Rwanda’s SME’s forum set to be established

Rwanda’s SME’s forum set to be established

It becomes clear that small and medium enterprises, are the backbone of Rwanda’s economy, contributing significantly to job creation, poverty reduction and economic growth.

Micro and small businesses dominate Rwanda’s business terrain. Indeed, every year thousands of businesses open shop but in the same breadth many collapse and hardly make two years.

Despite their number and potential to contribute more to the economy, the capacity of the MSMEs to expand remains low because they often do not have the same access to knowledge and networks as larger businesses.

Data provided by the Ministry of Trade and Industry shows that, SME’s in Rwanda, account for 98 percent of all businesses, employing over 2.5 million people and contributing around 33% to the country’s GDP.

The dynamism and innovation have propelled the country’s development in sectors ranging from agriculture, health to service and technology.

On May 29th, public and private focal persons discussed how to strengthen the existing collaboration between the Private Sector Federation, PSF, and government institutions and agencies that deal with private sector development in Rwanda.

It includes ideas on the creation of a platform for sharing ideas and different programs as to how small and medium enterprises can expand their development.

It was pointed out that the development of these institutions will be achieved through increasing their capacity, sharing knowledge, and removing all the obstacles that appear in this field.

The forum aims to assist small and medium enterprises in transitioning into large enterprises by promoting effective management methods and facilitating loan access.

Kanamugire Callixte, Chief Advocacy Officer at PSF Rwanda, says that this forum aims to close the gaps in small and medium enterprises and create a platform to solve the problems that often appear in this sector.

” We will continue to discuss how the forum will go so that the problems that have been revealed will be eliminated.” Kanamugire says.

Such collaboration can optimize SME structures and facilitates utilisation of knowledge and expertise and access to the latest technologies, equipment and financial products and services.

The SME forum will support these policies for SME clusters in a particular field that can be linked by commonalities by improving productivity and efficiency and by stimulating and enabling innovation, facilitating commercialization and new business formation.

Kanamugire Callixte, Chief Advocacy Officer at PSF Rwanda

DIANE MURERWA

THE RWANDA SUN

Diane MURERWA

Diane MURERWA

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