The country’s cottage, small and medium enterprises (SMEs) play a vital role in boosting the country’s economic growth. Along with other crucial economic sectors, the SME sector has also been hit hard by COVID 19 pandemic and therefore measures should be taken immediately for the revival of the sector.
According to a report published in this daily, Bangladesh Bank (BB) has instructed the banks to expedite disbursement of a stimulus package of Tk 20,000 crore to small and medium enterprises (SMEs) that are gasping for coping with the second wave of Covid-19.
The Central Bank should also give more emphasis on the SME sector. The loan distribution procedure should not be complex. Micro-finance institutions should be involved in this process so that SMEs will get timely loans.
SME sector has been hit hard by Covid 19
pandemic and therefore
measures should be taken immediately
for revival of
the sector
The central bank has also introduced an electronic system to expedite implementation of the stimulus package for SMEs. The new digital system will help intensify monitoring and supervision on disbursement of stimulus package closely. Banks now should co-operate in implementing this digital platform properly and distribute the government’s stimulus package for this sector.
The government and Central Bank have executed various strategies to offer monetary support to the SME sector. However, in the long run, a sustainable approach has become the need of the hour so that SME’s can run smoothly in the market.
Therefore, it is necessary that an all-inclusive tactic is implemented, which will combine both short term direct interferences from the government and furthermore adequate support from the private sector to the SMEs as part of the sustainable business paradigm.