The National Bank of Georgia and EFSE DF Develop Financial Education Program for Micro and Small Enterprises
02 October, 2018
As part of the country’s "Year of Financial Literacy", the National Bank of Georgia (NBG) has developed a financial education program for micro and small enterprises together with the Development Facility of the European Fund for Southeast Europe (EFSE DF), and with the involvement of the Export Development Association (EDA). Implementation began in July 2018, with experts from EDA training entrepreneurs in the regions of Samtskhe-Javakheti and Kvemo Kartli in Akhaltsikhe and Tbilisi.
The program aims to equip both current and future micro and small business owners with essential knowledge and skills for making sound financial decisions based on their own business needs and capacities. A brochure and training model were created to specifically address the needs of this target group.
Program beneficiaries will learn about the sources of business finance, relevant financial services, and approaches and indicators used for business assessment. The program will also help beneficiaries understand their own rights and responsibilities, independently evaluate short and long-term business needs and creditworthiness, and choose the most appropriate financial products and services. In addition, they will learn about financial reporting and how to effectively plan future steps to avoid financial pitfalls.
The program was developed in an easy and user-friendly language and includes case studies, tips and examples to help beneficiaries apply theoretical knowledge in practice. Although the program primarily targets micro and small enterprises, the practical advice that it offers is relevant and useful for larger enterprises, as well.
"Financial education for entrepreneurs is very important in the sustainable development of the business sector. Considering that financial products and services offered on the market are quite diverse and complex, in the absence of relevant knowledge or expert advice, making sound financial decisions is quite challenging for all consumers - all the more so for entrepreneurs. Therefore, improving access to financial education for different target groups is an important objective for NBG. Ultimately, financial education of entrepreneurs will positively affect the sustainable development of the business sector in the long-term. I would like to thank the Development Facility of the European Fund for Southeast Europe (EFSE DF), which is one of NBG’s leading partners in financial education, as well as the EDA, who provided expert assistance to the National Bank within the framework of this project", - said Koba Gvenetadze, Governor of National Bank of Georgia.
Markus Aschendorf, Chairman of the EFSE Development Facility, added: "Helping entrepreneurs thrive is one of the pillars of our mission, and the NBG is an important partner in this endeavor. Georgia is a country burgeoning with ideas and business potential; the EFSE DF is committed to providing entrepreneurs with the tools and skills they need not only to establish and enhance their own businesses, but in so doing, to support the positive development of the economy as a whole".