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Small Enterprise Development in MACEDONIA

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<strong>Small</strong> <strong>Enterprise</strong> <strong>Development</strong><br />

Introduction<br />

The last few years have seen significant developments <strong>in</strong> the field of small<br />

and medium enterprise development <strong>in</strong> the former Yugoslav Republic of<br />

Macedonia.<br />

The <strong>in</strong>stitutional architecture for the support of the SME sector has taken shape<br />

<strong>in</strong> the form of the Department for Entrepreneurship and Competitiveness <strong>in</strong> the<br />

M<strong>in</strong>istry of Economy and the Agency for Entrepreneurship Support (APPRM),<br />

responsible respectively for def<strong>in</strong><strong>in</strong>g SME policies and their implementation.<br />

APPRM also coord<strong>in</strong>ates the SME support <strong>in</strong>frastructure, which consist of a<br />

wide spectrum of <strong>in</strong>stitutions – bus<strong>in</strong>ess centres, consultancies, <strong>in</strong>cubators,<br />

technology transfer centres, etc. – that offer services to small and medium<br />

enterprises on the local level. In addition, the recently established SME Forum<br />

provides a platform for dialogue and cooperation between the Government and<br />

private sector bus<strong>in</strong>ess organisations, and the wider civil society.<br />

On the policy level there have also been major developments. The country has<br />

atta<strong>in</strong>ed EU Candidate Country status <strong>in</strong> late 2005, and a new Government<br />

was elected <strong>in</strong> mid-2006 with a manifesto that focuses sharply on enterprise<br />

development and the promotion of foreign and domestic <strong>in</strong>vestment. This has<br />

decisively changed the nature of small enterprise policy, which <strong>in</strong> turn is reflected<br />

<strong>in</strong> the new SME Strategy 2007–2013 and the new SME Programme 2007–2010<br />

that have been adopted by the Government <strong>in</strong> early 2007.<br />

These changes, comb<strong>in</strong>ed with the need to provide <strong>in</strong>formation <strong>in</strong> a succ<strong>in</strong>ct<br />

and <strong>in</strong>formative manner, have led to the creation of the present publication. The<br />

brochure has been prepared with three target audiences <strong>in</strong> m<strong>in</strong>d:<br />

• Entrepreneurs want<strong>in</strong>g to ga<strong>in</strong> an overview of the situation of the SME<br />

sector;<br />

• Foreign bus<strong>in</strong>esspeople and visitors <strong>in</strong>terested <strong>in</strong> understand<strong>in</strong>g the SME<br />

structures <strong>in</strong> the country;<br />

• Donor agencies <strong>in</strong>terested <strong>in</strong> develop<strong>in</strong>g projects and programmes relevant<br />

to the local environment.<br />

The aim of the publication is to summarise the developments and challenges for<br />

the SME sector, list key stakeholders and projects, and present an overview of<br />

the regulatory environment and of the available support and f<strong>in</strong>anc<strong>in</strong>g schemes<br />

for SMEs. The approach of the authors was to provide a summary and quick<br />

overview of all major issues affect<strong>in</strong>g the SME sector, rather than detailed<br />

analyses of each dimension of SME development. However, each section<br />

9

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