ABSTRACT

They are various researchers that carry out a research on SMEs, international trade and economic growth. This study aims to build on the SMEs investment as a tool of stimulating international trade and economic growth of Rwanda in recent years. The expectation has been established the connections and the applications of diverse theorems for SMEs. Throughout this study the challenges of SMEs investment face through the method of internationalization is also tinted. During clarification and personal interviews conducted, it is found that doubts divergence in a network, gainful domestic market and deficiency of knowledgeable in managing involvement hold a most important part in decreasing the Rwandan SMEs products in international markets.

It is now increasingly recognized that the small and medium enterprises play an important role around the world. Small and medium enterprises are considered to be one of the principal driving forces in economic development. They stimulate private ownership and entrepreneurial skills, the greater likelihood that SMEs will utilize labor intensive technologies and thus have an immediate impact on employment generation, they can usually be established rapidly and put into operation to produce quick returns, SME development encourage the process of both inter and intra regional decentralization and they may well become a countervailing force against the economic power of larger enterprises