Fostering small- and medium-enterprises (SMEs) forms a crucial strategy for eliminating unemployment, Hany Kadry Dimian, Finance Minister, said, explaining that his ministry is working with the government to include SMEs in the formal economy.
Dimian revealed a study conducted by the government to set out a system of integrated incentives to bring about a “renaissance” for SMEs in coordination with the Ministry of Trade, the Social Fund for Development, and the Central Bank of Egypt.
The minister went on to say, during a conference on supporting SMEs in the Arab world, that harmful business practices that take place, such as customs smuggling for a number of materials, inhibit the growth of small businesses. He said that his ministry is now working to stiffen penalties for smugglers and protect the growth of small enterprises.
Dimian also said that some smaller businesses will be exempted if they join the formal economy.
According to Dimian, the government is on the right path to decrease the budget deficit to 8% of GDP and keeping domestic debt within safe limits, thanks to economic, legislative, administrative, and structural reforms.