Designation of June 27 as Micro, Small, and Medium sized Enterprises Day was decided upon by the United Nations General Assembly under resolution (A/RES/71/279). This day is celebrated to create awareness concerning the significant contributions of Micro, small and medium sized enterprises (MSME) to achieving the Sustainable Development Goals (SDG) of the United Nations (UN). Development of economies is driven by MSME and self-employed workers. Across the globe, they are accountable for 90 percent of all businesses, while providing two-thirds of employment.
With adequate support, they are capable of contributing massively to the structural transformation of economies, ensuring inclusive, equitable, and sustained economic growth and jobs. The global working environment for MSME and entrepreneurs have been disrupted by various recurring shocks and crises. These enterprises have also become vulnerable to growing inflation and disruptions in supply chain due to conflicts, geopolitical tensions, commodity dependence and pandemics which bring about social and political instability. However, women- and youth-owned enterprises are most vulnerable and usually at risk of external shocks.
Barriers & challenges impede growth of women & youths’ entrepreneurship.
There is an increasing percentage of the total number of businesses by women and youth across the world. Faced by restricted access to affordable financing, partnership networks, capacity-building support, and global markets, women and young entrepreneurs need assistance to sail through the various challenges that impedes their businesses’ growth on a regular basis. Therefore, there is a need for policies that empower capacities and support the development of MSME and entrepreneurship for women and young people. This will help with the removal of barriers and challenges.
Also, the policies should be implemented with provision of an operating environment to enable the growth of women- and youth-owned businesses. By doing so, a contribution is being made towards achievement of SDGs 1,4,5,8,9,10 and the pledge of the 2030 Agenda for Sustainable Development and its Sustainable Development Goals (SDG) — “leave no one behind”. Commemoration of this day has its focus on providing support for resilient supply chains for the benefit of workers and the environment.
A human-centered approach is needed to improve work conditions.
Supply chains are essential to global trade and commerce and can have their functioning easily impacted by conflicts, pandemics, and disasters. When this happens, there is an increase in costs and transactions become more difficult. Also, in international supply chains, suppliers can be pressured by competition and concentration of significant operations which makes them reduce costs to remain in business. Adverse outcomes are likewise expected when there is a poor working conditions, unfair wages, lack of attention to environmentally-sound practices, lack of workers’ representation, and unsafe working environments.
Therefore, there is a need for implementation of a human-centered approach for improvement of healthy work conditions. MSME and the communities they obliged to are usually affected by practices that cause environmental degradation and disrupt working conditions. Resultantly, it is necessary that policymakers and businesses collaborate to drive supply chains that are economically viable, and socially and environmentally. Celebration of the international MSME on June 27 every year, providing a chance to emphasize the role of MSME in sustainable development.
50 percent of global GDP is contributed by MSME.
Development of MSME is a priority for many governments across the globe because 600 million jobs will be needed for absorption of the increasing global workforce by 2030. Majority of the formal jobs in emerging markets are provided by MSME, creating 7 out of 10 employment opportunities. They are accountable for 60-70 percent of employment and 50 percent of Gross Domestic Product (GDP) worldwide. They are potentially capable of transforming economies, fostering job creation and promoting equitable economic growth.
Related Link
GCPIT: Website
UN International Day for MSME 2023 – MSME are accountable for 90 percent of all businesses, worldwide. – Express your point of view.
MSMEs play a significant role in local and global economies, and the UN International Day for MSME should be celebrated as a way to raise awareness about the contributions of these businesses. MSMEs are the backbone of economic development and offer opportunities for innovation, entrepreneurship, and job creation, making them an essential part of any healthy and thriving economy.
It is a nice thing there is international day for micro, small and medium enterprises. It shows they are recognized all over the world and people are being encouraged to engage in these businesses.
I think it’s great that there is an International Day for MSMEs, as these businesses play a critical role in driving economic growth and creating jobs around the world. It’s remarkable that MSMEs account for 90 percent of all businesses, which highlights their importance to the global economy. However, it’s important that we continue to support and invest in MSMEs, as they often face significant challenges such as limited access to finance, markets, and technology. By providing MSMEs with the necessary support and resources, we can help them to grow and thrive, which in turn can lead to broader economic development and poverty reduction.
UN International Day for MSME 2023, it’s excellent that there is an International Day for MSMEs because these companies are essential for job creation and economic progress globally. It is amazing that MSMEs make up 90% of all firms, indicating their significance to the worldwide economy.
The existence of an international day for micro, small, and medium-sized businesses is commendable. It demonstrates their global recognition and the encouragement given to people to start these firms
It’s great that there will be an International Day for MSMEs in 2023 because small businesses are crucial to job creation and global economic development. It is astounding that MSMEs account for most of all businesses, demonstrating their importance globally
UN International Day for MSME 2023. Very good to remember a day like this. The contribution and support from them has really go a long way for Africa
Celebrating the International Day for the Micro, small and medium sized enterprises (MSME) will bring to focus their significant and how they can work towards the growth and development of our economy. Recently, we have seen the effect of bad government policies on MSMEs and covid 19 issue and the global inflation. It will be okay if the government can create a thriving and friendly environment for the survival of every MSMEs.
Setting apart a day in a year in commemoration of the concerted effort of the Micro, small and medium sized enterprises (MSME) contributed to the growth and development of every nation is an important motion made by the UN. It will serve as a way of recognizing their presence in the global economy. However, the government of every country should endeavour to create a conducive atmosphere for businesses to thrive.
Having a designated day to celebrate MSMEs is a great idea. This demonstrates that they are well-known and appreciated globally, inspiring people to start their own firms.