The Western Balkans region is undergoing a new phase of economic development where SMEs are faced with the need to modernize their operations and innovate their products in order to stay competitive in the market. Structural unemployment, high inflation rates and uncertainties in the economy due to the war in Ukraine call for SMEs to urgently adopt new ways of operations. The modernization of small and medium-sized enterprises (SMEs) in North Macedonia is imperative for their sustainable growth and competitiveness in today's global market. With rapid advancements in technology, changing consumer preferences, and evolving business models, SMEs need to embrace innovation, digitization, and improved operational processes to stay relevant and thrive in the modern business landscape. Modernization can enable SMEs to enhance their productivity, expand their customer base, access new markets, and create employment opportunities, contributing to the economic development of North Macedonia.
In order to achieve the objective, the project will facilitate the adoption of modernisation and business development services by key market systems. As the project will embed a market flow development approach, potential interventions will aim to address constraints to growth in all aspects of the market: core market, supporting services and policy environment.
Key Market Actors for the project are:
The approach is to engage and work with these different groups to maximize the potential for sustainable growth.
aims to facilitate modernisation of private sector, through introduction of new technologies and production processes, environment friendly and energy efficiency solutions, improved managerial capacities, modernised human resource structures and improved access to financial products. Access to finance and introduction of financial products tailored to the needs of SMEs for modernisation will further stimulate long term sustainable growth through modern approaches.
aims at strengthening domestic advisory services making it more dynamic and effective for a sustainable and continues modernisation of private sector. Examples of these advisory services include business support services around human resource capacities, management, digitalisation, finance, etc., which are crucial for improving business productivity.