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New businesses assisted to carry out greening actions

 

ODIMM supports Moldovan companies in the process of adapting to global trends of integrating environmentally friendly business practices. The Steering Committee of the Greening Programme for SMEs has approved today, December 30, 29 applications for non-reimbursable financing submitted by the companies wishing to green their business. They will get up to 200 thousand lei per company, which accounts for up to 70% of the  investment project value. 61 companies have applied for taking part in the competition for accessing grants, which went through a wide selection procedure as per the eligibility and sustainability of their greening actions regarding work and service provision processes.

The amount of non-reimbursable financing offered by the state to the 29 businesses through the Greening Programme for SMEs will constitute about 4.9 million lei. The total value of the investments for the implementation of greening actions assumed by these companies is about 5 million lei and the creation of about 100 new jobs. The investment projects selected for funding aim to adopt environmentally sound practices in the fields of responsible usage of energy and resources along the value chain, as well as raw material management, waste recycling and reusing, etc.

Types of activity of the companies selected for financing:

- 11 companies operate in the tertiary sector

- 9 enterprises - in the agri-food sector

- 9 companies operate in the industrial sector.

The greening actions proposed by the companies refer to: wastewater treatment; waste collection, processing and management, from  the medical field inclusively; reducing energy consumption by implementing thermal recovery systems; water resources management by installing treatment plants; ECO and BIO certification services, ventilation and air filtration systems, etc.

The timeliness and need to promote the greening of production and service delivery processes is argued by the fact that reducing the environmental impact of SMEs in both the production and service sectors is a key factor in greening the economy, as SMEs represent around 98.6% of the total number of enterprises, and the total production value achieved by SMEs accounts for 67% of the overall production value of the enterprises from the Republic of Moldova.

The analysis of international statistics has shown that small and medium-sized enterprises (SMEs) generate about 64% of industrial pollution, while only 16% of them are engaged in environmental activities. Thus, a range of tools and good practices to encourage the “greening of SMEs” that are implemented by the EU Member States can be adapted and disseminated among SMEs from the Republic of Moldova, in order to encourage sustainable development and international economic competitiveness.

ODIMM supports and develops the capacity of SMEs to adopt greening practices for production and service delivery processes.

Through this Programme, the Organization for the Development of Small and Medium Enterprise Sector (ODIMM) covers two categories of instruments:

1. Training and mentoring in the field of greening SMEs by identifying and adopting specific actions for greening the production and service delivery processes;

2. Providing non-reimbursable financial support in the form of Grant for:

a. Implementing business greening action plans (200 thousand lei) within Stage II;

b. Implementing ISO / EMAS standards, EU eco-labeling (500 thousand lei) within Stage III.

The Greening Programme for SMEs was approved by the Government of the Republic of Moldova, GD no. 592 of November 27, 2019, with a pilot period of 36 months, being implemented by ODIMM in coordination with the Ministry of Economy and Infrastructure. Since the beginning of the Programme, 18 companies have benefited from non-reimbursable financing and 318 business managers have been trained. Companies interested in this Programme can register by filling out the form https://odimm.md/ro/ecoimm

{gallery}Comitet ECO IMM - 30.12.21{/gallery}

The government supports the increase of female entrepreneurship in the Republic of Moldova

 

92 start-ups, managed by women, from 24 districts of the country will receive non-reimbursable state funding for starting and developing a business. The allocation of grants of up to 165 thousand lei per business has been approved today, December 30, by the Supervisory Committee of the Programme  "Women in Business", managed by the Organization for the Development of Small and Medium Enterprise Sector (ODIMM). The overall value of the grants will be 11.46 million lei, which will stimulate investments in the national economy of about 16.5 million lei and will contribute to the creation or maintenance of 285 jobs. At the 8th Call for Investment Projects, there have been submitted online 277 applications from women-managed companies from all over the Republic of Moldova.

