OVERVIEW OF THE EU SME POLICY Multicountry seminar on SME development policies Budapest, 30 November, 2005 Maarit Nyman European Commission DG Enterprise and Industry

SMEs do matter in the EU… EU 25  450 mio habitants  23 mio SMEs  Largest Integrated Market in the world SMEs provide  75 mio jobs  2/3 of total private employment  Average size: 6 persons

but they face many challenges  Legislative and administrative burden  Entering new markets  Accessing research and innovation  Accessing networks, financing  Sustainable development

Who should take action in favour of SMEs?  Member States retain the main competence in SME policy (importance of regional and local level)  The Community policies and actions support and complement national level actions.

What is the European Commission’s role? (1)  To coordinate Member States’ actions  Exchange of information  Identification of best practices  Implementation and monitoring  To analyse SMEs’ performance, work on common indicators  SME Observatory,Enterprise scoreboard

What is the European Commission’s role? (2)  To elaborate SME policy initiatives The Communication on Modern SME policy for Growth and Employment. The Communication on Modern SME policy for Growth and Employment.  Provide support to SMEs  Using Enterprise DG instruments (financial instruments, networks)  Through other EU policies

The EU SME policy implements the Partnership for Growth and Employment  The Lisbon agenda revisited to achieve more and better jobs and sustainable growth.  Partnership between the Commission and the Member States.  SMEs have a key role in achieving the goals set.

The Communication on Modern SME policy for Growth and Employment  Adopted by the Commission on 10 November.  Sets the framework for EU SME policy actions for the coming years.  Translates the renewed Lisbon strategy into concrete actions in favour of SMEs.

What are our objectives…  To integrate SMEs in the Partnership for Growth and Employment.  To create a coherent framework for SME policy instruments.  To trigger changes in the way SMEs are considered in policy-making and by public opinion.

and what is our approach to achieve them?  Comprehensive: strengthen the SME dimension within Community policies (‘Think Small First’).  Inclusive: all types of SMEs matter.  Pragmatic: partnership with Member States, better involvement of all stakeholders.

What action do we propose?  Promoting entrepreneurship and skills.  Improving SMEs’ access to markets.  Cutting red tape.  Improving SMEs’ growth potential.  Strengthening dialogue and consultation with stakeholders.

What are our means?  The Multiannual programme for Enterprise and Entrepreneurship (MAP) budget in  The Competitiveness and Innovation framework Programme budget in  Other Community instruments, like structural funds or rural development fund, will provide a considerable source of funding.  The Commission’s SME Envoy has a key role as a ‘watchdog’ for SMEs’ interests.

Next steps  The implementation of policy has already started – Lisbon cycle, communication actions, promotion of entrepreneurship.  An annual high-level conference will be organised to review progress achieved and to discuss future action.

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