Qatar’s diversification is driven by SMEs
06/12/20
It is a consensus that small and medium-sized enterprises (SMEs) are the foundation of national economies in developed countries around the world.
Small and medium-sized enterprises (SMEs) are at the forefront in the diversification of the economy of the State of Qatar. They are playing an important role in the development of the country.
More than 96 percent of the 25,000 businesses in the private sector currently registered in the country are classified as SMEs. It is anticipated that local firms could supply up to 90 percent of goods required for public projects in the future.
Banks actively promote the development of SMEs in the State of Qatar with their programmes including Qatar Development Bank`s (QDB) ‘Al-Dhameen’ and ‘Tatweer’. The implementation of these programmes is supported by local banks.
The most significant effects of Covid-9 are the substantial reduction in business, disruption of supply chains and issues in terms of liquidity due to a low economic activity. The local banks collaborate and cooperate with QDB in the National Response Guarantee Program for participants in the private sector.
In response to Covid-19 it has been recommended to evaluate the damages to the business, consider the financial and non-financial plans, explore new revenue streams, evaluate the cost structure, reactivate the relations with stakeholders in the value-chain and create an emergency plan for the next crisis.
In consideration of the impact of Covid-19, it has to be pointed out that SME`s have played a very important role in the recovery from crisis in a historical context.
Please click on the link and reach out to learn more about the relevant initiatives for SMEs in the State of Qatar and Business Start Up Qatar.