59 per cent of the businesses selected for financing will operate in rural areas, and for 6 companies their own contribution of 10% will be covered by the International Labour Organization, within the Local Employment Partnership in Cantemir and Causeni districts.

About half of the investment projects approved today are from the field of service industry (photographic and cinematographic services; educational services; accounting and consulting; sports education; television production and broadcasting activities; vehicle maintenance and repair; health services and social assistance; health care in the artificial salt mine; etc.), other 33 per cent will act in manufacturing industry (manufacturing furniture, wooden toys; processing fruit and vegetables; making clothes and accessories; food industry / producing bakery products, pasta and spices, constructing roofs and drainage systems, manufacturing metal constructions and parts, etc.), and 16 per cent act in agriculture and animal husbandry (growing vegetables in greenhouses; beekeeping, cultivating aromatic, medicinal plants; pig farming).

At the same time, some of the companies selected for financing will develop innovative businesses: recycling used objects; manufacturing dental medical devices, apparatus and instruments (dentures, dental crowns, etc.); producing cereal plant juices (from frozen and prepackaged wheat grass juice); cultivating spices and herbs (growing saffron); preserving fruits and vegetables (cryogenics); providing specialized education services based on Soroban and mental arithmetic.

The Programme "Women in Business", managed by ODIMM, supports women to gain managerial skills by developing their businesses, provides access to personal development and counselling on behalf of professional mentors and grants non-reimbursable financial resources of up to 165 thousand lei, which can be used to purchase investment items and business development services.

The entrepreneurial support mechanism is intended for women who are planning to set up or expand their business, especially in villages, and also provides the possibility to benefit from a grant of up to 1,649,000 lei for growing companies, which aim at exporting goods and services.

So far, through the given Programme, 1100 women have been trained in entrepreneurship and guided in developing investment projects, and 618 investment projects have been financed in a cumulative amount of 95.63 million lei, which invested about 150 million lei in the economy and facilitated the creation or maintenance of over 2,000 jobs. The Programme is financed from the state budget and supplemented from the European Union funds.

See the list of winners

{gallery}PFA - comitet 30.12.21{/gallery}

ODIMM continues to provide financial assistance to businesses run by migrant workers

 

64 companies created by migrants or their first-degree relatives will receive from the state non-reimbursable financing of up to 250 thousand lei in order to set up or develop their own business in the Republic of Moldova. The Supervisory Committee of the Programme for Attracting Remittances in the Economy (PARE 1 + 1) has approved today, December 24, the applications for non-reimbursable financing from the returned home entrepreneurs, who will invest their foreign remittances. The total amount of grants approved for these investment projects is 15.46 million lei.

According to estimates, following the implementation of investment projects, there will be created or maintained about 185 new jobs, and the cumulative investments in the national economy will account for about 38 million lei. 

More than half of the companies benefiting from the financing will develop businesses in 27 districts of the country in the field of agriculture (cultivating cereals, growing vegetables in greenhouses, grapes, walnuts and plums, beekeeping and animal husbandry). 19 businesses will act in the field of providing services (accommodation and catering activities, transport services, vehicle maintenance and repair, health and social assistance, construction) and 11 companies will operate in manufacturing industry (clothing, manufacturing ceramic objects, wood processing, bakery, sand and gravel extraction, furniture manufacturing.

According to the rule 1 + 1, the 64 entrepreneurs will contribute with their own investment share, from the money earned in 14 foreign states: Germany, Great Britain, Italy, France, Romania, Russia, USA, Israel, Ireland, Spain, Holland, Greece, Sweden and Ukraine.

Out of the total funding applications, 35 businesses are set up by migrant workers, and 29 enterprises are created by their first-degree relatives. At the same time, 26 businesses are created by women, and 25 companies are established and run by young people.

