Key Takeaways
- Prime Minister Shehbaz Sharif has ordered doubling of SME financing to Rs 2.2 trillion by 2028.
- SMEDA to develop a strategy to raise awareness about business loans and encourage entrepreneurship.
- Reforms aim to empower local communities and promote balanced economic growth.
Prime Minister Shehbaz Sharif has directed the government to double the financing for small and medium-sized enterprises (SMEs) to Rs 2.2 trillion by 2028, up from the current Rs 1.1 trillion, to support business growth across Pakistan.
At a meeting on reforms at the Small and Medium Enterprises Development Authority (SMEDA) on Monday, the prime minister highlighted the significant potential of small businesses in driving economic growth.
He emphasized the need to improve entrepreneurs' access to financing and business opportunities, directing SMEDA to develop a strategy to raise awareness about business loans and explain application procedures.
The prime minister also ordered the preparation of feasibility studies by relevant experts for setting up businesses in different sectors, ensuring these studies are available in local languages to help aspiring entrepreneurs.
To support local communities, the prime minister said empowering them and helping them establish businesses could reduce migration to major cities and promote balanced economic growth.
Officials briefed the meeting on reforms to transform SMEDA into a central platform for training aspiring entrepreneurs and helping them access bank financing.
Offices are being established across the country to expand the authority’s outreach to small businesses, with an artificial intelligence-powered helpline being developed to provide information and guidance in local languages.
The meeting also discussed a memorandum of understanding between global e-commerce company Alibaba and SMEDA, under which 10,000 SMEs would receive training over two years.
The reforms aim to make the SME digital portal more efficient and user-friendly, ensuring better access to information and resources for small businesses.
