Karachi: The Union of Small and Medium Enterprises (UNISAME) has criticized the establishment of a new committee by the Prime Minister aimed at reorganizing the Small and Medium Enterprises Development Authority (SMEDA), calling it a "wild goose chase" and suggesting it may be a tactic to gain time. The committee, led by Adviser on Industries and Production Haroon Akhtar Khan, has four weeks to deliver a plan for reorganizing SMEDA, enhancing business support, and improving SME access to finance.

According to Union of Small and Medium Enterprises, the committee formation is viewed as a typical bureaucratic response that delays action. Zulfikar Thaver, President of UNISAME, remarked that SMEDA has been inactive for years, and the issues facing the sector are longstanding. "Another committee, another presentation, and another four weeks will not put a single rupee of credit in an SME's hands," he stated.

Thaver argued that the State Bank of Pakistan, not SMEDA, is the appropriate entity for addressing financial inclusion for SMEs. He emphasized that SMEDA lacks the power of implementation, noting that access to finance is a banking and regulatory matter best handled by the State Bank.

UNISAME, which has been advocating for the SME sector since 1998, claims that its roadmaps and recommendations have already been provided to the government. Thaver highlighted that the SME sector represents approximately 99 percent of business enterprises and 78 percent of employment in Pakistan, stressing the urgency for action. He urged the government to implement existing proposals through the State Bank and relevant ministries, consulting UNISAME directly to avoid unnecessary delays.

UNISAME also expressed its willingness to assist the government with its expertise and data, calling for immediate implementation of SME relief measures.