Viewpoints on Government Supports to Micro and Small Enterprises (MSEs)

Abstract

Micro and Small Enterprises (MSEs) have dual roles in a nation`s economy i.e., poverty alleviation and growth. For this reason, developing countries have implemented a variety of support packages that will enable them to manage growth stagnation and harness its potential as an engine for economic growth. The purpose of this study is to identify  the criteria designed to  deliver the support, examine whether there exist well-established system to managed incentives, especially for working premises and product display Centre, evaluate how effective is the support system in solving marketing and related problems of the enterprises  and finally based on findings, point out the implications for the problems. Data source for the study area statistical abstract which was compiled at the ministry of urban development, housing and construction, central statistics agency as well as sectorial reports Ababa city administration.  Moreover, policy and strategy document had been reviewed to grasp relevant practical information on the issues. The research type which applied in this study is evaluation research which focuses to answer how effective a particular program, policy in attaining its intended objectives. The findings confirm that resource allocation for the sector overall supports indicates significant improvements.  Nevertheless, there exhibited significant problems in resource administration which required an effective monitoring and evaluation system.

Keywords: Incentives; Working Premises; MSEs; Government Support, Market Linkage