The Effectiveness of selected financial inclusion strategies

Innovative financing for sustainable small and medium enterprises in Africa; 2007 meeting report p.6; International workshop, Geneva; Switzerland revealed that: In many emerging markets, the SME sector is one of the principal driving forces for economic growth and job creation. And this holds particularly true for many African countries where SMEs and the informal sector represent over 90% of businesses, contribute to over 50% of GDP, and account for about 63% of employment in low income countries. Despite these opportunities, SMEs in Africa face many obstacles including corrupt governance structures, unfavorable macroeconomic environment, debilitating physical infrastructure, and administrative challenges. However, inadequate access to financing continues to be one of the most significant impediments to creation, survival, and growth of SMEs in Africa.