Abstract
The main aim of this paper is to examine the impact of competition policies on promoting Micro, Small and Medium Enterprises (MSMEs) in the developing countries. The business freedom index and trade freedom index are used as proxies for competition policies in different countries whereas data on the growth of SMEs are extracted from World Enterprise Surveys. Panel data analysis is mainly employed to assess the impact of competition policies on the evolvement of SMEs in the developing countries. Results show that competition does not currently support small and medium enterprises in the developing countries to grow and highlight the need to formulate more comprehensive competition policies not just laws to support MSMEs.
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