Strengthening SME sector for sustainable growth

Small and Medium Enterprises (SMEs) remain one of the most influential drivers of Bangladesh's economic development. They support millions of jobs, promote local entrepreneurship, and contribute to balanced regional growth. As the country aims for long-term economic advancement, the SME sector continues to play a central role in ensuring inclusive and sustainable progress.
However, the growth of SMEs is often limited by several structural challenges. Many entrepreneurs face difficulty accessing finance due to strict collateral requirements, complex loan procedures and limited awareness of financial opportunities. In addition, the slow adoption of modern technology and digital tools has reduced the competitiveness of small businesses in a growing digital marketplace. Without proper support, SMEs struggle to reach broader markets or improve productivity.
To strengthen this vital sector, coordinated action from the government, financial institutions and private organisations is essential. Simplifying loan processes, expanding SME-friendly financial products, and enhancing digital literacy and business training programmes can significantly improve the business environment. Public-private partnerships can also help build stronger supply chains and create additional market opportunities. A more resilient SME ecosystem will support employment, innovation, and long-term economic growth in Bangladesh.

Habiba Sikder
Dhaka
habibasikder01@gmail.com