COVID-19: Weekly Digest on Impact on SMEs in EAP (17 July)


  • Kim Kardashian joins the fundraising to support SMEs in Armenia, organised by the Support Armenia Fund in cooperation with the Ministry of Economy of Armenia. About 900 business entities have already received assistance under the third anti-crisis program aimed at supporting small and medium-sized businesses, according to the Minister of Economy Tigran Khachatryan. Read more
  • The Government of Armenia extended the state of emergency for 30 days until August 12. It is the fourth extention since March 16, 2020, when the state of emergency was first declared. Read more
  • If no new actions to support business in Armenia are introduced, up to 80,000 workers may become unemployed. Gagik Makaryan, the President of the Republican Union of Employers of Armenia, stated that according to a survey conducted two months ago, 86% of the businesses predicted their closure within the next 90 days, i.e. by the end of July. Read more


  • Azerbaijani government will provide state loan guarantees for businesses in areas affected by COVID-19 by the end of 2021. Interest subsidies for these loans will also be applied, according to the Cabinet of Ministers. The guarantee will not be given if an entrepreneur has a delay in loan payment of more than 60 days (as of March 10, 2020), or if there is a court decision on the withdrawal of funds from the entrepreneur’s account. The same goes for persons affiliated with banks, business entities, the state share in which exceeds 50%, as well as to entrepreneurs included in the group of risky taxpayers. Read more
  • The volume of revenues to the state budget of Azerbaijan through the State Customs Committee (SCC) in January-June amounted to approximately 2.02 billion AZN($1.19 billion). This is 2.2% lower than during the same period of 2019. Read more


  • To increase confidence in the banking system, the National Bank has developed amendments to guarantee the reimbursement of bank deposits for individual entrepreneurs. The “Ceiling” of deposit reimbursement is just over 41,000 dollars (99.8% of private entrepreneurs’ deposits do not exceed this amount). Read more
  • The Deputy Minister for Taxes and Duties said that more than 39,000 individual entrepreneurs in the country pay a single tax at a reduced rate. This is the anti-crisis benefit provided by local authorities. Read more
  • Government support for business amounted to about $9.4 million during the pandemic. Businesses have received preferences and tax benefits for this amount under the decree on supporting the economy. However, real assistance amounted to about 4.7 million, with the rest made up from installments, deferrals and tax loans, which have to be paid by the end of this year. Read more


  • Georgia’s external trade in January-June 2020 decreased by 16.3%, show data from the National Statistics Office. The value of exports decreased by 15.6%, while imports decreased by 16.5%. Read more
  • The government of Georgia will subsidize the 2020 grape harvest in order to support farmers sell all their produce and help wineries overcome problems caused by the pandemic. In case of extreme necessity, the government will be involved in the purchase of grapes. Read more
  • The government of Georgia is launching a new state programme “Travel for Georgia” to promote domestic tourism. The government calls the public to get actively involved and take advantage of the pandemic to rediscover the country and become the best guides for foreign visitors when international tourism fully reopens. Read more
  • Georgia allows open-air cultural events, exhibitions and all other types of outdoor activities for no more than 200 attendees as of July 13 to support tourism hit hard by the pandemic. Read more
  • Summer season opens in mountainous Georgia as of July 10 to support tourism sector, subject to specific regulations to prevent the spread of Covid-19 in resorts. Read more 

The Republic of Moldova

  • The National Extraordinary Public Health Commission has extended the state of emergency until July 31. Thus, until the end of July, most of the restrictions will remain in force – entertainment and recreation parks, nightclubs, kindergartens, camps remain closed. At the same time, starting from July 16, some easing is planned for fitness clubs, swimming pools and rehabilitation treatment centers. Read more
  • Given the epidemiological situation, several producers in the Republic of Moldova have started organizing virtual tours of vineyards and orchards. Read more
  • Moldovan wineries reopen their doors and receive visitors. Resumption of activity is done in compliance with safety measures. Read more    
  • In the frame of the #NeamPornit campaign, the Moldovan Investment Agency developed a digital map of tourist destinations in the Republic of Moldova and urges travelers and adventure lovers to take part in a marathon to promote the country’s touristic potential. Read more 


  • The Ukrainian Tourist Association has launched a website Visit Ukraine Now to provide information support for visitors and Ukrainians who get return from abroad. The website explains the rules of using the app Dii Vdoma that locates and controls movement during self-isolation period. Read more
  • 1,140 entrepreneurs have received loans under the state programme “Affordable loans 5-7-9%” valued at UAH 1.45 billion (EUR 46.9 million) during the first 5 months. The Ministry of Finance states that during the last week the process has been intensifying and resulted in 106 loans for UAH 360 million (EUR 11.6 million). Read more
  • Labor migrants transferred 21% less cash to Ukraine in May compared 2019 YoY. Earlier the NBU revised its forecast for such transfers: from USD 12.5 billion to USD 10 billion. Read more
  • Last week, the number of officially unemployed reduced, for the first time since the beginning of quarantine. It had dropped per 11,000 and totalled 517,100 unemployed. Read more
  • The Union of Ukrainian Entrepreners has launched a “hot line” for legal issues related to legislative norms of business operation during COVID crisis. The hot line is moderated by local law firms and open 7 days per week. Read more

EU4Business Updates

  • EU, Sweden and Austria announce €860,000 for tourism development initiatives in Georgia
    Grants between €5,000 and €50,000 with the co-financing share at a minimum 10% of the total budget will support entrepreneurs in sustainable mountain tourism that the COVID-19 crisis has hit hard. Read more 
  • New EU project to improve business climate and support economic diversification in Azerbaijan
    EU-Azerbaijan Business Forum 2020-2022 project has been launched in Azerbaijan with the aim of strengthening the non-oil sector by improving the business climate and supporting the economic diversification of the country. Read more
  • EU releases €30 million in macro-financial assistance to Moldova
    The European Commission on 10 July approved a disbursement of €30 million in macro-financial assistance (MFA) to the Republic of Moldova. Read more