Download Micro, Small and Medium Enterprises

Micro, Small and Medium Enterprises
(MSMEs) for EMPLOYMENT AND
GREEN ECONOMY SERVICES FOR
POVERTY ALLEVIATION
in the Caribbean
Caribbean Natural Resources Institute
Nicole Leotaud
Context in the Caribbean
• The main economic sectors in the Caribbean are based on the
use of natural resources – tourism and agriculture. Highly
vulnerable.
• SMEs make up the majority of businesses in the Caribbean;
they contribute 40% of the GDP and 50% of employment.
• In Trinidad and Tobago, micro and small enterprises make up
90%.
• Many MSMEs are in the informal sector and MICRO.
• MSMEs are particularly important for poor and vulnerable
groups such as women and youth.
CANARI’s focus
• Rural community
micro-enterprises
are based on the use
of natural resources
and critical for
community
livelihoods –
particularly poverty
alleviation, food
security.
Developing MSMEs in the Caribbean is
a pathway to a green economy
A Green Economy in the Caribbean context aims for long-term
prosperity through equitable distribution of economic benefits and
effective management of ecological resources; it is economically
viable and resilient, self-directed, self-reliant, and pro-poor.
MSMEs make up
the majority of
businesses, GDP
contribution and
employment.
MSMEs reach
marginalised
groups and help
address current
social and
economic
inequities.
MSMEs are
flexible, resilient
and innovative.
MSME’s provide economic, social and environmental co-benefits.
The enabling institutional framework for
MSMEs needs to be strengthened
• Consumer demand is good and increasing, but MSMEs have
very weak market access – issues of quality control and
standards, marketing, distribution
• MSMEs have poor / insecure access to resources – financing,
insurance, land, technology, information
• The regulatory framework does not enable MSMEs – social
support, decent jobs
• Government support agencies are not effectively addressing
the needs of MSMEs, particularly community microenterprises
Capacities of MSMEs need to be
strengthened
• Business management: core capacities needed
• Technical capacities: in sustainable use of resources,
quality control and standards
• Partnerships: often competing for limited market
(e.g. for community eco/heritage tourism, crafts)
• Culture: they are very wary of cooperatives (despite
potential benefits in access to resources and joint
marketing)
CANARI’s incubator for community microenterprises using natural resources
• Participatory process: driven by entrepreneurs - aimed at
getting them “from zero to 10” - use a mix of facilitation,
training, coaching, mentoring, action learning and small grants
• Connect to: other community entrepreneurs for peer learning;
social enterprise SMEs for partnerships; support agencies
• Green economy approach: economic, social and environmental
co-benefits; build resilience to climate change and natural
disasters along the value chain
• Lessons communicated: to influence policy and practice
Lessons and recommendations
• Green economy approach: co-benefits + building resilience
• Coaching, mentoring and peer learning
• Micro-grants and micro-loans
• Marketing support and branding sustainable community
products and services
• Using local/national NGOs as intermediaries – training trainers
• Participatory action learning and evaluation of impact
• Capacity building for and coordination of government and
other support agencies and initiatives
• Social dialogue for policy and regulatory systems reform
Thank you!
Nicole Leotaud
Caribbean Natural Resources Institute (CANARI)
[email protected]
www.canari.org
YouTube and Facebook: CANARI Caribbean