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News & Events

[ 19-09-2013 ]
Govt targets SMEs contributing 40% to GDP by 2015

(From Left) Multimedia Development Corp Sdn Bhd CEO Datuk Mohd Badlishan b Ghazali, Finance Ministry deputy secretary-general Datuk Mat Noor Nawi, Irwan and International Trade and Industry Ministry deputy secretary-general Mohd Ridzal Sheriff at the briefing.

(From Left) Multimedia Development Corp Sdn Bhd CEO Datuk Mohd Badlishan b Ghazali, Finance Ministry deputy secretary-general Datuk Mat Noor Nawi, Irwan and International Trade and Industry Ministry deputy secretary-general Mohd Ridzal Sheriff at the briefing.

KUALA LUMPUR: The Government is targeting for small and medium enterprises (SMEs) to contribute 40% to the country’s gross domestic product (GDP) by 2015 via more dynamic entrepreneurs. Current contribution from SMEs stands at 33%.

The Finance Ministry’s secretary-general Tan Sri Mohd Irwan Serigar Abdullah said SMEs would need to contribute more to economic growth for the country to achieve its target to become a high-income nation.

He said this after a briefing session for the 4th Global Entrepreneurship Summit (GES), which will be held on Oct 11-12 in Kuala Lumpur to help small and medium enterprises (SMEs) achieve the 40% target.

“Without creative and innovative entrepreneurs, Malaysia will never realise developed and high-income nation status. So, we are compelled to organise programmes of this sort,” he said.

In 2011, SMEs’ contribution to GDP amounted to 32.5% and is targeted to contribute 41% to GDP by 2020 with ongoing efforts by SME Corp to transform SMEs to produce high-quality and high-valued products via the SME Masterplan launched last year.

The plan also aims to achieve several targets by 2020 including increasing SMEs’ contribution to employment from 59% of the workforce to 61%; increasing their exports contribution from 19% to 25% and increasing the number of registered firms from 69% to 85% of all firms in Malaysia.

He said 3,000 prominent leaders from around the world, entrepreneurs, business leaders, civil society and policy-makers were targeted to attend the programme.

He said the programme was aimed not only to attract investors to Malaysia but also to provide a platform for Malaysian entrepreneurs to network with their foreign counterparts for prospective ventures abroad in, inter alia, content industry, halal industry and islamic banking.

Irwan also confimed the attendance of US President Barack Obama to this year’s summit. Obama is scheduled to deliver a keynote address on the importance of entrepreneurship in spurring eocnomic progress.

The fourth GES will feature more than 100 practitioners and thought leaders to share their views on topics such as innovative business models, innovative funding models, taking startups global and others.

Some notable speakers include Wikinomics author Don Tapscott, former editor-in-chief of Wired magazine, Chris Anderson, Blue Ocean Strategy co-author Prof W. Chan Kim and MOL group CEO Ganesh Kumar Bangah.

The summit is organised by the Finance Ministry, while the programmes are designed by 20 corporations involved in the entrepreneurial community. The theme of this year’s GES is “Empowering and Connecting Entrepreneurs”.

The GES was held in the United Arab Emirates, Turkey and the United States over the past three years.