The Singapore government has launched initiatives to boost the business environment for small- and medium-sized enterprises (SMEs) that form the engine room of the country's economy.
The Ministry of Trade and Industry (MTI) has identified three areas in which SMEs will receive additional government support - productivity, innovation, capability upgrading and recruiting talent; seeking fresh business opportunities at home and abroad through internationalisation and industry collaboration; and creating a more favourable business environment by simplifying assistance schemes.
"The SME sector is an important pillar of Singapore's economy," said MTI Minister Teo Ser Luck at the programme's launch in March. "The review of the development strategies for our SMEs aims to help them strengthen their business competitiveness.
"I urge all SMEs to invest in skills upgrading, new technologies and innovative processes, and to tap the various schemes available to step up productivity improvements. The government will support our SMEs in their move to intensify their business transformation to achieve quality growth."
The boost in support was prompted by a review of strategies conducted by MTI and organisations created to assist SMEs - SPRING Singapore and International Enterprise Singapore - along with stakeholders from the SME community.
SMEs contribute more than 50 per cent of Singapore's economic output, they make up 99 per cent of companies in the city state and employ about 70 per cent of the total workforce.
An SME in Singapore is defined as a company with an annual turnover of not more than S$100 million (HK$613.2 million), or which employs no more than 200 workers.