Tuesday , September 27 2022

SMEs: Banks invited to support the sector • Revmi.com



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International Association "Crovdfunding Africa & Mediterranean-FAM" held the second edition of the Crovdfunding Forum in Africa. The theme of this forum is "Financial innovation for development". Organizers should develop this new concept born in Europe and give an opportunity for social and cultural development, catalyst for innovation and creativity for solution for financing startups and small and medium enterprises. They called on big banks to finance these growth sectors.

In the current context of African countries, we can not ignore development levers such as crawdfunding. Indeed, this new way of financing has shown, in the developing countries, that it is a great opportunity for social and cultural development, a real catalyst for innovation and creativity and the right solution for financing startups. and small and medium enterprises. This is the conclusion of the international association for participation in the financing of Africa and the Mediterranean-FAM, at a meeting yesterday in Dakar. According to Co-President Thameur Herdare, he urged them to discuss the economic, social and human issues of this "financial revolution" with project leaders, public finance finance platforms, experts, ecosystem professionals (bankers, patrons of territorial development and enterprises, etc.) and representatives of public authorities. "This meeting allows the use of new financial resources by various stakeholders (financial institutions, traditional financiers, diaspora, entrepreneurship support systems and sustainable development," he says. To include actors by adjusting regulation, modifying relationships and financial behavior, transforming the development model, among others of this revolution, in different scales (territories, countries and continents).

"The goal is to be part of a cycle that encourages the creation of a sustainable network of actors in each country and proposes an international framework for cooperation and exchange of good practices," he said. they know. According to him, the lack of funds represents the first obstacle to the development of small and medium-sized enterprises. "In Africa, SMEs account for $ 44 billion, with 33% and 44% of GDP, but 70% of small and medium-sized enterprises do not have long-term funding," Mr. Thameur Herdara complains. And to increase: "80% do not have access to bank loans and their needs are estimated at $ 331 billion in financing." These players advocate setting up guarantees. "There is very little competition with banks in Senegal, which is number 27 because SMEs not interested. They prefer to work with big companies, "he said. It believes it is necessary for banks to address these small and medium enterprises for the development of the economy, because, he says," this attitude will not revolutionize the sector. "

He adds that today, crovdfunding can not be developed in good conditions because the regulatory legal framework is lacking. It is time to work together and make use of it so that the continent is not a follower but a base.

Ngoia Ndiaie

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