ABSTRACT
The Thai government can be praised for having recognized the problem of the small and medium-sized enterprises (SMEs), at least in principle. It remains to be seen how far this general commitment goes, and whether the business community and the existing or potential small entrepreneurs in particular can be convinced that the new SMEs policy will be implemented and produce tangible results. The initial credit policy mistakes combined with the relative neglect of the real economy have extensively contributed to the distress of SMEs becoming a rather prominent issue in the legislative elections due in 2000. In addition to the loose commitments of both old and younger generation politicians, some bureaucratic hazards may also prevent the SME policy from taking off. The matter can be further complicated because a special legislative act is often required for different ministries to share information or to work together on any specific project such as an SME-oriented one.
