Small and Medium Enterprises (SMEs) should capitalise on various funds provided in Budget 2018 to expand their business, urged Prime Minister Datuk Seri Mohd Najib Razak.
Small and medium enterprises (SME) have received considerable attention from the government which has set aside RM20 billion under the 2018 Budget for the development purposes of the industry,
Speaking at the townhall session in conjunction with the opening ceremony of SME Annual Showcase and Conference (SMIDEX) 2017, the Prime Minister said that the budget for SMEs must be used for expansion, startups, export and automation in relation to the Fourth Industrial Revolution.
He added SMEs productivity must increase in tandem with other developments.
“The SMEs must increase productivity to achieve the target of 41 per cent contribution to the gross domestic product by 2020,’ he noted, adding that the target was achievable but the sector must make a transformation to push the limits of its capabilities.
“Although the sectorial growth of SMEs is impressive, we need to grow at a rate of 8 per cent higher to achieve that target of 41 per cent.
“If we are able to do so, SMEs will continue being the driving force for the economy,” Najib said during a town hall session at the event.
SME Corp chief executive officer Datuk Dr Hafsah Hashim, who hosted the session, said the GDP contribution of SMEs currently stood at 36.9 per cent.
Najib also said he aimed for 10,000 SMEs to be involved in the Digital Free Trade Zone (DFTZ) in the future.
“We must be part and parcel of the global supply chain. To do this, we have to raise the bar and keep it high.”
The townhall session provides SMEs with an opportunity to better understand the current situation on the Malaysian economy, Budget 2018 allocation for SMEs and increase awareness on the government's effort to prepare SMEs as the nation moves towards Industrial Revolution 4.0 and Digital Free Trade Zone (DFTZ)
The SME Annual Showcase or better known as SMIDEX, organised by SME Corp. Malaysia, was held from 15-17 November 2017 at the Malaysia International Trade & Exhibition Centre (MITEC). The SME Annual Showcase will also feature the SME Conference 2017 and Enterprise 50 (E50) Award Dinner.
This is a special year for SMIDEX as it marks the 20th year celebration of SMIDEX since it was first introduced way back in 1997.
