Cost of imported goods increased, affecting SMEs, says chamber

THE East Sepik chamber of commerce and industry claims that the cost of imported goods has increased and is affecting the ability of small-medium enterprises (SMEs) to build capital and access the K200 million government funding.
Secretary Serah Akut told The National that the Covid-19 had affected most businesses in the province and that the Government assistance had not reach its target.
“Inflation from imports has affected businesses and SMEs cannot accumulate enough capital equity to access the Government SME finance from BSP and other financial institutions,” Akut said.
“Government assistance is not reaching the very people that the programmes were intended for and with the current economic struggles.
“2021 will be another struggle for business houses.
“Since the lockdown due to the Covid-19 pandemic, most businesses in East Sepik had either temporarily closed doors or have closed down completed.
“About 30 to 40 people have lost their jobs, maybe more and income has affected families.
“Most of these businesses are SMEs run by locals who cannot compete with big organisations.”
Akut said in terms of the outlook: “With the social distancing and the new normal, a lot of business are slowly getting into the Covid-19 routine.
“Banks and other Government offices are putting up ‘no-mask no entry signs’.
“Businesses are looking forward for the government stimulus packages that can help the economy at this time of recession.”