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State of SMEs 2026: high productivity, but growth and AI adoption are lagging behind

24 September 2026

Dutch SMEs are among the most productive in Europe, but productivity growth is lagging behind. This is stated in the report ‘State of SMEs 2026 – Ready for the future?’. The Erasmus Centre for Entrepreneurship and Windesheim University of Applied Sciences compiled the report at the initiative of the Ministry of Economic Affairs and Climate Policy. The report follows on from the annual ‘State of SMEs’ report, previously produced by the Dutch Committee for Entrepreneurship. It also forms an important basis for the recently established Productivity Council, which advises the government on increasing productivity.

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SME innovation
Key Enabling Technologies

At the start of 2026, the Netherlands had over 1.65 million SMEs. Together with Ireland, Belgium and Luxembourg, Dutch SMEs achieve the highest productivity in the EU: more than 80,000 euros of value added per employee. The picture is different for the economy as a whole. Since 2014, the Netherlands has slipped from sixth to eleventh place globally. Productivity growth has averaged 0.5 per cent per year over the past ten years, compared with 1.5 per cent in the previous forty years. Growth into larger enterprises is also limited: of the micro-enterprises in 2014, 4.7 per cent had grown into small businesses ten years later.

A medium-sized company specialising in key enabling technologies

The report also focuses on the technology areas set out in the National Technology Strategy, such as AI, semiconductors, quantum technology, photonics and cybersecurity. According to the researchers, medium-sized enterprises can act as a link between knowledge development, application and upscaling in these areas. This is conditional on them having sufficient access to sound management practices, skilled workers, ICT, R&D investment and collaboration.

The Netherlands scores highly internationally in terms of digital infrastructure and digital skills. The shortfall lies in the adoption of advanced digital technology by smaller businesses, particularly AI. The report attributes this partly to the fragmented, regional nature of AI innovation in the Netherlands.

The connecting role of clusters

The report mentions regional development agencies (ROMs) and government-supported cluster organisations, such as Brainport, Hightech NL and Security Delta. According to the report, they have succeeded in bringing together funding, start-ups and innovative medium-sized companies, thereby jointly promoting technological development in the Netherlands.

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