Paper

Survey on the Access to Finance of SMEs in the Euro Area: September 2010 To February 2011

Presenting findings on European small and medium enterprises

This survey report provides evidence on the financial situation, financing needs and access to external financing of small and medium-sized enterprises (SMEs) in the euro area, compared with large firms during a six month period.

These findings represent results of the fourth wave of a survey on access to finance of small and medium-sized enterprises, conducted between 21 February and 25 March 2011 on behalf of the European Central Bank. Findings include:

  • Many euro SMEs reported an increase in turnover, but a decrease in profits;
  • Recent hikes in oil and commodity prices have heightened input cost pressures;
  • 69 percent of euro area SMEs reported an increase in input costs, while 46 percent also reported an increase in labour costs;
  • Almost a quarter of euro area SMEs reported an increase in net interest expenses, suggesting an increase in their debt burden;
  • Large firms also experienced an increase in costs, but continued to record net increases in turnover and profits in the six months preceding the survey.

The report also provides an overview of developments in access to finance across the largest euro area countries.