• Efimija Dimovska FON University - Skopje Faculty of Economics
Keywords: access to finance, SMEs, banking sector, government intervention


The starting point of the research is the wide accepted evidence that the SME sector is one of the most important drivers of the economy in each country. In addition, many studies and research have concluded that access to finance remains to be a major concern and main obstacle for SMEs growth and development in developing countries. Bank loans are the main source of external financing of SMEs almost in all countries in the region, however, there are many factors as higher administrative costs and risks involved in lending to SMEs that reduce banks’ willingness to lend to them. Therefore, many governments have acknowledged the importance of implementing various policies and programs aimed to support SMEs and their development, particularly in the time of global financial crises. However, the Government policies regarding this issue should be based on detail analysis of both, supply and demand side. The aim of this research is to provide an assessment of SME financing from the “supply side†i.e. from the banks’ viewpoint. The method used for the research is a questionnairebased survey on five selected banks in Macedonia and on-site interviews with bank’s officials.


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