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With Economic development in the world history, the number of small and medium-sized enterprise, broad distribution and contribute to the larger countries in the world has become a kind of social and economic life of an important force that can not be ignored. The contribution of SME to the world’s two largest developing countries- China and India can not be ignored. As the weak-competition, the development of SMEs requires the intervention of government. The Intervention of government can be realized by SMEs Policies and SMEs Policy system. Ensures SMEs Policies to Perform their functions. Therefore,the study of SMEs Policy systemIn this Paper,the author use the qualitative analysis methods such as literature analysis, normative analysis, comparative analysis, to compares and analyzes the Policy support system of China an India and finds their differences ,and their advantage an disadvantage. The author finds that China’s SMEs Policies are not fulfilled completely mainly because the lack of effective efficient implementation of the main service-oriented policies, a sound legal system, the system of policy measures and a sound financial services system,Finally,according to the comparing and analyzing SME policy system of China and India,the author advances a project to construct a perfect China’SMEs Policy system from legal, finance, technology, industrial cluster policy.
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