The government will use the NMG symposium to formulate trade policy

The Ministry of Trade, Industry and Cooperatives has said it will use the feedback from the micro, small and medium enterprises (MSME) symposium organized by Nation Media Group Uganda (NMG-U) to formulate a national policy on the management of such enterprises.

Opening the symposium at the Africana Hotel in Kampala yesterday, David Bahati, Minister of State for Trade, Industry and Cooperatives, said the dialogue between SMEs and government ministries, departments and agencies had generated views that would be the basis for policy formulation at the national level.

“I am grateful for the invitation, it is an important dialogue. These views will form the basis for policy formulation at the national level – and we do not hide that,” he said.

“Small businesses face several barriers. These include the informality of medium-sized businesses; people are afraid to formalize businesses because of taxes. We have capital; small and medium-sized businesses are not growing due to lack of working capital,” he added.

Bahati explained that lack of innovation and a static mindset hinder the development of small businesses.

He added that thanks to such dialogues, entrepreneurs gain access to sources of cheaper capital, e.g. those made available by the government under the Development Bank of Uganda, as well as to sales markets for their products.

Ms Susan Nsibirwa, Managing Director of NMG-U, said the symposium aimed to highlight the challenges that hinder small and medium-sized enterprises from achieving their full potential.

“SMEs and SMEs are the backbone of the Ugandan economy, contributing to development, employment and growth. However, they face many challenges that prevent them from reaching their full potential,” Ms Nsibirwa said.

“Today’s symposium aims to address challenges, explore opportunities and develop policy recommendations to accelerate small and medium-sized enterprises,” she added.

Ms Nsibirwa added that the discussion topics showcased the benefits small businesses derive from tax and regulatory compliance, strategies to overcome economic shocks and opportunities to seek collaboration.

The symposium, which was organized in partnership with the Federation of Micro, Small and Medium-sized Enterprises and the United Nations Capital Development Fund, attracted sponsors such as Diamond Trust Bank, Opportunity Bank, Uganda Revenue Authority (URA), Exim Bank, Opportunity Bank, Housing Finance Bank , UAP Old Mutual and Saladin Media.