From Policies to Action: OECD and EU4Business supporting Armenia’s SME Development Strategy

Supporting Armenia’s SME Development Strategy

On 27 March, the OECD organised the second workshop on supporting Armenia’s SME development strategy in the framework of the EU-funded project ‘EU4Business: From Policies to Action’.

The workshop focused on the monitoring system as a key aspect for an effective implementation of the SME Strategy. It presented good practice tools to monitor and report progress in the implementation of SME strategies and action plans, including key performance indicators to better assess the impact of implemented policies. The public-private framework of the workshop provided an opportunity to discuss the draft SME strategy, its main policy priorities and actions, and get feedback and recommendations from private sector representatives and the OECD. 

The workshop was structured in two sessions: 

Session 1: Feedback on Armenia’s draft SME development strategy. The representative of the Ministry of economic development and investments presented strategic directions and key priority actions of the SME strategy 2019-2021. The OECD commented on the draft document and international expert Janez Sustersic provided his feedback. The session was followed by discussion with public and private sector representatives.  

Session 2: Improving Armenia’s monitoring system for a better implementation of the SME strategy- focus on KPIs. International expert Janez Sustersic shared good practice tools on monitoring and reporting on strategy implementation, and presented the result-oriented KPIs, based on international and Armenian examples, providing guidance on their design and measurement, as well as on data collection and analysis.The discussion on relevant KPIs for Armenian strategy followed expert presentation.   

The workshop was attended by more than 25 representatives from relevant ministries and state agencies, private sector and academia, as well as international partners (GIZ, EU Delegation).

Building on the findings and recommendations of the SME Policy Index 2016, the Government of Armenia has shown its willingness and taken steps to improve the policy environment for small and medium-sized enterprises. An initial effort in this direction has led to the adoption of an SME strategy covering the period 2016-2018, and the Government of Armenia is now in the process of drafting a new medium-term SME strategy for the upcoming years. In this context, the Ministry of Economic Development and Investments of Armenia has expressed an interest to receive OECD support to develop and finalise its SME strategy elaboration, in particular with regards to supporting public-private consultations and adopting elements of an effective monitoring system.

The overall objective of the project is to strengthen the institutional framework for SME policy making and support public-private dialogue during the development of the SME strategy. In order to meet this objective, the project will focus on the following activities: 

  • Strengthen the policy-making process by supporting public-private consultations on SME strategy (workshops);
  • Review draft strategic documents (strategy/action plans) produced by the Government, providing feedback and advice on strategic directions and priority actions to be included; 
  • Provide guidance on monitoring the implementation of the SME strategy with result-oriented key performance indicators. 

EU4Business: From Policies to Action is a regional project implemented by the OECD, which supports competitiveness and business environment reforms in the Eastern Partnership countries, working both at country and regional level.