MIQYES: Tunisian SMEs remain resilient despite difficult environment

African Manager

19-02-2025

Nearly 64.1% of SMEs achieved a profit in 2023, nearing pre-COVID crisis levels (71% in 2017), according to the 7th edition of the 'MIQYES' SME Health Barometer, whose results were presented on Tuesday in Tunis during a forum organized by the Confederation of Citizen Enterprises of Tunisia (CONECT).
This demonstrates resilience in a challenging international and national context, as highlighted by economist Abdelkader Boudriga, who presented the barometer.
The survey, conducted on a sample of 502 SMEs across various sectors, revealed that 31.1% of them saw a decline in revenue compared to 43.9% in 2022, despite a slowdown in growth in 2023.
SMEs invested more in maintaining their operations (36.7%), with less than one in five SMEs investing in new activities during 2023.
Looking ahead, only one in two SMEs plans to venture into new activities. Additionally, 71.2% of women-led SMEs (representing 12.2% of SMEs) reported profits in 2023. The survey also found that Tunisian SMEs are predominantly local (69%), with only 12% engaged in exporting.
The European Union is the primary export destination for SMEs (57%), followed by North Africa (20%). Export-oriented SMEs are mainly located in coastal regions. However, the conquest of new markets declined in 2023, reaching its lowest level since 2016.
The growth momentum of SME activities is primarily driven by the private sector, with limited dynamism in public markets due to the country's macroeconomic and financial challenges, as well as the public buyer's cost-control policies. In this context, 23.9% of SMEs secured new government contracts, while 59.1% obtained new private contracts.
Persistent challenges in accessing financing
The majority of Tunisian SMEs continue to find access to financing difficult, with the exception of leasing, which remains the most accessible funding source for 55.4% of SMEs. SMEs in inland regions, particularly in the North/Central West, face the most financial constraints.
Notably, 48.6% of Tunisian SMEs have self-excluded from seeking financing (no funding requests) due to a history of bank loan rejections and the stringent requirements of bank financing compared to leasing.
Creation of 27,000 Net Jobs in 2023
Regarding recruitment, 54.4% of SMEs hired in 2023, creating approximately 27,000 net jobs. However, the hiring momentum slowed compared to 2022 and the pre-COVID period.
On another note, 36.1% of companies have at least one environmental or corporate social responsibility (CSR) initiative. However, this commitment is hindered by a lack of financial resources and insufficient government support.
According to the MIQYES Barometer, despite a difficult national and international context, 60% of SMEs remain optimistic about the country's economic situation. It is worth noting that entrepreneurship in Tunisia remains largely a family affair, with 73.4% of SMEs being family-owned.