SAN SALVADOR–Over 400 micro and small businesses attended a financial services fair, hosted by USAID and the National Commission for Micro and Small Enterprises (CONAMYPE), where they were offered  financing opportunities through 10 banks and two microfinance institutions.  In addition, these micro and small businesses had the opportunity to receive technical advice through the Small Business Development Centers and the Business Development Municipal Units as well as business talks on various topics of interest to the sector.

The fair was one of the activities under Partnership for Growth, a joint effort between the governments of El Salvador and the United States signed in 2011, to address the main obstacles to broad-based economic growth in the country, identified as crime and insecurity and low productivity of goods for export.

Improving the business climate for SMEs is key to achieving the goals of the Partnership for Growth, since they generate more than 50 percent of employment in the country and represent a vital business sector that deserves specialized policies and initiatives to increase their competitiveness.

Several USAID programs are helping to improve the business climate and expand economic growth.  USAID’s SME Development Program supports Salvadoran micro, small and medium enterprises (SMEs) to facilitate access to quality business development services, increase productivity and competitiveness, and expand operations in local and export markets.

USAID also implements the Municipal Competitiveness Project, which helps 50 municipalities to develop a business-friendly environment that promotes the establishment and operation of new businesses, increases trade and creates jobs.

Finally, through the Improving Access to Financial Services Project, USAID addresses the financial needs of the SME sector. Relatively small amounts of timely credit, supported with appropriate supplementary services, allow SMEs to succeed and serve as a stimulus for local economies.

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