SMEs need help in Latin America
19/11/2012
According to the Paris-based organisation, SMEs account for 99% of businesses in Latin America and employ 67% of employees. However, their contributions to gross domestic product and overall productivity are low, the report, Latin American Economic Outlook, continues.
Large firms in Latin America have productivity levels six times higher than those of SMEs; this difference is only 2.4 times in the OECD’s 34 member countries. “A common problem for SMEs [in Latin America] is not so much their size, but their isolation in the productive structure, which makes them unable to scale up production and specialise,” the report says.
After nearly a decade of continuous expansion, GDP growth in Latin America will slow from 4.4% in 2011 to 3.2% in 2012 and 4.0% in 2013, the organisation has said.
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