In a “well-represented” stakeholder meeting with business organisations on Wednesday, development finance institution (DFI) Khula Enterprise Finance managed to drum up further support for its plans to better serve small and microenterprises (SMEs) in South Africa.

Last week, Khula announced plans to refocus its assets and relationships with other organisations to better serve SMEs.

Representatives from Business Unity South Africa, the South African Chamber of Commerce and Industry, the Johannesburg Chamber of Commerce and Industry, the Foundation for African Business and Consumer Services, the Cape Chamber, the Centre for Entrepreneurship at the Wits Business School, the National African Federated Chamber of Commerce, the Business Coalition South Africa, the South African Women Entrepreneurs Network, the Afrikaanse Handelsinstituut and Absa Bank, attended the forum on Wednesday.

Khula chairperson Malose Kekana told Engineering News Online that the stakeholders had shown “amazing support” and that the stakeholders had indicated that this was what was needed to change the SME development space.

It was agreed that there were many development programmes that were ongoing, but that this was too fragmented and the business sector had to combine their efforts.

Among the other aspects discussed, the stakeholders agreed that the finalisation of the Cooperative Bank Bill should be a priority.

Kekana explained that the SME development sector and partners could, if the Bill was approved, pool their financial resources in a cooperative bank to further assist SMEs.

The Bill was, however, not making much progress, he said.

Further, Khula said that the parties also felt that at least 10% of funds spent on broad-based black economic-empowerment (BBBEE) should go towards SME development.

Less than 1% of BBBEE funds were currently being used to assist the SME sector, said Kekana.

The DFI planned to also improve its collaboration with the Small Enterprise Development Agency.

Going forward, Khula would continue its discussions with other DFIs and government departments to support its aims.