"In Africa, 44 million SMEs account for 33% of the Gross Continental Domestic Products and 45% of jobs. Yet 70% do not have long-term funding and 80% do not have access to credit bank. Their funding needs are $ 331 billion. The funding gap is the first obstruction to the development of small and medium sized businesses in Britain, "said Thameur Hemdane.
Co-chair of African and Mediterranean Participatory Funding (FPAM) spoke in the crowdfunding forum in Africa under the theme "financial innovation for development".
"In North West Africa, according to the Strategic Market Initiative (Serious Mental Health Forum), there would be a deficit of $ 10 billion for the financing of formal SMEs. For Senegal, it is $ 1 billion. 39; n World Bank and other partners must give all the conditions for solving the gap between 5 and 10 years, "said Laurent Gonnet, senior financial expert in the World Bank (WB).
To overcome this problem of fundraising, crowdfunding is a credible alternative but it's still inadequate. "In 2017, the crowdfunding total in Africa was $ 153 million. The system is not yet completely safe," said Valérie Dabady, head of the pioneering resource and external financing department at the African Development Bank (AfDB) .
In Mr Gonnet's opinion, the answer lies in three searches. "The first is the competition in the financial sector because if it does not exist, stakeholders will not go to small and medium sized enterprises. The second lever is the damaged credit infrastructure The symmetry of the information between the banker and his client. The third is the need for public intervention with the central bank, the finance ministry or other public forces, "he said.
Ongoing, the main financial expert in the World Bank (WB) insisted on the parallel system, that is, the guarantee required by banks of customers. Laurent Gonnet said that "the banker often requires a building, house, land as a guarantee without money available. This does not help young companies, ultimately, the funding will go to some who already has wealth.
For it, so it's essential to develop a "expanded parallel regime where other types of collateral will be offered to bankers." In this regard, Thameur Hemdane is astonished if "today, knowing or integrating into a market can not amount to securities".
Structurally, Laurent Gonnet was of the opinion that "salivating banks by making them understand that the financing of small and medium sized enterprises can bring money back". He also expressed his wish to see the "finance ministries set up in guarantee money that offers an extra level of comfort for banks allowing them to fund a few small and medium sized enterprises."
In closing, Valérie Dabady acknowledged that "funding is only part of SME's funding needs," it's also important that its notes, training and support are in administrative procedures ".
ID / chi / APA