Government decision to establish modern microfinance company supported

Islamabad, April 25, 2016 (PPI-OT):Patron Islamabad Chamber of Small Traders Shahid Rasheed Butt on Monday lauded the government’s decision to establish Pakistan Microfinance Investment Company which will pave the way for rapid development of the country.

Pakistan’s non-banking financial sector is weak which has stunted development of various sectors therefore government has decided to establish a company of international standard to ensure accelerated growth of the SME sector, he said.

Shahid Rasheed Butt said that the pace of work on the Pakistan Microfinance Investment Company should be increased so that it can start operations before the announcement of budget to give a new lease of life to the SME sector which is backbone of the economy.

He said that many developed nations are eager to invest heavily in Pakistan to boost SME sector therefore government should finalise all arrangements with them without any delay.

The business leader said that around ninety-nine businesses fall under the category of SMEs whose requirements cannot be fulfilled by small institutions like SMEDA, PPAF and NPO.

Commercial banks continue to ignore SMEs to pump money in government papers and big business groups while microfinance banks have their own problems.

Microfinance banks should be given membership of National Clearing House and the SECP should improve the laws governing non-banking financial institutions to ensure long-awaited rapid development, he demanded.

For more information, contact:
Jahangir Akhtar
Secretary General
Islamabad Chamber of Small Traders and Small Industry
Office No, 9 Block E, Super Market, Islamabad
Cell: 0344-5111174