Industries Minister Dilip Barua, speaks at the inaugural ceremony of 3rd D-8 industries ministers conference at a hotel in Dhaka Monday.

Industries Minister Dilip Barua Monday said the country’s GDP growth can reach the double-digit mark through providing required financial support and modern technological input in the SME sector.

Saying that the country’s banking sector aims to promote the large enterprises neglecting the small ones, Barua emphasised the need for changing the mindset of the financial institutes considering the endless potentials and viability of the small and medium enterprises.

He was addressing a seminar styled “SMEs-Catalyst of D-8 Economic development: Bangladesh Perspective and scope of cooperation” organised by Dhaka Chamber of Commerce and Industry (DCCI), Business Initiative Leading Development (BUILD) and Trust Bank at the Ruposhi Bangla hotel in city.

Barua said the D-8 (Developing 8) is a forum for creating opportunity in technology transfer and investment among the D-8 member countries.

Bangladesh is a SME-based country, SME is the backbone of its economy and industry, the minister added.

DCCI President Asif Ibrahim presided over the seminar while Professor Widi Agoes Pratikto, secretary general of D-8 Secretariat, Shah Alam Sarwar, managing director and CEO of Trust Bank Ltd were present as special guests.

Dr. Toufic Ahmad Choudhury, Director General, Bangladesh Institute of Bank Management (BIBM), Mrs Ferdaus Ara Begum, CEO, BUILD and T.I.M. Rawshan Zadeed, Head of SME, Trust Bank Ltd, presented keynote papers at the seminar.

While delivering his speech, the DCCI President said Small and Medium Enterprises are the lifeline of Bangladesh’s economy that has been contributing about 25 percent of GDP to the value addition in manufacturing sector.

He said SMEs are the largest employers and the largest contributors to GDP that contribute to over 55 percent of GDP and over 65 percent of total employment in higher income countries.

SMEs and informal enterprises, account for over 60 percent of GDP and over 70 percent of total employment in lower income countries, while they contribute about 70 percent of GDP and 95 percent of total employment in middle-income countries, he added.

Asif mentioned that SMEs are the major growing force behind the fastest growing economy of China, in terms of contribution to the national GDP (accounting for 40 percent), scale of assets, diversification of products, and the creation of employment.

Similarly, the role of SMEs is well acknowledged in other countries such as Japan, Korea, and all other industrialised economies in terms of creating employment, reducing poverty and increasing the welfare of the society. 98 percent of all businesses in Australia are SMEs and they provide private sector jobs for nearly 4.8 million Australians, he added.

News: The Daily Sun/Bangladesh/9th-Oct-12