Col Nakalema urges SMEs to pave their own path to growth
In a call to action, Col Edith Nakalema, the head of the State House Investors Protection Unit, emphasized the critical need for micro, small, and medium enterprises (MSMEs) to adopt strategic leadership and robust business structures, urging them to identify sustainable markets as a cornerstone for growth and transformation into larger enterprises.
Speaking as the chief guest at the Uganda Development Bank first cohort graduation of Enterprise Development Program, Nakalema, highlighted the indispensable role of strategic leadership in the evolution of MSMEs.
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Nakalema said that MSMEs remain stagnant not because of a lack of innovation or hard work, but because they haven't established the leadership and structures necessary for growth.
She pointed out that without a clear strategy and the ability to adapt to market demands, businesses risk falling into a cycle of limited growth, unable to scale or reach broader markets..
"Market hinders the progress of a business, you need to assess sustainable market for growth, but also leadership and a structured system help to identify how the business will grow, you should also build clear structures for good succession," Nakalema remarked.
Nakalema's message resonated with many in attendance, particularly as she outlined the steps necessary for MSMEs to transition from small-scale operations to larger, more impactful enterprises.
" Our commitment to supporting these businesses reflects our belief in their potential to drive economic transformation and create a lasting impact. We eagerly anticipate today's graduates' positive contributions to our economy. I commend UDB for undertaking this novel intervention that aligns with their mandate to spur the country's socio-economic development, now that you are trained how to manage businesses I know you will do better an grow Into large businesses, said Nakalema.
Gerald Kato Ssenyonyi, a commercial fish farmer and a graduate says he is ready to manufacture fish feed which is always imported and empower other fish farmers from the skills attained.
" We do not locally manufactured fish feeds, now I will be manufacturing them using peels and husks but also employ and empower over 5000 fish farmers, I will be providing solution based farming since I'm well equipped with industry knowledge to increase production," Ssenyonyi noted.
Linnet Akol, the CEO, at Krystal Ice limited revealed that lack of necessary tools like knowledge and technical resources has for long hinders productivity.
She is optimistic that she will be able to scale up her business with the necessary tools nows including access to finance.
According to the research from the International Labour Organisation, Uganda has over 1.1 million micro, small and medium enterprises which contribute 80% to the national GDP.
However, they have been affected by limited access to finance, market and information gap among others hindered their potential growth.
Nakalema further revealed that of the factors that hinder business growth, 42% are energy related challenges, 38% are tax related challenges adding that MSMEs rely on informal sources for financial assistance.
She concluded by calling for easy access to finances and capital needs
