Absence of market map hampers SMEs development

CAIRO – 29 July 2017: The main problem facing small- and medium-sized enterprises (SMEs) in Egypt is the absence of a map that defines the market’s demands, President of the Association of Investors for Small and Medium enterprises (AISME) Alaa el-Sakty said on Saturday.

He said that this has resulted in random and duplicated activities for many projects.
Sakty said that he will present a comprehensive strategy to promote SMEs in the coming period that will include incentives to encourage and develop the sector, easing access to finance, addressing the problems facing SMEs and offering incentives for projects to encourage them integrate into the formal economy.

He said that the number of registered SMEs amounts to four million, adding that the same number applies to unregistered entities. He added that integrating those projects into the formal sector will strengthen Egypt’s economy.

In April, the government issued a decision to establish a new entity for SMEs that will be dedicated to support and help this vital sector.

Sakty said that the new entity aims to create a comprehensive system to promote SMEs and solve their problems, in addition to regulating and following-up on them.

Trade Minister Tarek Kabil said that some LE 6.9 billion were offered in funds to 344,000 small and micro projects, creating 458,000 jobs.