Under SME policy, ‘Aasan Finance Scheme’ being introduced to ensure access of capital to industries: Khusro Bakhtiar
ISLAMABAD, Dec 15 (SABAH): The government has approved a comprehensive Small and Medium Enterprises (SME) policy to strengthen the country’s industrial and manufacturing base.
Flanked by Minister for Information and Broadcasting Chaudhary Fawad Hussain, Minister for Industries and Production Makhdoom Khusro Bakhtiar shared details of the policy at a news conference in Islamabad on Wednesday.
The Minister for Industries and Production said the policy is aimed at extending facilitation and incentives to promote the growth of small and medium enterprises. He said that one million products are being manufactured in Pakistan, adding that 3500 to 4000 large scale manufacturing unites are working in the country. He said that one million small and medium enterprises are working in the country. He said that while coming out from the agriculture sector, SME sector provides 78 percent employment.
Under the policy, the requirement of NOC for the establishment or expansion of certain industries has been done away with.
Makhdoom Khusro Bakhtiar said that under the SME policy, ‘Aasan Finance Scheme’ is being introduced to ensure access of capital to the industries. He said loan up to 10 million rupees will be provided without any collateral for the establishment of 30 thousand new businesses. He said a land of 4200 acre has been allocated which will be provided to the entrepreneurs on easy installments.
Under the SME policy, productive businesses will be given fifty seven to eighty three percent special exemptions in taxes. He said special exemption in taxes will be given to women entrepreneurs in order to ensure their greater participation in businesses.
The Minister for Industries and Production said that an amount of 30 billion rupees has been allocated for Small and Medium Enterprises Authority for a period of five years. He said a proper mechanism has also been established for implementation of the SME policy.
He said that all the institutions have agreed on the definition of SMEs, adding that till the target of Rs800 million will be included in SMEs and it will be continuously reviewed after surfacing the new challenges.
In his remarks, the Information Minister said it is important to strengthen the country’s industrial base to steer it out of economic woes. He said the SME policy has been prepared in consultations with the stakeholders. Fawad Chaudhry said that our previous governments thought that our population is equal to the population of Singapore or Dubai which could rely upon imports, adding this could not be done. He said that Pakistan needs very strong manufacturing base and a very strong industrial base.
He said that Pakistan’s population is 220 million and it is 5th largest country of the world. He said that if we could not provide a strong industrial base to the country then we will never be able to come out from out economic problems. He said that ministry of industries and production, minister of finance and ministry of commerce have worked hard in forming this policy.