Abstract:Based on the structure of service providers and type data in SME service system from three typical cities in east, central and west of China and the comparison of SME service system, this paper, using correlation and regression analysis, studies the relationship between regional economic development and type and proportion of SME service providers with the combination of relevant index in regional economic development. The result shows that the proportion of enterprises in SME providers has the positive influence on local tax, and the proportion of government agencies in SME providers has the obvious restraints on industrial added value and local fiscal revenue of regional economy. Therefore, this paper proposes several suggetions such as increasing the proportion of enterprises and industrial associations in SME service providers and fading out of government agencies from the roles of SME service providers.