By PROVIDENCE OBUH

A research has shown that one of the  challenges facing Small and Medium Enterprises (SMEs) in the country is high cost of doing business. The research conducted by the Association of Small and Medium Enterprises (ASME), states that high business costs amid manpower crunch is a top concern for SMEs.

ASME revealed that 86.6 per cent of respondents in a survey, said manpower was the top contributing factor for higher business costs, while 57.1 per cent cited rental costs and 48.2 per cent cited the foreign worker charges.

In addition, 84.6 per cent of respondents also predicted that their operational costs will increase in the next six months.

In its recommendation, ASME urged the government to develop a structured framework or curriculum that allows SMEs to work with higher education learning institutes in providing certification for students who have been employed by these companies for a certain duration.

“Schools and Institutions should recognise these certificates, giving credits to students should they choose to further their studies. Students from universities and polytechnics should be encouraged to join the workforce for work experience and to advance their career path.”