The Role of Small and Medium Enterprises in Advancing the Libyan Tourism Sector

Abstract

This study aims to analyze the role of small and medium enterprises (SMEs) in advancing the tourism sector in Libya, amid the economic and security challenges facing the country. The study adopts a descriptive-analytical approach, reviewing the theoretical framework of SMEs and their economic importance locally and internationally, with a focus on the tourism sector. It compares Libya with Egypt and Tunisia in terms of international tourist arrivals, tourism expenditure, and employment in tourism, based on data from the UNWTO and the World Travel & Tourism Council. The results show that Libya possesses enormous tourism potential but fails to exploit it due to weak infrastructure, data scarcity, limited support for SMEs, and lack of security stability. The study concludes that enhancing the role of SMEs in Libyan tourism requires flexible financing (especially Islamic banking), building statistical databases, developing vocational education and training, and adopting effective government support policies.