Executive Director of the Union of Industrialists and Entrepreneurs of Armenia Gagik Makaryan said that low production capacity and uncompetitiveness of representatives of small and medium enterprises (SME) prevent them from exporting their products.

“According to surveys conducted in 2009, only 9% of SME registered in Armenia can export their products,” Makaryan told a press conference on December 14.

According to him, the share of SME (the number of which amounts to 130,000 with 220,000-250,000 employees) in Armenia’s GDP makes 42%, and their contribution to the GDP structures is not significant.

Referring to urgent problems of SME, Makaryan noted that enterprises lack knowledge in business conduct. Moreover, SME often face difficulties with obtaining loans, as banks prefer lending large enterprises.

At the same time, Makaryan urged to stimulate youth and foster business conduct rules in them.