EU Invests €44 Million in Georgian SMEs in 2023
In 2023, the European Union, through the EU4Business initiative, invested €44 million in Georgia to support the growth and development of small and medium-sized enterprises (SMEs).
This investment has led to job creation, increased exports, and the introduction of innovations, contributing to the overall sustainability and growth of Georgia's economy.
According to the EU’s press release, more than 39,000 SMEs in Georgia received support through 50 different projects last year. These initiatives have brought tangible results for both entrepreneurs and the country’s economy. The turnover of supported SMEs increased by 12.8%, leading to the creation of nearly 37,000 new jobs. Additionally, businesses earned an extra €200 million in income, showing the effectiveness of the EU’s efforts in boosting economic growth.
The EU’s support focused on three main areas:
-
Access to Finance: €2 million (52.9% of the total budget) was invested in providing soft loans, microfinance, and improving financial literacy for SMEs.
-
Business Development Services: €10.9 million (24.8% of the budget) was allocated for consulting, training, and developing business clusters to encourage entrepreneurship and innovation.
-
Business-Enabled Environment: €9.7 million (22.2% of the budget) was invested in improving the regulatory environment, strengthening policy-making, and fostering public-private sector dialogue to create a more business-friendly atmosphere.
"The European Union continues to support Georgia's economic growth and competitiveness. Our initiative has already exceeded its target of helping 80,000 SMEs, with more than 100,000 businesses receiving support between 2021 and 2023," said Nicholas Sendrovich, Head of the Cooperation Department at the EU Delegation to Georgia.
Sendrovich also highlighted that 40.4% of EU-supported businesses are owned or managed by women, promoting gender equality in the business sector.
The EU4Business initiative has been a key factor in supporting Georgian SMEs for years. From 2021 to 2023, more than 100,000 businesses received support, resulting in 77,000 new jobs and an additional €550 million in income. This investment in Georgian SMEs represents the EU’s commitment to the future of Georgia's economy.