The Programme PARE 1+1, managed by the Organization for the Development of Small and Medium Enterprise Sector, aims to mobilize the human and financial resources of Moldovan citizens working abroad for sustainable economic development of our country, by encourging the establishment and development of small and medium enterprises. The Programme operates under the rule "1+1", so that each leu invested from remittances will be supplemented by one leu in the form of a grant within the Programme. The beneficiaries of grants may be citizens of the Republic of Moldova working abroad and the beneficiaries of remittances, i.e. the first degree relatives.

During the Programme PARE 1 + 1, there has been facilitated the access to finance for 1815 enterprises, which invested in the economy 1 billion lei, of which about 382 million lei constitute the sum of the grants transferred within the Programme, thus, each lei granted generates about 3 lei investments in the economy. 

See the list of the companies approved for financing

{gallery}Comitet PARE-24.12.21{/gallery}

The state offers new opportunities for young people to develop their businesses at home

 

94 companies run by young people will receive grants of up to 180 thousand lei on behalf of the state for starting their own businesses at home. Today, December 24, the Steering Committee of the Programme "START for YOUTH: A Sustainable Business at Home", has approved for funding the investment projects submitted by young entrepreneurs under the fourth call. 182 companies from all regions of the country applied for the competition, and went through a rigorous selection process. From the number of the companies approved for financing, the contribution of 20% for 7 investment projects will be covered by the International Labor Organization, within the Local Employment Partnership from Cantemir and Causeni districts.

The total value of the approved grants will account for 15.93 million lei, which will contribute to attracting 25.70 million lei investments in the economy. The implementation of youth investment projects will create about 275 jobs, of which 131 for women.

Out of the 94 investment projects accepted for financing, 45 businesses are created / managed by women. About 67% of the businesses set up by young people will act in rural areas. The most active localities are Chișinău municipality, ATU Găgăuzia, Căușeni, Ungheni, Cahul, Ștefan-Vodă and Orhei.

The fields of activity of the selected companies aim at providing services (48%), a third of the businesses (34%) will act in manufacturing industry, and 13% of the companies will be engaged in agriculture and animal husbandry.

After examining the business projects of the young participants in the programme, it is worth noting the ingenuity and innovation of the submitted business ideas, such as: production of prostheses for the upper and lower limbs; production of orthopedic mattresses; production of vegetable dairy products from nuts and seeds; production of reed thermal insulation boards; manufacturing essential oils, aromatic teas and herbal supplements; manufacturing concrete, granite and marble items (paving); production of ecological decorative cosmetics, etc.

We remind you that the National Programme “START FOR YOUTH: A Sustainable Business at Home” was launched in February 2019 and aims to develop entrepreneurship among young people and encourage business start-ups, especially in rural areas, by facilitating access to financial resources, training, consulting and mentoring in business management and expansion.

During the implementation of the Programme, 1459 young people have been trained in entrepreneurship and guided in developing investment projects, and 300 investment projects have been approved for funding, of which 246 investment projects in the form of grants and 54 investment projects in the form of Business Vouchers. At the same time, there have been held 31 Hackathons in all regions of the country, in order to encourage the creativity of young people across the country in generating ideas and identifying the most viable and innovative potential business ideas.

See the list of the companies approved for financing

{gallery}Comitet START PENTRU TINERI - 24.12.21{/gallery}

Ștefan Vodă - the best Incubator of the year 2021

 

The best Business Incubator (BI) of 2021 was named the Incubator from Ștefan Vodă district. The institution has recorded the highest performance this year, and the incubation rate of the companies is about 100%. Today, during a meeting, there have been totalled the outcomes of the 11 Incubators’ activity for the current year, being discussed new objectives and plans for the future. The meeting has been  attended by the representatives of the Organization for the Development of  Small and Medium Enterprise Sector (ODIMM), the Network of Incubators from Moldova (RIAM) and the managers of Business Incubators.

It is the seventh edition of the contest "Business Incubator of the Year", being initiated by the Organization for the Development of Small and Medium Enterprise Sector and the Network of Business Incubators from the Republic of Moldova. The aim of the contest is to promote Business Incubators’ performances and good practices, to improve their activity and, of course, to create new opportunities for the development of small and medium-sized enterprises in the regions.

