WB reveals number of applicants for creation of small business by end-year in Azerbaijan

Azerbaijan disbursed 6.7 percent ($6.72 million) of the WB loan worth $100 million during the first year of the Employment Support Project, Report informs referring to the WB report.

The project became effective on August 17, 2020 and the first disbursement was made on October 7, 2020.

“Overall, project implementation is on track and both implementation progress and progress towards achievement of Project Development Objective are satisfactory. Business trainings have started despite the challenging situation due to COVID-19 and the recent military conflict,” reads the report.

“As agreed earlier with the Ministry and PIU, the implementation of Component 1 has started in a phased manner in the selected 29 rayons. A combination of online and/or virtual modalities are being used to deliver the business training component of the Self Employment program (SEP) in compliance with the government COVID-19 containment restrictions. At the moment, 15 rayons have on-line (mainly Baku, Sumgait and Ganja) and 27 rayons have on-site trainings with some rayons offering both online and on-site trainings,” the bank noted.

It is expected that, in total, 3,000 beneficiaries would have received training and submitted their business plans within September 2021, and over 5,500 beneficiaries by December 2021. Disbursements are expected to pick-up in the second half of the calendar year.

“Assets will be delivered to the selected beneficiaries within next 2 months,” the WB added.

First of all, at the Start and Improve Your Business (SIYB) trainings, they will receive the relevant knowledge and skills for starting a small business. The beneficiaries will then be provided with assets in kind and will be able to set up small businesses and own small businesses.

The Bank assesses the financial management and procurement performance of the project as satisfactory.

According to the report, the number of ministry employees trained to work with profiling tools will reach 165 by the end of 2025. The profiling tools will be created by a consulting company, which will then train the staff of the State Employment Service.

The number of districts in which semi-annual local consultations on the planning and implementation of events are held will reach 52 by the end of 2025. The consultations will be held annually, the first public hearings will be held in September 2021.

The goal of the project is to expand the self-employment program based on best practices and create small businesses for internally displaced persons registered as unemployed, recipients of targeted state social assistance, women, youth and other vulnerable groups at the expense of the World Bank. According to the project covering 2020-2025, during this period 22,000 unemployed from these categories will be involved in the program.

The project also provides for the application of innovative solutions in the implementation of the self-employment program, training of employees of the State Employment Service under the Ministry of Labor and Social Protection of the Population, and the development of a strategy for the transition from targeted social assistance to self-employment.