October 16, 2012 by pavlospapathanasiou
More than 90,000 Greek SMEs (small and medium enterprises) ceased their activities during the period 2008-2011, according to a European Commission report, which stressed the important role played by SMEs in Greece’s economic fabric.
According to the report, small businesses are the backbone of the European economy, accounting for over 98% of all companies with approximately 20.7 million companies and more than 87 million employees.
92.2% of SMEs representing very small businesses with fewer than 10 employees. It is estimated that SMEs account for 67% of total employment and 58% of gross value added in the EU
On what concerns Greece, the European Commission states that the number of small businesses in 2012 is expected to shrink further in 758,701 enterprises from 765,839 last year and 856,137 in 2007, while it expected to recover in 2013 when it is estimated that this number will increase to 762,280, reaching levels of 2011.
The European Commission says that SMEs in Greece represent 99.9% of all enterprises and account for 69.9% of the economic value added and 85.1% of employment in the private sector. 24% of these companies do not operate in the high-tech and knowledge intensive sectors that are key to the future competitiveness of Greece.