Small units to get access to export finance

ISLAMABAD:

Minister of State for Finance Bilal Azhar Kayani has underlined the need for taking measures to help small and medium-scale enterprises (SMEs) enhance exports of goods and get improved access to export finance.

He chaired a meeting at the Finance Division that deliberated on the key challenges faced by exporting SMEs, explored practical and actionable solutions and sought feedback from exporters on the SME support measures recently announced by the government.

The state minister highlighted the government's commitment to patronising the exporting SMEs by widening access to finance and foreign markets, helping produce new products, reducing the cost of doing business and promoting ease of doing business.

Regarding Export Finance Scheme (EFS) utilisation by the SMEs, he emphasised the need for participating banks to designate focal persons, clearly communicate eligibility criteria and set timelines for processing applications. He called for improving EFS effectiveness, assessing the feasibility of expanding export credit insurance and establishing risk-sharing mechanisms for smaller exporters.

The exporting SMEs from diverse sectors highlighted different challenges such as regulatory and taxation matters, compliance costs and certification requirements including emerging requirements for green certification, and access to international markets.