Abstract:
This paper explores the effect of SMEs (Small Medium Enterprises) on poverty
reduction in Afghanistan through alleviation and database. The role of SME is very
important in employment generation, poverty alleviation, Gross Domestic Product (GDP)
and economic growth which automatically reduce poverty in a country. Annual data used to
examine the impact of SMEs on poverty reduction in Afghanistan. This article aims at
finding out that which small medium scale and enterprise with use of activities of
employment helped to reduce poverty reduction and it is recognized that SMEs is a
powerful tool to poverty reduction and economic growth.
After three decades of war in Afghanistan, the system and infrastructure of Afghanistan
is completely destroyed and after create of temporary government in Afghanistan in 2001,
Afghanistan is involved into many protocol and aids program to rescue this country from
poverty and raise the poverty line. They raise many tools, regulation and innovation to
decrease poverty from Afghanistan and this is a very effective topic to decrease the problem
of poverty through SMEs which is corporate with the help of World Trade Organization
(WTO), World Bank (WB), United Nation (UN), Japan International Corporation Agency
(JICA) and many other organization or Non-Government Organizations (NGOs).