Government prepares regulatory reforms and export-focused support to strengthen SMEs, attract investment, and improve industrial competitiveness.
The federal government is preparing a new industrial roadmap aimed at strengthening Pakistan’s manufacturing sector by expanding cost-based incentives for small and medium enterprises (SMEs), improving exports, and encouraging the adoption of modern economic models.
The proposed roadmap was reviewed during a meeting chaired by Federal Minister for Economic Affairs Ahad Cheema.
The session was attended by Special Assistant to the Prime Minister on Industries and Production Haroon Akhtar Khan, Secretary Industries Saif Anjum, the Chief Executive Officer of the Small and Medium Enterprises Development Authority (SMEDA), and other senior officials.
During the briefing, officials presented the ministry’s strategic roadmap, ongoing initiatives, and proposed policy measures designed to improve the competitiveness of Pakistan’s industrial sector.
Discussions mainly focused on enabling SMEs to access international markets more effectively and increase their contribution to economic growth and exports.
Ahad Cheema stressed that Pakistan’s industrial sector must move beyond outdated protectionist policies and embrace modern economic models that promote productivity, efficiency, and sustainable development.
He said the government is pursuing an economic strategy based on national priorities while maintaining macroeconomic stability and ensuring policy consistency.
The minister noted that both SMEs and large-scale industries are gradually adopting modern business practices to improve competitiveness.
He reaffirmed the government’s commitment to supporting this transition through regulatory reforms, easier access to financial services, and stronger institutional assistance whenever required.
Highlighting Pakistan’s commitments under the International Monetary Fund (IMF) programme, Cheema said future industrial support would focus on cost-based incentives rather than profit-based benefits.
He explained that reducing production and operational costs would provide businesses with greater long-term competitiveness while remaining consistent with the country’s economic reform agenda.
He further stated that the government intends to prioritize direct support for SMEs instead of expanding Specialized Economic Zones (SEZs).
According to the minister, lowering the cost of doing business through regulatory facilitation and targeted incentives would help SMEs increase production, improve exports, and contribute more effectively to economic development.
Officials also informed the meeting that taxes on exports have already been reduced, while sector-specific industrial policies are in the final stages of preparation.
These measures are expected to improve industrial productivity, strengthen competitiveness, and create a more business-friendly environment.
Special Assistant Haroon Akhtar Khan informed participants that Chinese and several other international companies are showing growing interest in partnerships with Pakistan’s SMEs and large-scale industries.
In response, Ahad Cheema said the government, through the Special Investment Facilitation Council (SIFC) and other institutions, will continue facilitating foreign investment and promoting international collaborations.
The meeting also reviewed the development of key performance indicators (KPIs) to monitor industrial performance and evaluate the impact of foreign investment.
The minister emphasized that strengthening SMEs remains one of the most effective ways to boost Pakistan’s GDP and generate sustainable economic growth.
Cheema also directed authorities to conduct a comprehensive survey of informal SMEs and encourage them to become part of the documented economy.
He said formal registration would improve businesses’ access to financing, government incentives, and institutional support while strengthening the country’s industrial base.
Concluding the meeting, the minister announced that the government will soon introduce additional regulatory reforms and cost-based incentives linked to formal business registration.
He said these measures are intended to build a stronger, more competitive, and export-oriented industrial sector capable of supporting Pakistan’s long-term economic growth.