Sme RIYADH: Saudi Arabia’s Small and Medium Enterprises General Authority, also known as Monsha’at, has issued establishment size certificates to 24,540 micro, small, and medium enterprises in 2022, Saudi Press Agency reported. The establishment size certificate comes with a lot of advantages including providing a greater opportunity for enterprises to take part in governmental projects. This is done through a mechanism that favors local SMEs by assuming that the bid prices for any other enterprises are 10 percent higher in all contracts aside from supply contracts. Another benefit of the certificate is that it gives priority in limited competitions as well as direct purchases. Facilities located in Riyadh obtained the highest number of certificates with a rate of 36 percent, followed by the governorate of Jeddah with a rate of 13 percent. In order for an SME to obtain the establishment size certificate, it must have a valid commercial register for the establishment or the number of the work file in the Ministry of Human Resources and Social Development. Both the commercial register and the establishment file must also be in their active state. The SMEs must also provide the availability of revenue data or declaration filling in the process of issuing the certificate as well as a declaration that the number of the establishment’s employees is not less than one employee and does not exceed 249 employees on the unified number of the establishment. In addition to this, the SMEs should also provide proof that annual revenues do not exceed SR200 million ($53 million) and that the applicant has a role among the roles approved by the Ministry of Commerce and the Ministry of Human Resources and Social Development respectively. This comes as the SME sector is perceived as a vital economic engine, a key generator of new employment, and the foundation of the global economy. Under the Vision 2030 goals, the SME sector contribution in the Kingdom is eyeing a 35 percent contribution to the national gross domestic product by 2030. In addition to this, SMEs are set to play a significant role in achieving Saudi Arabia’s objectives of lowering the unemployment rate from 11.6 percent to 7 percent, and increasing women’s participation in the workforce from 22 percent to 30 percent.