One of the major targets is to transform the informal sector to become formal, and that requires a more generic approach that deals with the constraints hindering enterprises to being formal. Small and Medium enterprises form 99% from all enterprises and the majority of the informal sector, targeting those enterprises and creating an enabling environment for their survival is one of the Ministry’s goal. To reach this goal, the Ministry has an SME Development Unit associated with the Minster’s Office, and a Project that was done with CIDA to assist the GOE in setting a policy process that would ensure formulation of policies targeting the SME constraints.

 

The SME Unit

The SME Unit in the Ministry of Finance aim is to develop fiscal policies that will enable SMEs to join the formal sector. The work is done through a process that ensures participation of different actors in the field of SME development, in addition to reliance on best international practices, resulting in policies that address constraints faced by SMEs.

 

SMEPol Project

The Government of Canada and the Government of Egypt agreed on the establishment of a

“Small, Medium and Micro Enterprises Policy Development Project” (SMEPOL).

 

The project partners designated by the Government of Canada are: 

• The Canadian International Development Agency (CIDA)

• The International Development Research Center (IDRC), which in addition to its direct financial contribution to the project, acts as the Canadian Executing Agency (CEA)

 The projects partners designated by the Government of Egypt: 

• The Ministry of International Cooperation (MIC) as the Egyptian agency responsible for the implementation of the Memorandum of Understanding.

• The Ministry of Finance (MOF), designated to assume responsibility related to project implementation.