To solve the current issues faced by small and medium enterprises (SMEs) in the Kingdom, the Ministry of Economy and Finance (MEF) has issued two main measures.
Secretary of State at the MEF and Secretary-General of the Committee on Economic and Financial Policy Phan Phalla said that the challenges faced by the SME sector are structural issues and the eco-system.
Phalla added that the current issues are that compliance with laws and regulations have yet connected between the ministry and the relevant institutions and there is a limitation of providing support to business. There is a low ability of SMEs to manage production, business, finance and techniques. Also access to finance remains a big challenge.
Minister of Economy and Finance Aun Pornmoniroth agreed in principle on measures to boost SMEs. The first measure focuses on compliance for SMEs regarding checking the possibility to provide support including business consultants, lawyers, legal consultants, business registration, accounting, marketing and technical aspects.
It pushes for the support and provision of financing to SMEs through the SME Bank of Cambodia and the Agriculture Rural Development Bank.
Pornmonirath added that the second measure will support the eco-system of SMEs such as continuing to reform the regulation framework and its implementation, promoting supported business services, supporting funding, promoting the market, driving and bolstering human resources and research and development and promoting the concept of entrepreneurship skills.
“To support the SMEs and to solve their problems, it requires facilitation and solutions from relevant stakeholders and the participation of relevant ministries and institutions to enable SMEs to be fully able to contribute to national economic growth,” he added.
He said to ensure efficient implementation, Cambodia has to study the defininition, scope and turnover of SMEs, the possibility of supporting funding and the connected regulation framework.
- Tags: SMEs