OAS MSME Newsletter: ( April 2024):
This OAS MSME Newsletter is published by the Department of Economic Development of the Executive Secretariat for Integral Development (SEDI). It is dedicated to measures recently announced by OAS Member States to drive the economic recovery of micro, small and medium-sized enterprises (MSMEs). The policy responses vary from country to country and are specific to the economic circumstances of each Member State. Given that every day produces new developments, this inventory is in no way exhaustive.
New regulatory scheme of incentives for financing MSMEs
The BCRA launched an incentive system to promote financing for MSMEs, effective as of April 2024. This system, called the “Minimum MSME Quota”, simplifies incentives through lower cash reserve requirements for financial institutions that allocate a specific percentage of their loans to MSMEs.
The National Government announced the new maximum billing amounts for MSMEs
The Argentine Government, through the Secretariat of Industry and Productive Development of the Ministry of Economy, announced the update of the maximum billing amounts for MSMEs. This change ensures that they continue to enjoy the benefits of the MSME certificate, such as tax and social advantages, guarantees from Mutual Guarantee Societies (SGRs), among others. This measure affects 1,758,722 entities, allowing them to preserve their classification in the face of inflation, based on annual sales volume adjustments that reflect the price evolution of the last year.
New parameters for categorization of MSMEs
The Secretariat of Industry and Productive Development of the Ministry of Economy of Argentina updated the criteria for the categorization of MSMEs through Resolution No. 30/2024, published in the Official Gazette on April 3, 2024. The new parameters define the limits of total annual sales, the number of staff employed, and the value of assets so that companies can register and access the benefits of the SME Certificate.
International cooperation to strengthen the competitiveness of SMEs
The objective of the initiative led by the National Institute of Industrial Technology (INTI)addresses international cooperation efforts aimed at improving the competitiveness of SMEs in Argentina. It highlights agreements and initiatives established to support SMEs through technical assistance, training and market access. The focus is on strengthening the capacities of SMEs to thrive in both national and international markets, thus contributing to the country’s economic development.
CAME in Brazil: meeting with Sebrae to empower SMEs
A meeting was held between representatives of the Argentine Confederation of Medium-sized Enterprises (CAME) and the Brazilian Support Service for Micro and Small Enterprises (SEBRAE) with the aim of strengthening support for small and medium-sized enterprises (SMEs). Cooperation and collaboration initiatives between the two organizations to enhance the development and competitiveness of SMEs in Argentina and Brazil were discussed.
Sebrae/ES will invest R$80 million to train entrepreneurs in the tourism sector in the coming years.
SEBRAE in Espírito Santo, Brazil, plans to invest R$80 million in the coming years to train entrepreneurs in the tourism sector. This initiative aims to improve the competitiveness and development of the tourism sector in the region, providing tools and knowledge to entrepreneurs to improve the quality of tourism services and products offered.
JBDC/FCJ PARTNERSHIP, A ‘SUCCESS’ FOR MSMES
A partnership has been established between the Jamaica Factory Corporation (FCJ) and the Jamaica Business Development Corporation (JBDC) with the aim of creating additional operating spaces for micro, small and medium-sized enterprises (MSMEs). This collaboration involves the development of community business parks (CMBPs) across the island, offering cost-effective spaces for businesses to operate. Globally recognized as a solution to space challenges for small businesses, business parks provide shared services and amenities, fostering an environment conducive to operations. According to the deputy executive director of JBDC, the partnership is mutually beneficial, addressing the challenges MSMEs face in finding suitable and affordable spaces for their operations. It highlights FCJ’s expanded role beyond being a lessor, emphasizing its commitment to facilitating the growth of MSMEs.
JBDC CEO Urges Strategic Partnerships to Support MSMEs
The Executive Director of JBDC, states the need to strengthen partnerships to boost the growth of MSMEs. During the annual ‘Breakfast with the CEO’ event, the challenges faced by MSMEs and the importance of creating a favorable business environment were discussed. Key sector policy objectives were identified, and future JBDC activities to forge strategic partnerships and support MSMEs in economic development were announced.
Prime Minister announces the revised First Step Housing Programme and a contribution amnesty for MSMEs and charities
Prime Minister of Jamaica announces a review of the First Step Housing Program and amnesty contributions for MSMEs and charities. This measure seeks to facilitate access to housing and provide financial support to small businesses and charitable organizations in Jamaica.
