Business Review


The Small and Medium Scale Enterprises (SMEs) are playing very significant role in almost all the economies around the world in irrespective of the countries development stage. However it is obvious that SMEs function as a lifeline in informal sector in Asia, Africa, Latin America and Eastern Europe due to their contribution to overall economy in many aspects such as employment generation, exports, tax income, innovation, competitiveness, equitable income distribution, social stability, domestic resources usage, regional development and ultimately it is the main source of economic growth. The Pakistan is no exception to this phenomenon as a developing country located in South Asian region. Most of these SMEs around the world are struggling to survive in today's globalized competitive economy. They are hampered by the lack of technology, access to credits and markets, lack of infrastructure and competition from foreign products, etc. In spite of the various policy reforms, setting up of SMEs promotional apex bodies, incentives and assistance offered by successive governments in Pakistan with the assistance of private sector, NGOs and donor agencies since political independence, still this SME sector is less dynamic and underdeveloped as against large-scale enterprises in the national economy. The growth and expansion of SMEs are constrained by problems relating to both product and factor markets in Pakistan. Lack of policy and conducive supportive environment, sub sector strategies and cluster development with business development services have further reduced the full potential contribution of SMEs to the national economy. In this context this brief note is covering basic facts about Pakistan SMEs and present an agenda for future SMEs research in Pakistan.


SMEs, Basic profiles, Research agenda, Pakistan



Creative Commons License

Creative Commons Attribution 4.0 International License
This work is licensed under a Creative Commons Attribution 4.0 International License.

Published Online

February 23, 2021



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