Small Medium Enterprises are considered to be the engine of economic growth in both developed and developing countries. In Pakistan SMEs are facing a lot of problems, and these are still unable to achieve their maximum potential.
Government should encourage the establishment of business incubator centers and technology parks to spur the growth of SMEs and to promote sustainable economic development in the country. This was stated by Islamabad Chamber of Commerce and Industry (ICCI) President Yassar Sakhi Butt in a statement.
He said that promotion of SMEs is crucial for Pakistan, as they create new jobs, accelerate rural industrialisation, contribute significantly to export revenues and strengthen the economy.
The establishment of business incubator centers would accelerate the growth of SMEs through an array of business support resources and services including physical space, capital, coaching, common services, and networking connections while the setting up of technology parks would promote the culture of innovation and competitiveness of businesses and knowledge-based institutions in Pakistan, he added. ICCI President said that developed countries have obtained excellence in economic growth by setting up these business incubators and technology parks to market their indigenous technologies by capturing world market. Pakistan should also take some steps establishing these facilities to emerge as a thriving economy.
He said that many African countries have also embarked on projects for the establishment of business incubators and technology parks to promote businesses while emerging economies including Brazil, South Korea, Malaysia, Turkey, Singapore and India have also achieved their economic goals by adopting this technique. Butt urged the Government to develop a comprehensive Business Model for this purpose and the main objective of this model should be the development of a sustainable network of incubation-related facilities that would spur the competitiveness and productivity of small and medium enterprises.