Sri Lanka’s small and medium-sized enterprises can play an important role in economic recovery. By re-engaging with value chains, they can reinvigorate their own businesses and help to create opportunity and economic growth.
in Sri Lanka, SMEs comprise more than 75% of enterprises and account for more than 20% of exports, 45% of employment, and 52% of GDP.
However, through strategies and reforms to nourish their participation in global value chains, SMEs can not only prosper but—due to the size and economic importance of the sector—make a meaningful contribution to the country’s recovery and reduce the human toll of the crisis. Global and regional production chains have been a key driver of economic progress in Asia and the Pacific over the past 2 decades.
Action is needed to connect or reconnect Sri Lanka to global value chains. Successes in this process will generate more local employment opportunities and sustainable foreign currency inflows. The positive spillover effects will eventually contribute to the competitiveness of the whole economy.
With that intention, Charana TV initiates to start video content series towards the development of this vital sector.
It is mainly targeted to give solutions on how SMEs should continue to align with new trends around global value chains, expanding manufacturing to the service sector, adopting environmentally and socially responsible practices.
Access of SMEs to finance is a significant barrier to market entry should be further enhanced. Compared to other Asian economies at a similar income level, more Sri Lankan SMEs consider themselves financially constrained. So banking partner for this program will address financial avenues for SMEs, such as credit guarantee facilities, venture capital funds, trade finance, and digital financial platforms remain underdeveloped.
And other resource personnel’s will also discuss the introducing quality accounting and auditing standards for transparency, using digital platforms to reduced barriers for emerging and developing countries to enter global value chains, entrepreneurship education, technology management, and research and development models, household level, women’s empowerment etc