ISLAMABAD – The federal government has approved a comprehensive Small and Medium Enterprises (SME) policy to promote industrialization in the country facing current account deficit due to high import bills.
Minister for Industries and Production Khusro Bakhtiar revealed it during a press conference on Wednesday. He said that the new policy will extend facilitation and incentives to promote the growth of small and medium enterprises.
Under the policy, the requirement of NOC for the establishment or expansion of certain industries has been abolished.
Under the SME policy, ‘Aasan Finance Scheme’ is being launched to ensure access of capital to the industries, he said.
The minister said that loan up to Rs10 million will be provided without any collateral for the establishment of thirty thousand new businesses, adding that the entrepreneurs will also be give land on installments to set up their business.
Under the SME policy, productive businesses will be given 57 to 83 percent special exemptions in taxes, Radio Pakistan reported.
The government has announced to extend special tax exemption to women entrepreneurs in order to ensure their greater participation in businesses.
Bakhtiar said that an amount of Rs30 billion 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 the implementation of the SME policy.
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