This paper is on the design of a paper slitting and rewinding machine for a developing economy which targets small to medium enterprises (SMEs). The current problem is the high cost of such machines on the market hence most SMEs in a developing economy cannot afford them. Through careful analysis of current machines, use of alternative cheaper materials and use of more energy efficient drive mechanisms, it was possible to come up with a low cost and efficient solution. Research on the paper slitting and rewinding industry was conducted on the internet, published scholarly articles and industrial visits to local companies in the same business. The implementation of this design has major positive benefits to the development of the economy.