SME Policy Index: Latin America and the Caribbean 2024

The Institutional Framework assesses the level of development of key components regarded as essential building blocks of SME Policy, along with the adoption of good practices in policy design, implementation, monitoring, and evaluation. 

Regulations play a crucial role in facilitating the proper functioning of economies and societies, establishing the "rules of the game" for citizens, businesses, government, and civil society. This dimension assesses the operational environment for SMEs.

Access to Finance for SMEs encompasses the barriers and challenges confronted by small and medium-sized enterprises in obtaining resources to facilitate their growth and development. This dimension analyses the institutional framework supporting SMEs' access to essential financial services, vital for amplifying their productive activities and fostering growth.

Business development services for SMEs and for entrepreneurs, as well as measures to facilitate access to public procurement opportunities are important policy areas to foster enterprise creation, growth, and productivity. This dimension focuses on the diversity and availability of support services for SMEs, start-ups, and entrepreneurs, whether those services are articulated in national SME development strategies or plans where they exist, and the existence of measures to facilitate SME access to public procurement and provisions to ensure timely payments for SME suppliers to the state

Innovation plays a crucial role in driving productivity and competitiveness, yet numerous businesses, especially small and young enterprises, encounter barriers hindering the adoption and development of new technologies.

This dimension focuses on the presence of national policies, programmes, and institutions aimed at aiding SMEs and entrepreneurs in conceiving and implementing innovative business ideas.

Innovation plays a crucial role in driving productivity and competitiveness, yet numerous businesses, especially small and young enterprises, encounter barriers hindering the adoption and development of new technologies.

This dimension focuses on the presence of national policies, programmes, and institutions aimed at aiding SMEs and entrepreneurs in conceiving and implementing innovative business ideas.

Innovation plays a crucial role in driving productivity and competitiveness, yet numerous businesses, especially small and young enterprises, encounter barriers hindering the adoption and development of new technologies.

This dimension focuses on the presence of national policies, programmes, and institutions aimed at aiding SMEs and entrepreneurs in conceiving and implementing innovative business ideas.

Through digitalisation, SMEs can enhance operations, automate processes, and improve customer engagement, resulting in heightened productivity and competitiveness. Leveraging technologies like cloud computing, data analytics, and IoT devices allows SMEs to optimise supply chains, reduce costs, and compete effectively with larger enterprises, fostering innovation and improved performance. This new dimension assesses the state of selected framework conditions for the digital transformation.