The advancement of small and medium enterprises sector(SMEs),
activating its developmental role in general, and its role in employment in
particular, is considered an important goal for most countries of the world,
whereas many economists believe
that the development of SMEs, and
encouraging its establishment is one of the most important tributaries of the
economic and social development.
This research clarifies the concept of SMEs in Syria, its economic
importance and studies its contribution in the national economy in Syria.
This research clarifies the concept of small and medium enterprises (SMEs), its
economic importance and studies the contribution of conventional banks in the financing,
and the issues that prevent the arrival of the required funding to those facili
ties. Whereas
many economists believe that the development of SMEs and encouraging its establishment
is one of the most important tributaries of the economic and social development. It
considers as a basic starting point to increase production capacity on the one hand, and to
contribute solving the problems of poverty and unemployment on the other hand.
Therefore, many countries increase its interests in these enterprises, and provided them
with help and assistance in various ways, according to available possibilities. The most
important findings of the research:
-There is a strong positive correlation between the size of the traditional public and
private credit facility banking granted to SMEs and GDP.
-These facilities contribute by an important proportion in employment and foreign
trade to the national economy.
-These facilities share form a small percentage of the total volume of credit facilities
granted by existed conventional banks, public and private.
The research found several proposals, including:
-To increase SMEs' access to various financing instruments in the market, in addition
to develop and evaluate the effectiveness and the size of the funding mechanisms provided
by the financial institutions, and to develop the operation system of local banks so that the
system becomes more flexible,
-To adopt a national standard definition of small and medium enterprises.
- To advance the business environment of SMEs, which by consequence contributes
in promoting and supporting its role in the national economy.
