Impact
Sustainable growth is essential
Micro, small and medium-sized enterprises (MSMEs) make up 99.7% of all businesses in Southeast Europe and the Caucasus – these firms are critical to the long-term success of their workforces, communities and economies
With the right support, they can benefit from EU integration momentum and generate robust, competitive growth.
But many businesses struggle to obtain the financing they need to scale, innovate and transform their operations.
Our financing ensures they are both competitive and sustainable – creating jobs, raising living standards and driving inclusive growth.
Generating measurable impact
Generating measurable impact
Figures as of Q4 2024
2.6M
Indirect jobs supported
€11.4B
Volume of sub-loans enabled to MSMEs and households
78%
Sub-loans disbursed in local currency
37%
Sub-loans disbursed to female end-borrowers
73%
Sub-loans disbursed to rural end-borrowers
Contributing to the following SDGs
Addressing key barriers to growth
Reliable, local currency financing
MSMEs need access to reliable, local-currency finance. However, they are often forced to manage foreign currency risk. This unfair burden hampers innovation and holds back growth. We provide access to local-currency funding through our dedicated capital structure, reducing risk for our partner financial institutions, end-borrowers and institutional investors.
Sustainable agriculture
Local economies and livelihoods are deeply dependent on agriculture in Southeast Europe and the Caucasus. But the sector faces many challenges, including changing climates, evolving regulations, lagging productivity and an over-reliance on outdated equipment. Our financing fosters the adoption of efficient and sustainable practices, helping local farmers become more adaptable, competitive and sustainable.
Social inclusion
Socio-economic challenges – such as gender inequalities, youth unemployment and regional disparities – linger across the region. We focus on expanding essential finance for businesses led by women and other socially vulnerable groups.
“At Inecobank, we are proud to stand behind entrepreneurs who turn ambition into impact. Through our partnership with EFSE, we’ve been able to channel targeted support to small businesses that drive inclusive growth. From first-hand experience, we know access to the right financing can unlock potential and build lasting value for communities."
Hayk Voskanyan, CEO of Inecobank, Armenia
Enhancing impact through Advisory & Capacity Building
Enhancing impact through Advisory & Capacity Building
Figures as of Q4 2024
697
Projects managed
EUR 48M
Volume of projects managed
64,600
People benefitted from capacity building (43% of which female)
This separately funded service is tailored to support the needs of financial institutions, businesses and sectoral partners (inc. central banks and industry associations).
We help our partners structure new products and offer consultancy services on ESG, risk management and more. We also train businesses on fundamentals (e.g., marketing and finance) and modern solutions (e.g., digitalization, sustainability).
We work with stakeholders across markets to raise awareness, promote best practices and help develop practical solutions.
Driving impact – From individual businesses to entire systems
Supporting entrepreneurs
EFSE helps MSMEs grow, transform, and sustain jobs by improving access to responsible finance and building entrepreneurial skills.
Strengthening systems
EFSE works with and through financial institutions to build inclusive and sustainable financial systems. Its network extends beyond banks to include regulators, service providers and other key actors - creating an ecosystem in which MSMEs can thrive.
This enables EFSE to reach thousands of entrepreneurs and creating lasting impact at an individual and systemic level.
Our impact stories
Our recognised impact management and measurement system
