Strategy for small enterprises development [Archives:2004/770/Business & Economy]

September 6 2004

The ministry of Social Affairs and Labour has drawn up a strategy for the development of small enterprises and smaller projects to be implemented in 2005-2009 at a total cost amounting $ 137 million. The strategy aims at alleviation of poverty and creation of new job opportunities for the unemployed.
The Yemeni cabinet discussed in its regular meting the goals aspired for from the strategy and approved returning it to the ministry for more study and involvement of concerned parties for preparing its final formula and to involve all governorates and re-presenting it to the council of minister to take the convenient decision about it.
The strategy's aims focuses on offering financial and technical support for the growth of small enterprises and provision of information necessary for advancement of existing installations and development of their performance. In addition, the strategy supports he new enterprises for generation of activity in the newly created sectors and promotion for diversity of installations and increase of production.
Fields of support
The strategy is based on foundations of offering financial and technical support for the small enterprises in areas of agricultural guidance and animal wealth, as well as development of small fish establishments, protection and improvement of methods between farmers and markets, preservation of water and soil, offering services of works to non-agricultural enterprises and activation of aspects of qualification and training, in addition to development of administrative and technical, and marketing and financial skills.
500 thousand job opportunity
Preparation of the strategy draft came at the backdrop of success of the Social Fund of Development, which managed to provide job opportunities for around 500 thousand persons in various governorates. The number of establishments supporting programs of smaller enterprises rose to 15 professional establishments in offering services to small enterprises whose number amounts to 1500 to which one billion and 200 million Yemeni riyals has been given. Field studies diagnose causes of production floundering of small installations as attributed to weakness of their infrastructure and services necessary for their evolvement and upgrading their production.
The minister of Social Affairs and Labour Abdulkareem al-Arahabi emphasizes that the new strategy for small enterprises and the smaller would enable them to get financial and technical support required for their development. He says that would contribute to remove hindrances and help those who possess the will and ambition to realize their goals. Those working in the sector of small enterprises say the supply of capitals for building smaller projects is the most important link in the chain of steps needed for the growth of income for those of special needs and poor families.
The government, during the strategy's period of 2005-2009, does, therefore, attaches hope to funding programs of the small and smaller enterprises for combating poverty and finding work opportunities. It is specially so after the experiment proved that this field achieves speedy results in that of employing the unemployed and granting them projects to run as well as development of their production. All this remains to be connected to the degree of seriousness of intentions in the execution of the strategy's objectives.