Home SME’S Policy
The Small and Medium companies are the backbone of economy, and they are the machine that increases the economic development of a country. In Somalia they constitute the greatest economic sources of the nation, job-creation for the youth and as well as development. Their services have increased 95% to the country’s economy and production.
In Somalia there existed no such policy supporting the growth of Small and Medium Companies which are essential for nation’s economic development, despite some efforts carried out by international sponsors and traders (businessmen) to enhance Small and Medium Companies, who were not integrated and were not in possession of any policy procedure regarding inclusivity.
Therefore, the Ministry of Commerce and Industries of FRS revealed such issues and at same time discharges its mandated duties, has involved in recent times for preparing and setting up actual policy to develop Small and Medium Companies, as that may contribute well to the policy direction of Somalia in leading towards the Business for Small and Medium Companies.
This policy, among its objectives may include establishment of clear and effective policy, and fully support development undertaken by the Small and Medium Companies of the country in order to increase the economy and job-creation of the country. It is also designed to protect the growth and existence of Small and Medium Companies with providing economic support, technical skills and clear policy that is appropriate for the development of Small and Medium Companies.
Similarly, the objectives purported for the Small and Medium Companies, may include inter-connection of policy between the Federal and Federal Member State (FMS) levels, encouragement of researches, innovation and enrichment of production, collaboration between government and private business sector (PPP), encouragement of innovation by Small and Medium Companies and additionally encouragement of business movement in home and regions.
The policy on Small and Medium Companies, has progressed through various stages, whereas variety of consultations have been made with traders (businesspersons) representing on behalf of Small and Medium Companies and similarly with experts and scholars who expertise in economic development. The relevant policy will immediately be submitted to the Council of Ministers, Government of the Federal Republic of Somalia in due course for endorsement.