SMEs’ role in economy incomparable, policy reforms inevitable: Ex-Finance Minister Khanal

लगानी न्यूज

१८ श्रावण २०८३, सोमबार १२:४४August 3, 2026

. KATHMANDU: Former Finance Minister Rameshwor Khanal has said that the role of small and medium enterprises (SMEs) in Nepal’s economy is incomparable.

Speaking at a program organized by Society of Economic Journalists of Nepal (SEJON) to release the report ‘Risk Management in Nepali SMEs’, Minister Khatiwada said that it was the responsibility of the Ministry of Finance to implement most of the suggestions included in the report.TAG_OPEN_div_26

He said that small and medium enterprises (SMEs) are facing various challenges including access to finance, insurance and policy arrangements.TAG_OPEN_div_24 The report incorporates the major problems of the SME sector and the measures to solve them. “It is the responsibility of the Ministry of Finance to implement many of the recommendations contained in the report. ” he said.

Former Finance Minister Khanal said that SMEs are not able to get loans from banks easily.TAG_OPEN_div_22 According to him, there are about 900,000 small and medium enterprises in Nepal, but only about 10 percent are covered by insurance, which is a matter of concern.

He said that although the problems in the SME sector were comparatively less before the COVID-19 pandemic, the situation is becoming more complicated after the pandemic.TAG_OPEN_div_20 He said that this sector has been the most affected by Corona and still many entrepreneurs are struggling to get their business back to its old state.

He stressed that the solution to the problems of small and medium enterprises should be given priority while carrying out policy reforms in the coming days.TAG_OPEN_div_18

He said that although the government has arranged up to 75 percent subsidy in some agriculture and production sectors, the targeted farmers and entrepreneurs have not been adequately informed about it.TAG_OPEN_div_16

Pointing out the need to expand access to subsidies and concessional loans to small and medium enterprises, he said that some entrepreneurs are not even in a position to take loans from banks and have to depend on cooperatives.TAG_OPEN_div_14