Govt reviewing MSMEs bill to straighten sector

Muchinga Province Deputy Permanent Secretary Brian Sichande has bemoaned the lack of a dedicated legal framework tailored to address existing gaps in the Micro Small and Medium Enterprises (MSMEs) sector. Mr Sichande however stated that the government through the Ministry of…

Muchinga Province Deputy Permanent Secretary Brian Sichande has bemoaned the lack of a dedicated legal framework tailored to address existing gaps in the Micro Small and Medium Enterprises (MSMEs) sector.

Mr Sichande however stated that the government through the Ministry of Small and Medium Enterprise Development is in the process of reviewing the MSME Bill stating that if enacted into law it will help address identified gaps and issues affecting the sector.

He made these remarks when he officiated at the stakeholder consultation meeting held at the Provincial administration boardroom in Chinsali district to review the draft Micro Small and Medium Enterprise (MSME) Bill.

Mr Sichande said the absence of such legislation has resulted in inconsistencies in the definition and classification of MSMEs, fragmented support mechanisms, weak institutional coordination, limited access to finance, and the lack of a comprehensive framework to guide enterprise growth, formalization and competitiveness.

He said in order to come up with a dedicated legal framework tailored to support MSMESs, the Government has embarked on the process of developing a dedicated MSME Bill that will provide a robust legal and institutional framework for the growth and development of the sector.

Mr Sichande pointed out that the review of the MSME Bill is a critical milestone in the legislative development process.

He explained that the review will give an opportunity for the Government, the private sector, development partners, academia, civil society and MSME operators to collectively interrogate the draft provisions and ensure the final Bill is responsive, practical and reflective of the realities of the sector.

“Drawing from these reviews, the Ministry has prepared a Draft Layman’s Bill which serves as the foundation document for today’s stakeholder consultations. We are confident that this draft captures many of the issues affecting the sector; however, we equally recognise that it can only be strengthened through broad-based stakeholder input,” he said.

Mr Sichande emphasized that the Ministry highly values the expertise and perspectives of stakeholders and does not regard the consultation as a mere formality.

“I therefore earnestly appeal to all stakeholders present to freely and openly share their views, concerns, proposals and recommendations. No contribution is too small, and every perspective matters in shaping a law that will serve the nation effectively,” he said.

He reaffirmed the government’s commitment to a transparent, inclusive and participatory legislative process, aimed at developing a comprehensive legal framework capable of unlocking the full potential of MSMEs as engines of economic growth and sustainable development.

Muchinga Province Small and Medium Enterprise Principal Cooperative and Entrepreneurship Development Officer Maxwell Maluma has described the draft Micro, Small and Medium Enterprises (MSME) Bill as progressive and timely.

Mr Maluma said the proposed legislation will help address long-standing challenges faced by small businesses in Zambia.

“I feel the Bill is progressive and it will really help the SMEs and the Government to grow. It will be able to foster growth of our SMEs so that they graduate and even become multinational companies,” he said.

In a vote of thanks Mutale Ndoki a stakeholder said after being consulted on the MSME Bill, stakeholders now understand that the Bill is meant to empower the people of Zambia.

“On behalf of Small and Medium Enterprises I would like to appreciate the Government for taking an inclusive approach to ensure that stakeholders participate in this legal framework process,” he said

Earlier, officers from the Ministry of Small and Medium Enterprise led by Acting Director Planning and Information Janet Simumba paid a courtesy call on Muchinga Province Deputy Permanent Secretary Brian Sichande.

Ms Simumba said currently different pieces of legislation define SMEs differently and there is need for SMEs to formalize, saying the draft MSME looks into resolving such issues among others.