SMEs help grow economy: Maru

SMALL-to-medium enterprises are a major contributor to economic growth, National Planning and Monitoring Minister Richard Maru says
That is why, he said in Lae on Friday, the Government was taking a positive approach towards SMEs.
“However, in PNG, only 10 per cent of the gross domestic product (GDP) comes from this sector unlike other countries which have almost half of their GDP coming from this sector” he said.
“In the SME policy, the Government is at the moment very focused on local content. That is why it has placed K100 million in the National Development Bank annually for people in the SME sector to access to start up small businesses.
“The best way to develop SMEs is through roads.
“Government is very focused on that and is opening up road links in many parts of the country to enable access to markets, and effective delivery of goods and services.
“Opening up roads will also decrease the costs of doing business and is one of the best ways to grow SMEs in rural areas.”
According to Maru, the challenge was to provide enabling infrastructure to allow people to grow their businesses.
He said Government was also looking at assessing and limiting the number of foreigners coming into the country to do businesses.