MSEs are the most relevant sector to employment in Bolivia, providing jobs to 83% of workers, although their contribution to GDP is just 25%. MSEs are business with the lowest productivity, estimated at just 20% of that of large companies.

Phase 1 proved the potential of a public service to support MSEs, the implementation of which had the backing of the Ministry of Productive Development. It also revealed the need to mitigate the risks of clientelism by working with the trade associations in the MSE sector. Law Nº 947 and its regulations on MSEs confirm the political will to promote this sector.

Bolivia suffered a political crisis in October 2019 which led to the resignation of President Evo Morales and a new transitional government under President Janine Añez. New authorities announced the continuity of public policies during the transition period and, due to the persistence of bottlenecks and needs of the MSEs sector, have ratified the project.

The direct beneficiaries are 6.000 people working in productive unites provided with support, expecting to reach 40% women.

Indirect beneficiaries are 135.000 businesses in the manufacturing sector who will benefit from an intervention model that promotes the MSE sector.

1.    Linkages among public, private and academic actors at regional and local level supported to promote policies, actions and resources to foster the development of MSEs

2.    Productive efficiency of MSEs improved as a result of technical assistance and training services, transfers of productive assets and innovation

3.    Improved conditions for access to financial services and market access.

Risultati principali attesi:  

-    Mapping of public, private and academic actors at regional and/or local level;

-    Regional Committees of relevant local actors working to address MSEs development strategies; 

-    Integrated technical assistance, training and asset transfer services provided to MSEs; 

-    Innovation in processes, products, organisation and marketing promoted in 5 priority product sectors;

-    A preferential incentive mechanism for financing MSEs implemented;

-    Technical assistance service for market access.

Risultati fasi precedenti:   Preliminary estimates indicate that the real net incomes of 2.400 MSEs were increased by 16% and 5.700 workers (45% women) were provided with jobs. A pilot model of services for the MSE sector was established.

OIT SCORE Project - SECO

Capital Semilla  Project– COSUDE

Formación Técnica Profesional Project – COSUDE

No other donors have been identified yet.

Fase 2 01.04.2020 - 31.01.2024   (Completed)