Crossing paths in Land of the Tsars

THESE thoughts are penned as l am in between meetings of the Apec SME Working Group and Ministerial Meetings at St Petersburg. At these meetings, the Apec (Asia-Pacific Economic Cooperation) member economies convene to discuss various issues as well as share best practices on SME development and most importantly, enhancing the sustainability of SMEs across regions.

Source from (Business Times): http://www.btimes.com.my/Current_News/BTIMES/articles/20120805233156/Article/index_html
Published: August 06, 2012

Spending my second week of Ramadhan at St Petersburg is an experience I will never forget. I have to admit that my stay here has caused my biological clock to run beserk! Additionally, my iman and taqwa were put to test because Imsak, or the time when the fast begins before Fajr prayer here is at 3.30am, and Iftar — the first meal eaten by Muslims after sunset is at 10.30pm! But above all, how can I not miss indulging on the usual spread we have back home during Iftar as my menu selection at the Land of Tsars was confined to instant noodles, instant sambal tumis and kari ayam Adabi with a few slices of bread.

This is the time that I truly get to taste our best SME products like Aliff Sambal Tumis and Kari Ayam Adabi and a few others.

It’s really practical at crucial times like this.

I would say that through attending international meetings such as this and travelling the world, l am able to understand better the earth’s movements as well as the effects of the sun at the tropics, which determines the length of day and night, etc.

Even at midnight here, one can still see streaks of red light over the horizon as Isha’ is only at 12.30am. Soon after I finished having my first meal of the day at almost midnight, l am left with not much space in my tummy for the pre-dawn meal or sahur. Then, as the clock strikes 3.30am my routine gets back to normal again as I patiently wait for 19 hours till I get to eat my next meal.

Despite the challenges faced, I must thank the Al-mighty for giving me the strength and patience to go through His test, for which l hope to pass with flying colours.

Despite the cultural gap, participation at international meetings like Apec allow people from different countries, race, faith and ethnicities to interact and be tolerant of each other’s sensitivities.

I am pleasantly surprised that the Russian organisers even prepared a Musolla for the Muslims at the meeting venue. Later l found out that there is a Muslim population and two mosques here at St Petersburg.

I had the chance to visit the beautiful quaint little blue mosque just before Iftar, but I was disappointed at how pathetic the state of the mosque was, as it was dimly litted and there was only a sprinkling of jemaah getting ready for iftar.

Anyway, at an international fora such as Apec meetings, a number of initiatives and experiences across the Asia-Pacific region were discussed. For example, there is a consensus among member economies that establishing a business is relatively easy, however, ensuring its sustainability is indeed a challenge.

To survive in a completely unusual business environment today demands entrepreneurs to have creative and innovative minds.

To ensure that the right business eco-system is created and to facilitate transformation of SMEs towards an innovation-led, productivity-driven high-income economy, a dedicated programme to address SMEs’ early financing needs has been formulated.

The SME Investment Programme (SIP), which is the third High Impact Programme (HIP 3) outlined in the SME Masterplan, enables SMEs to cross path with potential investors. This programme is intended to bridge the gap between entrepreneurs’ need for capital and traditional sources of financing.

What we hope to achieve in SIP is to partner with licensed, private-owned and managed investment companies and make a long-term capital investment with them. Once capitalised, the licensed investment companies will be allowed to invest in potential Malaysian small and medium businesses.

The type of funding provided by these firms could be in a form of equity, debt or a hybrid of both. They will be guided by a minimum target debt investment so as to benefit SMEs.

Under this programme, there will be a minimum holding period of the investment company of its SME investee. Essentially, this programme will assist SMEs to expand and grow in a broad spectrum of sectors, be it in the manufacturing, services or agriculture.

In the US, a similar programme to SIP, called the Small Business Investment Company (SBIC) Programme, has been created. The programme, which provided early stage financing, has assisted many small businesses to grow big and successful.

In fact, you and l know these companies ... it include among others, Apple, Hewlett Packard and Federal Express, just to name a few.

For your information, the HIPs in the SME Masterplan will be rolled out in phases throughout the Plan period of 2012-2020. I was pleasantly surprised that shortly after the article on Technology Commercialisation Platform (TCP), published last week, a few SMEs paid a visit to our One Referral Centre (ORC) enquiring on how to get on board the TCP programme. Not to worry ... we will constantly post updates once the HIPs are fully implemented.

Meanwhile, wishing the Muslims a blessed Ramadhan and for the rest, enjoy the spread of delicious dishes available during this holy month. Honestly, l can’t wait to be home. How very true when John Ed Pearce said “home is a place you grow up wanting to leave, and growing old wanting to get back to!”

Datuk Hafsah Hashim is the chief executive officer of Small and Medium Enterprises Corporation Malaysia (SME Corp Malaysia)