The B20 Financing Growth Taskforce recommends the following four actions to facilitate SME financing and improve regulation of markets.
- Make information on SME creditworthiness more available and reduce risk in SME financing: Improve availability of SME creditworthiness by putting in place standard business reporting rules, strengthening collection, storage and distribution of SME financial performance data, and fostering establishment of SME scoring and rating agencies. Furthermore, reduce risk in SME financing by establishing and strengthening officially supported credit guarantees for SMEs, promoting secured transaction laws, and providing tax incentives for balance sheet equity.
- Broaden and deepen SME access to alternative financing: Offer sources of financing, alternative to bank lending, including supply-chain financing, crowdfunding, hybrid financing instruments, leasing, capital market, and private equity funding.
- Finalize and improve implementation of global financial regulatory reform agenda:Finalize the implementation of the current agenda and implement the planned additional regulatory requirements based on careful and proportionate calibration, continued commitment to the use of comprehensive regulatory impact assessment and revision, where needed, of the global regulatory framework in line with impact assessment.
- Reiterate need for regulatory consistency and improve process for consultation:Improve regulatory consistency and establish institutional mechanisms to strengthen regulatory cooperation by, among other things, evaluating implementation based on principles and outcomes and giving greater consideration to specifics of emerging economies.