Maravi

(HERALD) Banks urged to support SMEs

Banks urged to support SMEs
Southern Times Writer

Windhoek. — Commercial banks should avail financial assistance to small and medium enterprises, some of which are failing to muscle into the mainstream economy because of lack of capital, an SMEs conference has recommended. In recommendations made at the end of a one-day conference on SMEs, participants noted that most small businesses were finding it hard to secure start-up capital as well as operational funds from the local banks.

The conference, which was organised by the Namibian Chamber of Commerce and Industries, recommended that banks should play a leading role in providing custom made financial products to the small businesses.

Most small firms suffer still birth due to lack of capital. Lack of skills coupled with the inability to secure tenders and procurement contracts has in most cases resulted in banks throwing out applications for loans from SMEs.

The conference also recommended that tender specifications be relaxed to cater for the upcoming businesses, teaching SME operators on bidding procedures among others.

Participants also called on the Tender Board of Namibia to help SME operators with the technical know-how on tendering procedures.

The NCCI has previously raised complains that small firms were being unfairly muscled out in government and private tenders.

It has also been noted that the tourism sector remains one of the most lucrative sectors for the tourism sector.

NCCI said that government should raise the bar in infrastructure development in the tourism sector to open up the industry for more players, particularly the upcoming businesses.

SMEs operators should also be equipped with the right skills to understand the tourism industry and to enable them identify the right products.

Labels: BANKING, SMEs

posted by MrK @ 3:43 PM