According to the manager of the Incubator from Ștefan Vodă, Adelina Barbăneagră, nowadays 25 businesses operate within the institution, of which 11 are start-ups. 14 companies are run by young people and 7 companies are managed by women. There have been created 48 jobs within the companies incubated in the BI Ștefan Vodă. The turnover of those 25 incubated companies accounts for over 19 million lei.

“During this year, within the BI Ștefan Vodă, there have been offered about 450 consultations to entrepreneurs and potential entrepreneurs. For developing entrepreneurship skills, promoting and urging business development among young people, there has been accessed 1 project that aims to organize mentoring and coaching events, arrange a co-working space for young entrepreneurs and support 10 young people in developing their business ideas. There have also been organized 41 training and information sessions", said Adelina Barbăneagră.

At the same time, the manager of Călărași Incubator, Victor Ambroci, has been awarded the Diploma for maintaining the remarkable outcomes.

In this context, the Interim Director of ODIMM, Dumitru Pîntea, reaffirmed the state commitment to supporting and strengthening business incubators as promoters of economic development in the regions.

"Business incubators play a significant role in strengthening the capacities of SMEs in rural areas. We will continue to support these entities for creating and developing a practical and lucrative ODIMM network in the regions", stated Dumitru Pîntea.

At the moment, in the eleven Business Incubators, members of RIAM, there are about 263 resident companies, of which 157 are start-ups, 143 are run by young people and 122 are managed by women. Overall, there have been  created 830 jobs, of which 372 for women and 330 for the youth.

The Business Incubators Network from Moldova was set up in 2013 by ODIMM,  with the assistance of the European Union. The members of RIAM are the Business Incubators: Ștefan-Vodă, Dubăsari, Leova, Ceadâr-Lunga, Rezina, Nisporeni, Sângerei, Soroca, Cimișlia, Cahul and Călărași.

{gallery}Incubatorul anului 2021{/gallery}

ODIMM has a new interim director

 

The Ministry of Economy has appointed Dumitru Pîntea as interim director of the Organization for the Development of Small and Medium Enterprise Sector (ODIMM).

While introducing the new director to ODIMM team, the Minister of Economy, Sergiu Gaibu, assured that all projects and initiatives for supporting local business environment will continue. At the same time, he appealed to ODIMM employees to show openness and collaboration in strengthening the activity of the institution.

The new Director of ODIMM has emphasized that he is in favor of efficient and transparent use of public money - regardless of its source, meritocracy and corporate ethics. The activity will also be focused on respecting integrity principles  and good governance.

Until recently, Dumitru Pîntea has had the position of the Director of the Program “Business Environment and SMEs” within the Independent Analytical Center „Expert-Grup”. In the period 2013-2015 he had the position of the main consultant in the Commercial Policy Department within the Ministry of Economy.

He has a licentiate degree in economics and international economic relations. Dumitru Pîntea has participated in various training courses in the USA and Europe. He is currently doing his doctoral studies at the Academy of Economic Studies in the field of developing financing tools to increase the competitiveness and resilience of the companies from the Republic of Moldova. He speaks English and French fluently.

 

Clusters, a model of regional competitiveness, supported by the European Union

 

Clusters as drivers of green, digital, and resilient economic competitiveness, their role in triggering and carrying out processes in a circular economy were the subjects of the International Conference of Small and Medium Enterprises (SMEs) 2021, conducted online during 7-8 December. The messages of the speakers and participants highlighted that clustering stimulates economic development, revitalizes industrial sectors and provides the necessary framework for regional development, research and innovation. The development of clusters in the Republic of Moldova is one of the main elements for strengthening regional competitiveness, and the European Union, within the “EU4Moldova: Focal Regions” Programme will come in 2022 with financial instruments to develop more clusters in the Cahul and Ungheni regions. The Programme is implemented by UNDP and UNICEF.

