The 'think small first' concept : a critical perspective of EU and Maltese SME policy

Abstract

This dissertation is divided into two sections. Section A provides a detailed analysis of EU policy for SMEs. Chapter one presents the reader with the administrative burdens faced by SMEs and explains what is being done at EU level to simplify the business environment. Chapter two provides the various financial instruments the EU has at its disposal for the development of SMEs and also includes a detailed analysis of the effect the euro will have on SMEs. The third chapter presents the various programmes and support measures the EU proposed in favour of SMEs. Section A concludes with a comparative analysis of European, American and Japanese SMEs, thus presenting a more refined picture of the way SMEs fare in the global context. Section B concentrates solely on Maltese SME policy. This section is made up of chapter five dealing primarily with the restructuring and liberalisation of the Maltese economy. It stresses upon the required changes for SMEs to be able to withstand greater competition once import levies are lifted from products entering the domestic market. Here reference is made to the banking sector in providing finance to SMEs and also to SME development in Malta's sister island, Gozo. The chapter provides the reader with an analysis of the 'SME-friendliness' of Maltese legislation and whether the Law is in line with EU norms as regards SMEs. This section concludes by taking a look at the local information market, such as the role played by certain corporations assisting Maltese SMEs.