Bahrain is encouraging the private sector to become the country's future growth engine, Bahrain’s Industry and Commerce Minister Dr Hassan Fakhro said yesterday (June 29).

Dr Fakhro was speaking as he patronised the opening of two-day Empowering SMEs Competitiveness for Globalisation seminar, organised by the Bahrain Development Bank (BDB) and the Centre for SMEs Growth and Development Finance, together with a number of other supporting organisations.

"The subject of this forum is of particular relevance to the ministry, since the focus is on the development of small and medium enterprises, which is in line with the ministry's 2009/2014 strategy and 2030 Economic Vision of developing and diversifying Bahrain industrial base and encouraging and motivating the private sector to be the nation's future growth engine," Dr Fakhro said.

The Economic Vision 2030 of Bahrain prioritises the development of small and medium industries and places the attention of concerned ministries and institutions on ensuring that the potential of this vital sector is maximised, through the creation of new support mechanisms, the minister said.

"The Vision aims to co-ordinate all efforts to invigorate this sector and enable it to realise its potential contribution to the national economy which, as in many countries around the world, can amount to between 80 and 90 per cent of total industrial output,” Dr Fakhro continued.

"The government's vision for the industrial sector, and in particular the role of small and medium enterprises, (SME's) reinforces the role of financial institutions in supporting future economic growth, by providing the necessary financing mechanisms for the private sector.

"The formation of a co-ordination committee to support small and medium industries, is an initiative the Industry and Commerce Ministry has undertaken, and which held its first meeting on June 17 2009, being attended by senior officials of both the public and private sectors.

"This new committee will provide a national focus for the efforts of all concerned parties in enhancing the position of SMEs, and will provide a heightened level of confidence to the community, and to the institutions and products which will interact to deliver on the government vision of future economic development, underpinned by a diversified industrial base, in which SMEs play a major role."

The support programmes that result from activities of the various institutions and from the Ministry and other parties, will have positive effects on increasing the diversity of industry and its various outputs, contributing to increased domestic, regional and international market share, as well as resulting in an increase in the variety and composition of financial products on offer, he said.

"It is in our nation's interest, and the interest of all citizens, that we embrace the vision of enhancing the capabilities of our SMEs, as this will not only increase our national income, but also provide more skilled employment opportunities for our growing population,” Dr Fakhro explained.

"The successful implementation of policies to promote small and medium enterprises in Bahrain, does not rest solely with the Ministry.

"Success will come from the joint efforts, programmes and inputs of all concerned parties, and co-ordination between the ministry on one side and the private and public sectors on the other side; only then can we expect to translate the leadership's and governments aspirations into the reality of economic development," he concluded. – TradeArabia News Service