APEC MINISTERS TARGET GROWTH OF SMES

Gifu, Japan, 4 October, 2010 - In a joint statement issued yesterday, APEC Ministers responsible for Small and Medium Sized Enterprises (SMEs) target the challenges of fostering long-term growth following the global economic crisis.

Following two-days of discussions, the ministers released the statement containing recommendations for Leaders to guide the development of policy for SMEs in their respective economies.

Ministers considered the impact of the global financial crisis on SMEs and the emergency stimulus responses by APEC member economies, concluding that "overall, economic growth of SMEs in the APEC region is back on track”.

The statement discussed development of SMEs over the next few years and noted that looking forward to 2020, efforts to enhance development should focus on improving their access to global markets and increasing their participation in high-growth sectors, such as in the green, medical and healthcare industries.

Ministers said that efforts could include the following and agreed to call the first three efforts the "Gifu Initiative":

- Supporting SMEs to take advantage of each locality's domestic and regional resources to develop high value-added products, and to sell to the global marketplace

- Promoting exhibitions and trade shows in the region that are open to the Asia-Pacific region's SMEs

- Supporting SMEs to expand and strengthen networking by launching international internship and exchange programmes

- Strengthening assistance for human resources development, innovation, business change, productivity improvement, and entrepreneurship

- Developing a coordinated approach between SME- and related agencies to implement measures aimed at improving access to finance, capability building and the legal system

"We, the Small and Medium Enterprises Ministers, aim to generate dynamic and diverse SMEs in the Asia-Pacific region, from micro to mid-sized enterprises, in industries that support the basics of everyday life through to those developing and employing the most advanced technologies," the statement said.

The statement is a result of the 17th APEC Small and Medium Enterprises Ministerial Meeting in Gifu, Japan which was held under the theme "Strategy for Reinvigorating Economic Growth with Dual Engine: SME and Asia-Pacific Economy”.

Ministers recognized that continuing to support the development of SMEs was an important component of APEC's new growth strategy, which will be formulated by Leaders in Yokohama in November.

The strategy supports "high quality growth" including the attribute of inclusiveness, which aims to spread the benefits to wider sections of the community, and innovation. Enhancing SMEs is therefore crucial for APEC, given that they account for around 90 percent of all businesses in the Asia-Pacific region and employ as much as 60 percent of its work force

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