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Government policies to help SMEs grow stronger: premier

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Small and medium-sized enterprises (SMEs) have played a major role in Taiwan's economic development, and the government will continue to promote important policies to help SMEs stay strong and sturdy, Premier Jiang Yi-huah affirmed today.

The progress of the national economy over the years has owed much to the proactive counsel of the National Association of Small & Medium Enterprises ROC (NASME) and leaders in various lines of businesses, as their recommendation have allowed the government to better administer economic affairs, Jiang said.

The premier made these remarks while addressing the 1st Member Assembly of the 13th NASME and the 6th National Small and Medium Enterprise Foundation (SMEF) Award Presentation today.

Jiang pointed out that Taiwan is an economic body comprised chiefly of SMEs: 97 percent of all companies are SMEs, and they provide jobs for 8.48 million people, about 78 percent of all workers. This demonstrates that SMEs are a force of social stability, he stated.

Besides promoting major policies such as the creation of free economic pilot zones and entry into global and regional economic organizations, the government has assisted SMEs by creating the Go Incubation Board for Startup and Acceleration Firms on January 3, Jiang emphasized. The board is expected to contain listings from 70 companies by end of this year. An angel fund for startups has also been established.

Moreover, in order to encourage SME entrepreneurs to share the fruits of economic growth with their employees, the Executive Yuan has approved an amendment to Article 36-2 of the Act for Development of Small and Medium Enterprises that would offer tax breaks to SMEs that raise salaries for their entry-level workers. (The amendment has been sent to the Legislature for consideration.) The government expects all these policies will help achieve better economic results, the premier affirmed.

Jiang personally conferred the National SMEF Awards and expressed his acknowledgement and respect for the five recipients: Executive Director Liu Wei-chi of the Chinese Management Association, former Minister Ho Mei-yueh of the Council for Economic Planning and Development (precursor to the present National Development Council), Chairman Wu Soushan of Taiwan's GreTai Securities Market, Legislator Lee Ying-yuan, and Vice President and Editor-in-Chief Yang Ma-li of the Global Views Monthly. The premier also thanked NASME for its efforts and contributions over the 40-some years it has served as a bridge between SMEs and the government.
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