Sri Lanka aims to boost SME export share to 12-15% by 2027

The local Small and Medium Enterprise (SME) sector will need to step up its efforts to tap international markets, as the government aims to increase its contribution to Sri Lanka’s exports to 12-15 percent over the next 2-3 years.

About 86 percent of Sri Lanka’s exports contribute less than 4.4 percent to the national export revenue. Despite accounting for half of the country’s GDP, the SME sector’s contribution to exports remains negligible.

“So, our government plans to increase the SME sector contribution to more than 12 to 15 percent in the next 2-3 years. That is why the new government is planning to scale up the medium category to the next level and the micro level to the medium level etc. So that is our plan. So, based on that, we are doing a lot of development activities, so we can increase our support to the SME sector,” said Export Development Board (EDB) Chairman Mangala Wijesinghe.

He shared these remarks while joining a panel discussion at the KPMG Budget Forum held in Colombo this Monday.

Under Budget 2025, the government has allocated a record Rs. 20 billion to support the SME sector. The government also plans to open new industrial zones in Mannar, KKS, and Trincomalee.

“Those are sector-wise specific industrial parks. So, based on that, we can promote sector by sector,” Wijesinghe added.

Under the five-year national export development plan, the government aims to increase merchandise exports to US$ 27 billion and service exports to US$8.5 billion. Exports as a percentage of GDP are targeted to increase to 25 percent within the same period.

Wijesinghe noted that the EDB, in particular, would focus on market surveys to identify markets.

“Market survey is very important. Through the market survey, we can identify what are potential markets to promote our products. Earlier, we were promoting the product first, but now we are going to identify the market situation. So, based on that, we have to align our product sector,” he added. (NF)

Source: Daily Mirror