SME’s Development in Yemen

SMEPS case

Ahmed Abdulbari Ali

01/11/2016
• Population: 23,835,000
• 48% of population being under
age 15
• High unemployment rate
• Crisis period

2
 Introduction to SMEs:
• There are only two survey that focus on the
size and characteristic of the SMEs:
• First Industry survey
• MSE Baseline survey
• The definition is based of the number of the
employees
• Small Enterprise: 1-4 employees
• Medium Enterprise: 5-50 employees

3
 Nearly 99% of all recorded
private enterprises are SMEs…

• 28 sub-sectors
• %70 concentrated in 9 sub-sectors
– (retail trade, taxis and other road transport,
small telecoms bureaux, restaurants, etc.)

4
 Hesitation to diversify into new sub-
sectors…

• The reasons seem to be:

– Technical confidence and skills;
– lack of strategies to adopt new
product/service lines;
– and poor marketing skills.

5
 Quite limited actual policy and
practical improvements…

• The National Strategy for SME’s

Market Driven Approach

Diversification and Growth

 The Strategy Interventions…

• Upgrading training courses for SMEs

• Exposure-visits and study-tours for small
entrepreneurs
• Sub-sectoral and value chain studies
• Technical advisory services
• Entrepreneurship education
Focused Intervention led to Policy
change…
Thank You…