Over three in four SMEs have operating profits now
The three main features of businesses that have not only survived the crisis but also grown are being of medium size, export-oriented and involved in manufacturing, according to a National Bank survey on small and medium-sized enterprises.
The rate of SMEs with operating profits has increased to 77 percent from 66 percent in 2014, the survey showed, pointing to the increasing export orientation of prospering firms, while the share of companies with serious cash flow problems has fallen to 19 percent from 30 percent in 2014.
The improvement in business conditions is generating a gradual improvement in bank financing conditions. This is creating a virtuous cycle in place of the vicious cycle of the crisis years, as more than 50 percent of SME loan applications today are approved, against 31 percent in 2014, the NBG survey illustrated.
