Kuala Lumpur: According to Deputy Entrepreneur Development and Cooperatives Minister Datuk Seri Ramanan Ramakrishnan, small and medium-sized enterprises from Malaysia are urged to enter the halal sector in Uzbekistan, which serves a population of more than 30 million, of which 96.1 % are Muslims.
Following a recent meeting with the country’s Deputy Minister of Economy and Finance, Ramanan highlighted opportunities in Uzbekistan’s halal sector, including cosmetics, pharmaceuticals, food and tourism.
“In Uzbekistan they have 400,000 SMEs compared to 1.1 million SMEs in Malaysia. But the important thing we have to take from there is that they have 96.1% Muslims. This is an Islamic nation. We can take advantage of that. This is a very, very big opportunity,” he told reporters at the Malaysian SME Resilience and Growth Conference 2025 today.
Ramanan stressed that Malaysian SMEs must consider the importance of environmental, social and governance (ESG) factors as well as the Sustainable Development Goals to succeed in international markets.
“The opportunity is there, but we must take advantage of it. To do this, small and medium-sized enterprises must meet global standards. “That’s why ESG is so important.”
On the implementation of the minimum wage policy starting this month, Ramanan admitted that SMEs may not be fully prepared for the transition.
“At present the preparation is moderate. Of course, they will never be ready. But this is a step to improve the country’s GDP (Gross Domestic Product) and give Malaysian workers the opportunity to receive wages that can improve their daily lives,” he said.
Ramanan said his ministry is providing support to ease the transition process for SMEs. “For example, SME Corp and the National Entrepreneurship Institute offer specialized training on how to manage finances, implement cost-cutting measures and increase savings, along with other types of support.”
The conference is jointly organized by KSI Strategic Institute for Asia Pacific, Economic Club of Kuala Lumpur and SME Association of Malaysia as a platform to discuss strategies and solutions to enhance the resilience and sustainability of Malaysian SMEs.
Its focus on sustainability and resilience comes at a critical juncture as SMEs, the backbone of Malaysia’s economy, grapple with challenges posed by global economic uncertainties, climate change and digital disruption.
The SME sector accounts for 97.4% of Malaysian businesses and contributes 37.4% to GDP, so the need for sustainable change is not only necessary but urgent.
Ramanan said the global business environment has been reshaped by the ongoing strategic competition between major powers, which is primarily manifesting in the regulatory and trade areas. “The need to deal with these complexities has become a critical aspect of maintaining business resilience and driving growth in today’s interconnected world.”
He said companies need to align with stringent global standards on sustainability, digital trade barriers and corporate governance to remain competitive and responsible on the global stage.
To meet the challenges of today’s world, the country must come together with innovative solutions and adopt technology like AI as a driver of entrepreneurial success, Ramanan said. “All entrepreneurs need to embrace innovation to improve productivity, venture into new business models and effectively address societal challenges.”
