SME sector: Issues in financing, productivity, employment, skills and training

In addition to its work on formal manufacturing, IGC Tanzania is supporting work led by Margaret McMillan on analysis of firm level data in small and medium manufacturing. Early results of this work suggest that there is a significant “in between” sector of small manufacturing firms in Tanzania with productivity levels that exceed those found in some formal manufacturing activities. The results pose important questions for the design of SME policies. Further firm level research would be welcome, as would proposals for impact evaluations of policy interventions in SME finance and training.