This article examines the role of the Thai government in economic development through the promotion of small and medium-sized enterprises (SMEs). It explores the interaction between the government and the private sector, with the challenges facing SMEs and the effectiveness of the SME promotion policy being considered in terms of implications for future policy. The government has played an important role in supporting the development of SMEs as a means of achieving sustained and healthy economic growth. A committed SME promotion policy from the government and closer cooperation between the state and the private sector are needed for the further development of SMEs. The integration of the government agencies related to SME promotion should be enhanced in order to have a whole-of-government approach. More focus on the quality of SMEs is necessary for their sustained development.