Small and medium enterprises (SMEs) account for 52.3% of exports generated by the Maltese economy, a considerable increase over 2009 figures where SMEs had only generated 32.6% of exports., Parliamentary Secretary Ian Borg said today.

Moreover, the contribution of Maltese SMEs towards the generation of gross value added (GVA) at 64.5% in 2012 is more significant than the average recorded in the EU-27 which stood at 58.1% for the same year.

Addressing the addressed the fi-Compass seminar organized by the planning & Priorities Coordination Division (PPCD) held this morning, Dr Borg said this clearly portrays the significant impact that micro and small enterprises have got on the local economic scenario, thus spurring the need for further assistance to SMEs in Malta, said Parliamentary Secretary Borg.

The SME Initiative scheme will combine different instruments, namely ERDF and Horizon 2020, and will cover 80% of the losses from the banks’ portfolios, hence providing them the increased liquidity with which they could provide lending to “riskier” SMEs (such as start-ups and innovative SMEs) with reduced collateral requirements and reduced pricing.

Parliamentary Secretary Borg encouraged the SMEs to provide higher standards in their operations, foster entrepreneurship as well as enhance employment opportunities within the labour market.