The European Bank for Reconstruction and Development (EBRD) highlighted challenges hindering youth entrepreneurship in Macedonia, emphasizing limited access to partnerships, knowledge, and markets. During their first event focused on promoting youth entrepreneurship through the Youth in Business (YiB) program, EBRD allocated a financial package of €9 million to ProCredit Bank.
The package includes a €2 million loan for local micro, small, and medium-sized enterprises (MSMEs) led by entrepreneurs under 35 through the YiB program, and a €7 million loan under the Green Finance Facility (GFF) for local SMEs.
Speakers at the event included ambassadors from Italy and Sweden, who addressed the obstacles young entrepreneurs face in accessing finances and underscored the importance of supporting youth to contribute to economic growth.
Italy’s Ambassador highlighted financial institutions perceiving young entrepreneurs as high-risk for funding, potentially leading to youth migration and brain drain. Sweden’s Ambassador emphasized their commitment to empowering youth, citing successful examples of innovative companies in Sweden.
Ana Mitreska, Vice Governor of the National Bank, pointed out the challenges young entrepreneurs encounter in accessing traditional banking financing due to factors like lack of credit history and collateral. She also highlighted the disparity in youth unemployment rates between Europe and Macedonia, noting a significant reduction in Europe’s overall rate but a higher rate of 25% in the Macedonian economy.
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