Over the last two decades, the government of Ethiopia has implemented various training and financing programs to develop the Micro and Small Enterprises (MSE) sector as a vehicle for inclusive growth and sustainable employment. However, the impact of these efforts is not known. A team of local PEP researchers thus set out to assess whether government support programs (access to credit, training, and a combination of both) increase the monthly revenues of MSEs in urban Ethiopia. Their findings indicate that combining the support programs (simultaneous access to credit and training) is more effective than offering either individually. Additionally, the team found that female entrepreneurs have limited access to the support programs, compared to male entrepreneurs.
Find out more about the research methods, findings and policy recommendations in the following PEP publications: