MSMEs need consistent policies to thrive —industry expert

Consistency in implementing policies is key to making micro, small and medium enterprises (MSMEs) thrive, an industry expert said Thursday.

Lothar Grad, general manager of Schletter Shanghai Solar Technology Co. Ltd., issued the statement during the Business Innovation Congress in Manila hosted by the European Chamber of Commerce in the Philippines.

“Aside from the experience and the know-how, there should be a high level of stability. MSMEs are very concerned of what would happen tomorrow. As such, the government should commit to providing the MSMEs the framework and network that they need to thrive,” Grad, who has worked with MSMEs in China and Germany, said.

“Stability in policy means there should be credibility in implementing it. There should be a follow through. There cannot be a deviation after five years or after a certain condition. There should be predictability,” Grad added.

Aside from tax breaks, Grad called for financial support to MSMEs as well as harmonizing the college curriculum with the needs of the labor market.

“The education available should match with what the industry needs so there is a smooth transition from the universities to the workforce,” he said.

“Engineers, for one, need not only have technical skills but also specialization capabilities to deal with complexity of machines and tooling,” Grad added.

He urged the government to take steps in keeping its best talents employed at home.

“The country’s young population is a strength. That is the foundation of growth. But the Philippines has been losing its intellectuals to other countries,” Grad said.

“We need to bring them back and keep the existing ones. These people go abroad not because they want to, but because they need to,” he added. —VDS, GMA News