SMEs are backbones of the economy

The Chief Executive Officer of EMPRETEC Ghana Foundation, Nana Tweneboa-Boateng, has classified Small and Medium-sized Enterprises (SMEs) as the backbone of all economies and constitute the dominant form of business organisations.

"SMEs served as key source of economic growth, dynamism and flexibility in advanced industrialised countries, as well as in emerging and developing economies," Nana Tweneboa-Boateng stated at the end of 10-day capacity building workshop for entrepreneurs in Accra.

He described SMEs as the hallmark for the introduction of innovative products and techniques in to the market, adding: "Most giant companies today started off in typical SME fashion, as a dream developed by a young enterprising man or woman with the help of family and friends.”

"While not every small business turns into a multinational, they all face the same issue in their early days - finding the money to enable them to start and build up the business and test their product or service,” he noted.

Nana Tweneboa-Boateng queried: "Why is it harder for SMEs to borrow money from banks or to find private investors than for larger firms? This are important questions given the fact that small businesses, and particularly innovative SMEs, become increasingly vital to economic development and job creation as the knowledge-based economy develops.”

The EMPRETEC Chief Executive noted that in recognition of the vital role of SMEs the Government had placed many catalytic interventions to benefit the private sector through the creation of the enabling business environment for the development of the private sector.

It therefore requires of the players in the private sector to take advantage of the many opportunities and initiatives to set up, or improve your businesses, the windows of competitive opportunity does not open for too long, Nana Tweneboa-Boateng stated.

Source: GNA