Government Launches SME Workgroups To Enhance The Development Of SME Sector
Small and medium enterprises (SMEs) are an important part of Singapore’s economy. The performance of the SME sector directly impacts the overall economic output. To keep the sector competitive and poised for growth, government support is crucial. In this regard, the government of Singapore consistently seeks for opportunities to support SMEs in various aspects including skills upgrade, funding assistance, infrastructure improvement, and technology enhancement, to name a few.
Why SME’s need support?
Scarce resources. As the size of the enterprise denotes, SMEs get little access to resources that hinders their capability to meet market demands. The areas that SMEs need more access to include technology, infrastructure, and finance.
Low capital. Perhaps the most common concern that prevents many individuals from Setting Up a Company in Singapore is the lack of capital funding. Funding support can encourage more local and foreign entrepreneurs to start a business in Singapore and contribute to the nation’s economic growth.
Unskilled labour. Manpower issues have long been a problem for SMEs. The government encourages local talents to grab employment opportunities in small and medium-sized companies. In response with the constantly growing need for skilled employees, several training programmes have been launched to enhance employees’ technical skills and capabilities. On a larger scale, senior government officials are also provided with ample training which will enable them to draft effective policies that address labour issues.
Global competition. With new businesses entering the market ever so often, it is imperative for existing businesses to innovate and improve to remain competitive. To promote innovation and the use of technology in improving business processes, the government launched numerous initiatives to encourage SMEs to come up with innovative products and services that meet both local and global demands.
Technology and infrastructure. Technology and innovation have changed the way we live our lives and the way businesses deliver products and services. SMEs need to keep up with the latest technology, tools, and infrastructure to meet consumer demands.
Mr. Teo Ser Luck expressed his concern about the challenges faced by the SME sector. The Ministry of Trade and Industry (MTI) initiated an SME workgroup to accelerate the productivity of sector. The workgroup has specified objectives to strengthen the SME sector.
The three concern areas to develop a vibrant Singapore:
Develop liaison with local businesses. It is important to strengthen the relations with the local business community to make them aware the about the trend and challenges of the business environment.
Identify areas of improvement. The Government of Singapore should create policies to fill the industry gaps and improve the economic condition of the SME sector.
Programmes and schemes. To implement more programmes and schemes to accelerate the growth of Singapore.
Need Company Registration Services in Singapore? Please Click: Company Registration in Singapore.