THE LEGAL FRAMEWORK OF THE NATIONAL AGENCY FOR THE SUPPORT AND DEVELOPMENT OF ENTREPRENEURSHIP IN ENHANCING SMALL AND MEDIUM-SIZED ENTERPRISES
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Abstract
The gradual reliance on small and medium-sized enterprises (SMEs) in Algeria marks the beginning of a shift from a rentier economy to one outside the hydrocarbons sector, which is threatened by political fluctuations and regional transformations. Relying on SMEs to prepare the state budget presents challenges and risks due to the instability of prices. As a result, there has been increasing focus on creating wealth outside the volatile oil barrel market by shifting towards managing an economy that can be controlled, accompanied, and supported directly in the field. This is the economy of SMEs, which is expected to inject new life into the national economy by diversifying investment in line with national and local needs, as well as providing new job opportunities to reduce the number of unemployed. It also aims to activate their economic role in fostering competition and making the necessary contributions in this new investment climate.
This study aims to highlight the legal framework of the role of the National Agency for the Support and Development of Entrepreneurship (ANADE) in small and medium-sized enterprises, considering it one of the key supporting bodies. This is done by analyzing the various procedures and stages of the establishment process. In line with this goal, a number of laws regulating the sector have been amended to create a more dynamic environment for the creation of enterprises and provide a conducive economic climate, particularly Executive Decree 21/125, dated 29-03-21, which sets the conditions for grants for young project holders, such as the cancellation of the unemployment condition and a reduction in the personal contribution percentage.
To support this research, we conducted a field study using case study tools, observing and analyzing various documents and statistics available at the Bechar agency during the period from 2010 to 2019.
The main finding of this research is that SMEs in Algeria have received significant attention from the government as one of the key sectors that could help the country overcome the crisis of falling oil prices. However, these enterprises have not yet achieved the expected developmental role, due to the numerous challenges faced by the sector.
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References
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