Strategies of the Development of Entrepreneurship and SME

• Reviewing available sources of data on SME-s;• Introducing a system of SME performance indicators;• Developing sector/cluster based SME information systems and reporting; Estimating theproportion and numbers of firms operating in the informal sector;• Adopting international SME reporting standards; and• Preparing an annual report on the state of SMEs in Albania.Development of Human Resources – Priority tasks are to raise the level of knowledge ofentrepreneurship and improving the professional standards of business service providers by:• Introducing entrepreneurship into university and pre-university curricula;• Developing graduate enterprise programs and training;• Raising the professional standards of trainers and business consultants throughaccreditation;• Improving the quality of training and service products delivered to SMEs;• Increasing support for young people and women entrepreneurs.Financial Services - Priority: To improve SMEs access to credit and other financial servicesby:• Extending loan guarantee schemes;• Introducing new regional micro-credit schemes;• Improving the capacity of banks and non-bank financial institutions to offer SME creditservices;• Offering ‘softer’ lending conditions to priority sectors;• Extending leasing schemes for capital equipment purchasing;• Accelerating land registration procedures; and• Simplifying procedures for executing collateral.Legal, Taxation and Regulatory Framework – Priority: To reduce the taxation, legal andadministrative barriers constraining the development of SMEs by:• Simplifying business registration and licensing procedures based on best practices;• Increasing the member of businesses operating in the formal sector;• Minimizing the tax burden on SMEs;• Stabilizing the taxation environment; and• Conducting ongoing research on the effects of administrative, legal and tax barriers onSME development.Business Infrastructure and Technology – Priority: To improve the efficiency and quality ofinfrastructure, utilities and technology available to SME-s by:• Extending business and industrial parks;• Promoting the increased use of ICT in SMEs;• Supporting research and development centre;• Upgrading the technology used by SMEs;• Improving the availability of utilities for SMEs.Regional and Sector SME Development - Priority: To develop SMEs in the regions by:• Expanding SME projects in North-Eastern Albania;• Conducting regional/sector research and analysis.Donor Coordination - Priority: To maximize the efficiency of donor support by:• Coordinating donor activities through regular contacts to avoid duplication and overlap;• Holding regular donor coordination forums organized by the SME agency;• Encouraging donors to support projects in key SME priority areas.21