examined regulatory models for SME promotion in India, South Korea, Malaysia, Indonesia, the US and Canada.

It observed that common features of successful SME models included strong central institutional coordination, digital registration and scalable service delivery, handholding and enterprise-preparation support, and partnerships with the financial system.

The meeting noted that strengthening SMEs was essential to generating employment, promoting entrepreneurship, expanding economic opportunities and supporting inclusive growth.

Mr Khan stressed that data and research were essential to chart the future course of action, adding that the reorganisation should focus on improving Smeda’s performance, expanding its outreach, and enhancing the quality and accessibility of its services.

He said Smeda should become more effective at addressing the practical challenges entrepreneurs face and helping businesses grow.

The meeting was attended by Minister of State for Finance and Railways Bilal Azhar Kayani, Prime Minister’s Coordinator for Commerce and Industries Rana Ihsan Afzal, Coordinator for SMEs Rana Attique Anwar, secretaries of industries and commerce, members of the Smeda board, and Smeda CEO Nadia J. Seth.

Published in Dawn, October 28th, 2026