Capital markets key to boosting SME financing, promoting innovation

REUTERS/Johannes P. Christo

KUALA LUMPUR: Capital markets can offer indirect mechanisms for small and medium-sized enterprise (SME) lenders to support SME financing, according to the World Bank.

Capital market solutions have been utilised in some middle- and high-income countries by SME lenders to enhance their funding structures, enabling them to compete more effectively in credit markets, said the Washington, DC-based multilateral lender.