Pakistan’s SME Sector Holds $40-$60 Billion Export Potential: Minister

Minister for Planning, Ahsan Iqbal, on Tuesday highlighted the significant export potential of Pakistan’s Small and Medium Enterprises (SMEs), projecting an export capacity of $40-60 billion in the next three to five years.

Speaking at the ‘Export-led Economy – Race to $100 billion’ ceremony, alongside Minister for Commerce Jam Kamal Khan, Ahsan Iqbal emphasized the government’s commitment to facilitating the SME sector to achieve this target. He reiterated the government’s ambitious goal of increasing exports to $100 billion within eight years, noting the critical importance of reaching this target and the challenges of missing it.

The minister stressed the necessity of enhancing production across key sectors, including agriculture, manufacturing, information technology, mining, manpower, and creative industries, to drive economic growth. To support this, the government plans to collaborate with relevant departments and ministries to develop a comprehensive dashboard, outlining a clear roadmap for growth in these sectors.

Ahsan Iqbal also pointed out that 70 out of 500 companies on the Karachi Stock Exchange generated exports of around $10,000, with major KSE companies earning substantial profits without significantly contributing to dollar exports. To address this, he proposed developing policies and incentives to encourage the private sector to enhance their export contributions.

Minister Jam Kamal Khan attributed Pakistan’s export decline to various factors, including high interest rates, production costs, the COVID-19 pandemic, and the Ukraine conflict. Despite these challenges, he highlighted that the government has formulated a strategy to boost the country’s exports. He noted that inflation and interest rates have been consistently decreasing, while global investors show a growing interest in investing in Pakistan.