CAF launches strengthening program for MSMEs in Mexico
CAF, in collaboration with IDOM, has launched the “Productive, Sustainable and Resilient Chains” program to strengthen MSMEs in Mexico. This program, aimed at key sectors such as agribusiness, manufacturing, health and tourism in Nuevo León, Mexico City and Chihuahua, seeks to increase productivity and sustainability. It includes digital literacy, business Innovation, and environmental impact reduction, with training sessions over three months concluding with a certification.
The Paraguayan Chaco is home to more than 11,000 MSMEs
The Paraguayan Chaco is home to more than 11,000 micro, small and medium-sized enterprises (MSMEs), according to data provided by Paraguay’s Ministry of Industry and Commerce. These companies play an important role in the region’s economy, contributing to local development and job creation.
Agreement to reactivate Mercosur agency that serves MSMEs in the region
An agreement has been reached to reactivate a Mercosur body that deals with micro, small and medium-sized enterprises (MSMEs) in the region. This decision was taken during the CXXX Ordinary Meeting under the Pro Tempore Presidency of Paraguay, in which representatives of Mercosur member countries agreed on the need to strengthen support for MSMEs. This initiative seeks to improve the business environment for MSMEs and contribute to their growth and competitiveness in Mercosur.
Exports from the MSME sector totaled more than USD 270 million in 2023
Paraguay’s micro, small and medium-sized enterprise (MSME) sector exports reached more than USD 270 million in 2023. These figures represent a significant increase compared to previous years and reflect the growth and competitiveness of Paraguayan MSMEs in international markets. It highlights the crucial role of MSMEs in the country’s economy and the support they receive from the government to expand their operations and take advantage of new export opportunities.
For the first time, Paraguay has a mapping study on the situation of MSMEs
For the first time, a mapping study is available that analyzes the situation of micro, small and medium-sized enterprises (MSMEs) in the country. This study provides detailed information on various aspects of MSMEs, including their geographical distribution, sectors represented, size, and other relevant indicators. The goal is to better understand the needs and challenges of MSMEs in order to design policies and programs that support them more effectively. This study represents an important step in strengthening the Paraguayan business ecosystem and boosting the country’s economic development.
Peru and Thailand start project activity that seeks to promote sustainable practices in MSMEs
A joint activity between Peru and Thailand has been initiated to promote sustainable practices in micro, small and medium-sized enterprises (MSMEs). This project seeks to encourage the adoption of responsible and sustainable business practices that benefit both companies and the environment. This collaboration is expected to contribute to sustainable economic development and the strengthening of MSMEs in both countries.
MSMEs increase their productivity and profitability by making use of projects co-financed by PRODUCE
Micro, small and medium-sized enterprises (MSMEs) are increasing their productivity and profitability through projects co-financed by the National Program for Innovation in Fisheries and Aquaculture (PNIPA) of the Ministry of Production (PRODUCE) in Peru. These projects support MSMEs in the implementation of technological innovations and improvements in their production processes, allowing them to be more competitive in the market. This type of initiative contributes to the growth of the sector and the economic development of the country.
Second Call for Applications – Loan-Grant Facility for MSMEs
The launch of the second call for applications for the MSME Loan and Grant Facility in Saint Lucia has been announced. This initiative aims to provide financial support to micro, small and medium-sized enterprises (MSMEs) to help them overcome challenges and grow their businesses. The facility provides loans and grants to eligible MSMEs, supporting their development and contributing to Saint Lucia’s economic prosperity.
The Bahamas will grow its blue economy with IDB support.
The Inter-American Development Bank (IDB) has made a commitment to support The Bahamas in developing its blue economy, an emerging sector that encompasses sustainable ocean-related activities. This support includes technical and financial assistance for projects that promote the conservation and sustainable use of marine resources, as well as boosting the local economy and job creation in sectors such as tourism, fisheries and renewable energy.
The Ministry of Economy of the Dominican Republic has presented the final report of a consultancy on the Business Connectivity Initiative for Micro, Small and Medium Enterprises (MSMEs) in the Caribbean market. This initiative aims to improve connectivity and business opportunities for MSMEs in the region.
Inespre’s impact on the MSME route is highlighted
Sectorial Specialist of the Ministry of Industry and Commerce highlighted the importance of INESPRE’s participation in the MSME Route, where it offers food solutions at affordable prices for hundreds of people. This activity, organized by the Ministry of Industry and Commerce and MSMEs, aims to support and promote entrepreneurship and small businesses in the area. During the last route, INESPRE offered a wide variety of products from the basic basket at bargain prices, benefiting residents from more than 40 sectors. The products included frozen chickens, eggs, hams, salami, sardines, beans, oil, spaghetti, cornmeal, garlic, onions, potatoes, coffee, bananas, bananas and food combos, among others.
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