By Burnett Munthali
Old Mutual is optimistic that the key way for the country to develop economically is to empower and train Small and Medium Enterprises.
Organisation’s Head of financial Education John Manyike described the SMEs as the backbone of any healthy economy.
Small businesses make a significant contribution to the growth of the economy. By providing goods and services, they stimulate consumer spending and drive demand. This, in turn, leads to an increase in economic output and the overall Gross Domestic Product (GDP) of a country.
The remarks were made today in Lilongwe during the workshop for micro, small, and medium enterprises (MSMEs).
Microenterprises not only help improve the quality of life for business owners, but they also add value to the local economy. They can boost purchasing power, improve income, and create jobs. Microfinance seeks to help microenterprises by loaning small amounts of capital to these businesses.
The aim of the training is to promote entrepreneurship and foster a hunger for acquiring skills and business knowledge among the SMEs.
Small businesses can contribute to economic empowerment by investing in training programs that enhance the skills of their employees. This benefits the individual workers and aligns with the broader goal of creating and filling more productive jobs within the community.
SME are generally thought to be the backbone of any healthy economy; they drive growth, provide employment opportunities and open new markets. SMEs already contribute more than 50% towards GDP, they also supply and anchor big retail businesses with products, services and even markets.
