Mali Microenterprise Sector Assessment and Strategy

This paper explores current micro-and small-scale enterprise activity in six sub sectors: spinning and weaving, skins and hides, garments, vegetable gardening, domestic energy consumption, and agricultural equipment.

It uses sub sector analysis to examine the vertical channels through which small and large firms interact to transform raw materials into products and deliver to products markets.

The findings of the six analyses reveal common problem areas. The sub sector analyses were complemented by a review of the institutions supporting MSE activities and the policy environment.

The paper concludes that:

• The donor community has put significant resources, soon to be US $100 million, at the disposal of the Mali banking system and donor projects to apply to the problems of enterprise development: Yet these resources are not being fully utilized because of underdeveloped systems for financial intermediation;
• Poor coordination, high costs of transport and technology, weak management and technical skills and an unfavorable policy and regulatory environment are other problems plaguing MSEs;
• MSEs offer excellent means of stimulating economic opportunity.

[Adapted from authors' abstract]