19 May 2017 - 8:00
Small firms are big job creators
Small firms, employing less than 10 people, have emerged as major job creators in the country.
Total number of people working in such firms increased to 66,000 in 2015 from 49,700 in 2010, showing a robust rise of 34.6 percent, according to a report released by the Ministry of Economy and Commerce, yesterday.
The report covered role of development of enterprises in Qatar employing three to nine workers. The number of such small firms increased by 2,900 during 2010 to 2015.
There were 13,600 such small enterprises in 2010 and this number jumped to 16,500 in 2015. Total annual sale of these enterprises reached QR24.7bn in 2015 from QR13.7bn, showing an increase of 87 percent. The value addition by these firms was QR4bn to GDP in 2015, representing 35 percent of the total value added by small enterprises.
These firms were working in production and services sector, excluding wholesale and retail business. Total number of small firms in wholesale and retail business was 8,000, said the report. Personal and Social Services sector emerged as the most sought after sector for these firms as 86 percent of such firms were working in this sector. Personal and Social Service sector includes sports services, personal requirements, maintenance of computers, cleaning, laundries, beauty salon and other related activities.
Around 57.5 percent of the workers of these firms were engaged in personal and social services sector. The number of firms providing Educational Services sector more than doubled to 151 in 2015, said the report.
Small enterprises working in Transportation and Communication sector declined from 326 in 2010 to 178 in 2015.
Number of firms in furniture and associated activities increased from 1,300 in 2010 to 1,900 in 2015.
Number of such enterprises in business services like finance, insurance, real estate, law firms, accounts and other specialised services increased from 1,800 in 2010 to 2,800 in 2015. Hotels and restaurants attracted growing number of small firms as their number increased from 896 in 2010 to 1,204 in 2015.