In the context of COVID-19 crisis, clusters have an essential role and there is need of strong commitment, coordinated efforts and actions by all stakeholders to establish solid partnerships for their creation and further development, said Sergiu Gaibu, the Minister of Economy, in his opening remarks to the event: “Clusters have shown performance in many countries, because they have different configurations, and the Republic of Moldova should find its own high-performance and competitive models both on the domestic and international market. Clusters in rural or agricultural areas will be different from those in the field of innovation or information technology. For this reason, the Ministry of Economy will support the piloting of cluster models until we identify the most successful one to be replicated and widely used in the economy.”

The European Union supports and strengthens the development of clusters by providing financial assistance for the purchase of machinery and equipment, as well as technical assistance to increase the capacity of several clusters in the Cahul and Ungheni regions.

The Deputy Head of Operations at EU Delegation to the Republic of Moldova, Gintautas Baranauskas mentioned on the occasion: “This event organised in cooperation with the EU Focal Regions pPogramme put the focus on the role of clusters as drivers of green, digital and resilient economic competitiveness in the Republic of Moldova. That is absolutely key and I would like to highlight that the Focal Regions Programme is a transformative green agenda that, at the local level, is replicating the European Green Deal approach. It is now important to scale up the action as soon as possible. The European Union is already providing the necessary financial support to reinforce local value chains and clusters in Cahul and Ungheni regions. This is a tangible support to boost the economic recovery and improve the business environment with the ultimate objective to create green and long-lasting economic development.”

Dima Al-Khatib, UNDP Resident Representative to the Republic of Moldova, said: “I am confident that the discussions during this conference will set a good momentum and foundation for Republic of Moldova, particular for Cahul and Ungheni Regions to catalyze investments based on circular economy principles, innovation, participatory planning; will provide not only valuable knowledge and innovation insights but also opportunities for partnerships between a variety of public and private sector entities, from the country and abroad.”

"It is already well known that domestic SMEs face a multitude of challenges and do not have enough capacity to grow and cope with fierce global competition. At the same time, international expertise shows that clusters help SMEs to become more resilient, innovative, competitive and better integrated into global value chains. The development of this sector is a relatively new activity for the economy of the Republic of Moldova, being still in an emerging stage. For clusters, the role of the state is vital and extends beyond providing only a basic institutional and legal framework. In the current conditions, the state also has the mission to stimulate the interaction between members, because we notice that the local entrepreneurs are reluctant to interact with other SMEs, educational institutions and even public institutions", stated Dumitru Pîntea, Interim General Director of ODIMM.

According to the experts participating in the conference, international experience shows that the association of manufacturing companies, suppliers and state and private institutions operating in a certain sector (creating cluster networks) increases technological performance and productivity, contributing to the competitiveness of companies, expanding the market and increasing visibility.

The event tackled the new models of collaboration that would accelerate economic development by revitalizing key sectors and providing a necessary environment for regional research, innovation and development. In this regard, more attention needs to been paid to opportunities to incorporate the dimensions of "circular economy" and "digitalization" in the context of clusters’ development.

The sustainable development of clusters and the increase of their international competitiveness should be as well the result of the development and application of new technologies and principles, by updating the technological process, while respecting the principles of environmental protection.

The International Conference of Small and Medium Enterprises brought together representatives of the Government, development partners, business and academia, research, public administration, a total of 300 participants from the Republic of Moldova and from abroad. 

 

The conference was organized by the Ministry of Economy of the Republic of Moldova, Organization for Small and Medium Enterprises Sector Development (ODIMM) and the Programme “EU4Moldova: Focal Regions”, with the financial support of the European Union and implemented by the United Nations Development Programme (UNDP) and the United Nations Children's Fund (UNICEF), in partnership with the Europolis and InPulse organizations.

For more information, please access odimm.md or contact Lucia Beiu, email: lucia.beiu@odimm.md, tel. 068301339

{gallery}Conferinta internationala a IMM-urilor 2021{/gallery}

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