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Introduction
NATIONAL
CONTRIBUTION REPORT
Beyond Short-
Term Profits
Nurturing People
Process Excellence
& Governance
Planet & Society
Our Associates
NATIONAL CONTRIBUTION REPORT 77
Axiata Group Berhad | Sustainability & National Contribution Report 2016
Small- and Medium-sized Enterprises (SMEs)
The SME sector has been identified as an important strategic sector in the Government’s
overall policy objectives. Under the National Human Resources and Employment Policy,
ICT is considered necessary to empower SMEs to network and improve efficiency and
productivity of their business. The use of ICT helps SMEs access technology, infrastructure
and funding.
SME growth as driver of economy
75% 45% 52%
of all businesses
of employment
of GDP
SMEs constitute a large part of Sri Lanka’s
economy, accounting for 75% of all
businesses, providing 45% of employment
and 52% of GDP.
Under the national development plan
Mahinda Chintana Socio Economic
Development Strategy 2010, growth of
SMEs has been identified as a key thrust
area for the next decade. The Government
has implemented an SME Policy Framework
to reduce transaction costs and improve
the ease of doing business for SMEs.
The Sri Lanka Association of Software and
Service Companies has begun “Startup Sri
Lanka” to launch 1,000 start ups by 2022.
(ii) Establishing a strong network
between SMEs and technology
providers
and
strengthening
technology transfer programmes;
(iii) Establishing a technology bank
for collecting and disseminating
information on technology resources
and strengthening training centres to
enhance the skills of entrepreneurs.
In partnership with the International
Finance Corporation (IFC), Dialog launched
the SME Toolkit, an online resource that
provides training and management tools
to help SMEs strengthen productivity and
gain access to new markets.
Dialog’s investments in Sri Lanka represent
14% of FDI in the country over the past
decade, with significant investments
towards the development of world-class
ICT infrastructure supporting growth in
mobile, fibre optics, high speed broadband
and digital television technologies. This
includes investments of over Rs. 1 billion
annually in the community to uplift
education, health, sports and other social
and community development activity. The
company’s philosophy is to bring digital
empowerment to every citizen by making
advanced ICT services available and
affordable to all.
The International Trade Centre analysed
SME performance in Sri Lanka and found
that the weak use of email and websites
by SMEs was responsible for the country’s
poor performance under the “connectivity”
pillar of competitiveness.
The Government of Sri Lanka wants to
improve SMEs’ access to appropriate and
affordable modern technology. Some key
strategies include:
(i) Establishing a Technology Transfer
and Development Fund with relevant
incentives to support the acquisition
of modern, clean technology for SMEs;
Source: Performance Report – 2015, Department of Development Finance
NATIONAL CONTRIBUTION
REPORT