Concept Note

In fiscal year (FY)23, Pakistan’s economy is expected to remain in a low-growth zone with double digit inflation. Post-Covid pressures, commodity super cycle, rise in global input prices, and recent floods have meant that the commodity producing sectors are now faced with uncertain future and demand. Its impact on micro, small and medium enterprises (MSMEs), leads to implications for employment and welfare. SDPI in collaboration with IDRC has attempted to assess the impact of recent crises on the performance and recovery of MSMEs. Using

a firm-level survey we study challenges and risks amid testing times. Second objective is to study how effective has been the government’s response and what were the structural and administrative barriers that may have limited the effectiveness of stimulus package during Covid-19? Report offers lessons on how design of fiscal stimulus could be improved. Lastly, we note key risks to MSMEs during ongoing and next fiscal year. The data to analyze the impact of COVID-19 on MSMEs is taken from the survey conducted by Sustainable Development Policy Institute (SDPI) in 2021, titled “Damage Need Assessment of MSMEs Amid COVID-19”. In view of the above-mentioned SDPI is hosting a launch of the report and inviting distinguished panelists to discuss:

a. Impact of Covid-19 and similar shocks (including floods) on performance of MSMEs

b. Effectiveness of government support to MSMEs and uptake

c. Impact of crises on cross border trade and how it affects the survival of MSMEs

d. Constraints being faced by businesses in raising capital, dealing with taxes, and other regulatory measures

e. Scope of e-commerce and digital initiatives to support MSMEs during testing times f. Outlook of firm productivity in the ongoing and next fiscal year.

Programme Welcome Remarks: Dr. Arjan De. Haan, IDRC

Presentation on Report: Dr. Vaqar Ahmed, SDPI

Distinguished Panelist: 

Dr. Aadil Nakhuda, Institute of Business Administration (IBA)

Ms. Nadia J. Seth, SMEDA, Government of Pakistan

Ms. Kiran Afzal, World Bank Group

Ms. Izzah Shahbaz, Karandaaz Capital

Ms. Salwa Akhtar, TiE Islamabad

Panel Organizer: Maaz Javed, SDPI