Only 57% of small and medium-sized businesses have resumed their pre-war performance.
Thursday, March 2, 2023
According to an EBRD study, the remainder of these companies have either reduced the scope of their activities (37%) or suspended them (6%). The war has had a significantly negative impact on these enterprises. Income decreased by an average of 43%, and the number of jobs by 22%. The top five problems faced by small and medium-sized enterprises during the war are:
- reduced demand and loss of traditional sales markets (77%),
- increased costs (70%),
- reduced productivity due to shelling and air raids (68%),
- inability to forecast and build long-term strategies (68%),
- a lack of opportunity to increase staff pay (55%).
Disruption of supply chains is a big problem for industrial enterprises (67%), while in general, this indicator is affects 52% of small and medium-sized businesses. These businesses’ primary need is money. When asked what kind of support apart from a loan could be helpful to them, 35% answered grants for reconstruction, and another 32% grants for other purposes.