The New Nation - Internet Edition

Talha Bin Habib

The contribution of Small and Medium Enterprises (SME's) to the GDP is increasing due to smooth release of public loans to this sector, according to sources.

The contribution of industrial sector to the national economy has also raised to 30 per cent, which was 7.52 per cent higher from the fiscal of 2006-07.

The flow of disbursement of public industrial loan in the last fiscal has increased to 35. 20 per cent and recovery rate of it has also increased to 25.24 per cent in the last fiscal year, said economists.

They said if the present industrial policy is implemented properly then the contribution of industrial sector especially SME's to the national economy would reach to 30 to 35 per cent and could create new 35 per cent of new employment.

The Bangladesh Bank (BB) has disbursed a fund of Tk 643 crore 43 lakh to different scheduled banks and financial institutions for distribution as loan to the SME's sector.

About 7 thousand and 297 entrepreneurs of SME's have received the loan from that fund. The BB has also raised SME's fund from Tk 100 crore to Tk 300 crore.

The contribution of the manufacturing sector to the national GDP has increased to 17.77 per cent in the fiscal of 2007-08. The growth of small and cottage industry has increased to 8.25 per cent while the heavy industries are 7.22 per cent.

The Bangladesh Small and Cottage Industries Corporation (BSCIC) has raised its investment to Tk 293 crore 89 lakh for flourishing the growth of small and cottage industry in private sector.

Under the patronisation of BSCIC, so far 2104 small and 4233 cottage industries were set up till March this year.

The production and growth of Bangladesh Textile Mills Corporation (BTMC), Bangladesh Sugar and Food Industries Corporation (BSFIC), Bangladesh Standard and Testing Institution (BSTI) and Bangladesh Jute Mills Corporation (BJMC) have also increased in the last fiscal year, according to the sources.

Industries under the supervision of Bangladesh Chemical Industries Corporation (BCIC) has surpassed their production target worth Tk 852 crore 49 lakh in the last fiscal year.

Up to March of the fiscal of 2007-08 the BB has distributed loan of Tk 43 thousand 128 crore 88 lakh and recovered Tk 29 thousand 948 crore 31 lakh.

There are about 264 SME's in the 8 Export Processing Zones (EPZ's) in the country.