Leveraging Small and Medium-Sized Enterprise Finance Through Value Chains in Georgia
A strong small and medium-sized enterprise sector can contribute much to a country’s economy by fostering innovation, creating jobs, and reducing poverty.
We examine the status of small and medium-sized enterprise (SME) finance in Georgia and the involvement of Georgia's SMEs in global value chains. We also analyze the role of SMEs in Georgia’s economy, SME funding, the status of financial inclusion for SMEs, and the level of financial literacy and skills of SME entrepreneurs. We look at the case of the hazelnut to analyze the value chain of Georgia's agriculture sector and its involvement in global value chains. We identify the barriers to SME finance in Georgia and propose policy recommendations and immediate actions with regard to existing government policies.