The Role of Financial Incubators (Specialized Banks) in Supporting Small and Medium-Sized Enterprises (SMEs): An Applied Study on Specialized Banks in the City of Bani Walid During the Period (2002–2010)

Abstract

This study aimed to examine the role of financial incubators, represented by specialized banks, in supporting small and medium-sized enterprises (SMEs) in the city of Bani Walid during the period (2002–2010). The study addresses the financial, administrative, and marketing challenges faced by SMEs, which limit their growth and sustainability. A descriptive-analytical methodology was adopted, and primary data were collected through
 a questionnaire distributed to all employees of the specialized banks in Bani Walid Municipality, namely the Development Bank, the Rural Bank, and the Agricultural Bank, using a comprehensive census approach.

The findings revealed that specialized banks play a significant role in providing financial support to SMEs; however, their role remains limited in non-financial services such as training, human resource development, and marketing support. The results also indicated weak coordination between specialized banks and other SME-supporting institutions, in addition to liquidity shortages and a lack of qualified human resources as major challenges. Moreover, the study found that having a clear strategy, efficient management, and adequate infrastructure are among the key success factors for financing institutions.

The study recommends adopting an integrated financial incubator model within specialized banks, strengthening partnerships with universities and research centers, and developing clear legislative frameworks to regulate the activities of financial incubators, thereby enhancing their effectiveness in supporting SMEs and contributing to sustainable economic development.