ISLAMABAD: Special Assistant to the Prime Minister (SAPM), Haroon Akhtar Khan on Wednesday while announcing the launch of country’s first “Made in Pakistan Small and Medium Enterprises Expo 2026,” has acknowledged that during past few years, a large number of industrial units in Pakistan shut down owing to various reasons including high inputs cost and dated machinery.
Addressing at a press conference here, he linked sustainable economic growth to the strengthening of Micro, Small and Medium Enterprises (MSMEs), saying that MSMEs are the backbone of national economy and essential for achieving sustainable GDP growth of 6–7 percent.
The SAPM stated that to put the country on the path of sustainable economic growth, the present government has taken a number of steps of which the mainstreaming of SMEs is the most critical component. The SMEs are the only sector that can handle increasing unemployment especially among women in far flung areas of the country. Micro, small and medium enterprises’ growth is must for sustainable economic growth. There are some 7 million micro, small and medium enterprises in Pakistan.
He said that now Pakistan’s large scale manufacturing (LSM) has also started registering growth and the government in coming months will further facilitate the industrial sector by reducing power tariff, which will further improve the situation.
Government is also working on rationalising taxation to streamline regulatory and customs duties. He said that during past few years, over 18 auto mobile manufacturers have invested in Pakistan. To further promote made in Pakistan the government has introduced mobile manufacturing policy and vaccines production policy. Moreover, the ministry will soon introduce solar plates production and battery storage production policy. Auto policy is being drafted, semi-conductors will be produced in Pakistan. He said that the prime minister himself is overseeing SMEDA policy. Access to credit for small-scale businesses will be made easier and all hurdles will be addressed for which the government has started Collaboration with Akhuwat Foundation.
Ministry of Industries and Production has held meetings with 32 women chambers so that the untapped and hidden potential of the national economy could be made productive.
Transportation is also not up to the mark and to solve this problem ministry of railway is making efforts and this will resolve freight related issues as railway freight train can better handle it and this will reduce costs. Special pavilions are being established for women entrepreneurs and micro businesses. He said, the three-day expo will be held at the Lahore Expo Centre from January 24 to 26 to showcase the country’s untapped entrepreneurial and industrial potential and bring together thousands of MSMEs from the country. International delegates from Azerbaijan, Kenya, and Malaysia will also attend, enhancing global exposure for Pakistani SMEs.
He said the Expo would feature a wide range of sectors including sports goods, gems and jewellery, surgical instruments, cutlery, textiles, garments, leather goods, auto parts, household appliances, plastics, agri-based products, cosmetics, packaging, handicrafts and light engineering, with a separate pavilion dedicated to women entrepreneurs.
He said multilateral institutions including the International Monetary Fund (IMF), World Bank, and Asian Development Bank (ADB) had acknowledged the stabilisation, while improved performance of the stock exchange reflected restored investor confidence. The Special Assistant said policy interest rates had been reduced from 22 percent to 10.5 percent, inflation had declined to around 4–5 percent, and power tariffs had been brought down from Rs 42 to around Rs 34–35 per unit, with further reductions expected.
He said government was finalising a comprehensive industrial policy, focusing on access to credit, bankruptcy reforms, restructuring of sick units, export promotion and ease of doing business.
The Special Assistant said several sectoral policies were also in the pipeline, including a National Tariff Policy, Gems and Jewellery policy, Mobile phone manufacturing policy, Vaccine manufacturing policy, Solar and battery storage policy, Auto and home appliances policies, and initiatives for semiconductors and agri-food industries.
Copyright Business Recorder, 2026
Comments
Comments are closed for this article.