This thesis is concerned with the development of small scale contractors in developing countries. The global trend towards privatisation has led to an increasing interest in the use of the private sector for the construction of buildings and infrastructure. In developing countries large projects are typically undertaken by large foreign contractors however, there are few small scale contractors to undertake small construction projects or maintenance work. The first stage of the study investigated three issues pertinent to the small scale contracting sector: 1. The problems experienced by small scale contractors and the inter-relationship of these problems 2. Contractor development projects to identify their support mechanisms and assess their level of success 3. A review of the construction industry framework in developed and developing countries to highlight the problems caused by their different structures. The second stage of the study proposes the use of a Contractor Support Agency as the most appropriate support mechanism for the development of the indigenous contracting sector and outlines the roles and activities that should be undertaken by the agency. The Contractor Support Agency model is reviewed by experts in the sector and the analysis of the results presented in the thesis. The thesis concludes that the proposed model is broadly correct and discusses small modifications that can be made to enhance its suitability in a range of different situations.