President Dr Mohamed Muizzu has said that the government will undertake further efforts to strengthen small businesses and help them become more resilient.
The President made the remarks while responding to concerns raised by members of the public during the 'Rayyithunge Adu' programme, which provides the public with an opportunity to meet the President, raise concerns and share their views.
In the fourth episode of Rayyithunge Adu, a business owner who met with the President raised concerns about the difficulties currently faced by small businesses. The entrepreneur, who has been providing bakery services in Haa Dhaalu, Haa Alif and Shaviyani atolls for around 10 years, noted that although global market prices for goods have increased, the prices of some products sold in the Maldives have remained unchanged. He said this was having an adverse impact on business profits.
He also highlighted the high costs these businesses face for fuel and electricity, as well as other challenges affecting businesses involved in food production. Among these, he said local businesses were being placed at a disadvantage when cheaper imported products similar to those produced locally entered the market. He noted that Maldivian businesses were unable to compete on price with imported products because they have to import raw materials in order to provide bakery services.
“Biscuits, bread and everything else are packaged. They are imported at zero tax. When it comes to raw materials and other costs, we cannot compete,” the business owner noted.
President Muizzu said he had listened to the concerns raised and assured that they would be taken into consideration.
The business owner also noted that the current administration was the most favourable government for small businesses, highlighting the availability of funding and the improved systems put in place to facilitate quotas for foreign workers.
President Dr Muizzu has expressed confidence that small businesses will progress further. Meanwhile, the Business Centre Corporation (BCC) is reviewing regulatory frameworks related to small businesses and working to introduce important reforms where necessary. Establishing a productive economy in line with the government’s digital policy is also one of the government’s key objectives.