ISLAMABAD: The Economic Coordination Committee (ECC) has directed the Ministry of Industries and Production to submit the Small & Medium Enterprises (SMEs) Policy 2021-25 policy to the federal cabinet after developing a consensus of stakeholders.
Federal Minister for Economic Affairs Omar Ayub Khan chaired the meeting in Islamabad.
The meeting was informed that eight meetings of the National Coordination Committee on SMEs were held wherein broad policy goals were translated into specific action plans.
The SME policy document focuses on SME definition and application, macro policy and regulatory environment, SMEs access to finance, institutional strengthening of SMEDA, infrastructure, entrepreneurship, business development, women entrepreneurship and creation of e-inspection.
The ministry further reported that a committee under the chair of Adviser to the PM on Finance & Revenue Shaukat Tarin, constituted by the ECC on November 15 to review the SMEs policy, has done its due job and necessary amendments have been incorporated in the draft document.
The ECC directed the ministry to discuss the observations raised by relevant stakeholders under the chairmanship of Shaukat Tarin.
“The proposal would be presented to the Cabinet after developing a consensus between stakeholders,” it emphasised.
There are over 5.2 million SMEs in the country, according to estimates from the census of economic establishments of 1988 and 2005. The SME sector comprises many small businesses that are widely distributed and hence cover marginalised areas more than large firms.
Furthermore, the ECC deferred a summary tabled by the Ministry of I&P on Auto Industry Development and Export Policy (AIDEP) 2021-26 and directed it to present it in the next meeting after a revision.
It is pertinent to note that the Ministry of I&P has been working on a new AIDEP policy as the last one expired in June.
The Power Division presented a summary on the mechanism for granting concessionary tariff to the eligible consumers of zero-rated industrial consumers of Lasbela Industrial Estate (LIEDA) and Sundar Industrial Estate (SIE) and for prospective industrial estates.
The committee directed for installation of double meters for verification of reading by K. Electric and LESCO, adding that subsidy claims may be processed on the basis of difference of readings.
The Petroleum Division presented a summary for allocation of gas under commercial production from United Energy Pakistan’s fields to SSGCL. The company will provide gas from Mitha and Bitro fields to SSGCL. The price of gas will be as per the applicable petroleum policy to be decided by concerned regulators.
The ECC also approved the summaries of technical supplementary grants (TSGs) tabled by the Ministry of Defence and Ministry of Interior with regard to allocation of Rs330 million for aircraft as well as Rs84 million for purchasing spare parts for helicopter maintenance.
