SMEs Remain the Driving Force of Economic Growth - Awang Tengah: Will Continue Implementing Various Measures to Help SMEs

(Kuching, 27th) The Sarawak Ministry of International Trade, Industry, and Investment will continue to implement various plans and support measures to assist small and medium enterprises (SMEs) and local cooperatives.
 
 Deputy Premier of Sarawak Datuk Amar Haji Awang Tengah said that SMEs remain the primary driver of economic growth, contributing 39.1% to Malaysia's GDP in 2023, and contributing RM 29.7 billion or 17.9% to Sarawak's economy in 2022.
 
 Therefore, SMEs and cooperatives need to be prepared to face ongoing challenges that hinder their development and competitiveness.
 
 "One of the main obstacles is the high cost of business due to rising prices of raw materials, labor, and rent."
 
 Speaking during the opening of an economic challenges seminar yesterday, Awang Tengah conveyed his remarks through Deputy Minister Datuk Seri Naroden as he was unable to attend.
 
 In his speech, Awang Tengah added that other challenges faced by SMEs include the lack of sustainable practices in environmental, social, and governance (ESG) areas, lack of relationships with large companies, and slow progress in digitalizing business operations.
 
 "We will continue to implement programs such as the Sarawak Micro Credit Scheme (SKMS), Small and Medium Industry Loan Scheme (SPIKS), Graduates Towards Entrepreneurs (Gerak), Technical and Vocational Entrepreneurs (USTEV), and digital entrepreneur programs like Going Digital."
 
 He stated that since 2021, the Sarawak Ministry of International Trade, Industry, and Investment has approved financial assistance worth RM 193 million, benefiting 8,900 entrepreneurs.