Enterprise

Small and medium-sized enterprises (SMEs) play a crucial role in driving economic growth by creating jobs, reducing poverty, and strengthening local economies and expertise. However, these important businesses face an increasingly complex global environment, with challenges like high inflation, rising interest rates, geopolitical tensions, disorganised value chains, limited access to working capital and tough competition that demands constant innovation. Agricultural SMEs, in particular, also struggle with traceability for international markets and meeting strict agro-industrial quality standards. On top of that, the growing impact of climate change threatens both their production and the livelihoods they support.

Despite these challenges, there are new market opportunities emerging, thanks to a growing middle class and the potential for local processing of agricultural products. Developing direct logistics and the rising need for SME services in infrastructure also offer avenues for growth.

BIO's SME department helps these businesses by providing financial support tailored to their needs, such as capex financing and equity, to bridge financing gaps. Furthermore, through technical assistance programs, BIO partners with local institutions to address challenges such as governance, traceability and quality in agriculture or other environmental and social issues.

This brings the total number of approved investments in SMEs to 24, totalling EUR 78.8 M.

As part of the BDSF, BIO also approved 8 technical assistance projects, one due diligence, and support for an innovative MSME project, totalling EUR 155,863.