According to a study by the International Finance Corporation (IFC), there are between nine and 11 million micro-, small- and medium-sized enterprises in the Middle East and North Africa (MENA), and around 1.8 million in Saudi Arabia alone. The IFC further estimates that the credit gap in this segment in the MENA region is upwards of $300bn, i.e. SMEs would require $300bn of additional banking facilities not received today for them to optimally operate. This very sizeable credit gap presents a challenge as well as an opportunity to banks and governments alike.In the remainder of this article I will look at three elements that are important when trying to bridge the credit gap. Two of these focus on changes required at the banks themselves, whereas the third considers the role of governments.