State of the Small & Growing Business Sector:

2017 Impact Report

by the Aspen Network of Development Entrepreneurs 

Since 2009 ANDE has been tracking the state of the small and growing business (SGB) sector to assess its growth and impact on emerging market economies. This year’s report begins with an overview of SGB intermediaries in 2017. including data on capacity development services, direct investments into SGBs, and donor funding. Next, the report focuses on trends and activities at ANDE’s seven regional chapters that were active in 2017: Brazil, Central America/Mexico, East Africa, East and Southeast Asia, India, South Africa, and West Africa.  

Here are some report insights. Check out the report to get the full picture.

Capacity Development Services

• Over half of ANDE members say they prioritize gender inclusion. Of the capacity development providers that completed the survey, 77 percent said they prioritize gender inclusion, as opposed to 54 percent of investors.
• GALI has identified over 500 accelerators working globally, at least 218 of which operate in emerging markets. 

• Corporate foundations are important funders in the sector, and corporate social responsibility units often facilitate important capacity development services. However, data shows that the majority of ANDE member partnerships focus on the corporation’s core business unit.

SGB Investing

• Over 400 investment vehicles have launched in the past 10 years that invest in emerging market SGBs, with an estimated US $11 billion in committed capital.

• Forty-seven investment vehicles launched in 2017, and a third of these focus on the information, communications, and technology (ICT) sector.

• According to the Emerging Market Private Equity Association (EMPEA), US $217 million was invested in deals US $2 million and under in 2017, which represents 21 percent of total emerging market deals.

Donor Funding for the SGB Sector

• In 2016, Funding for SMEs declined to US $3.7 billion from US $4.1 billion in 2015.

• European donors and institutions continued to make up 80 percent of all donor disbursements to SMEs in 2016.

• In 2016, Turkey received the most SME funding for the third consecutive year, receiving one third of all funding allocated to SMEs from 2012 to 2016.

Regional Insights

ANDE’s regional chapters promote collaboration and knowledge sharing among local ANDE members and support regional activities and advocacy efforts that support SGBs in the region. This section of the report highlights data on each entrepreneurial ecosystem, and regional leaders’ perspectives on key trends for each region. 

READ THE DIGITAL REPORT NOW

Financing the Frontier:
Inclusive Financial Sector Development in Fragility-Affected States in Africa

by Financial Sector Deepening Africa in partnership with Mercy Corps

Poverty in sub-Saharan Africa (SSA) is reducing, but the concentration of extreme poverty in fragile states is likely to increase, according to a new report published today by the Financial Sector Deepening Africa in partnership with Mercy Corps. The report concludes that the donor community can crowd-in legitimate financial market actors and provide the flexibility needed to take risks, and allow development actors to pivot as the fragility-affected states in Africa (FASA) change and adjust.

Download the case study here.

Unleashing the Potential of Women Entrepreneurs

by Babson College and The Coca-Cola Company

This report provides an overview of The Coca-Cola Company's 5by20 initiative, starting with its multi-dimensional contextual setting: the extensive focus on gender equality shared by governments, NGOs and private enterprise, and Coca-Cola’s commitment to and investment in a broad array of initiatives focused on economic development, sustainability, and social goals. The report then describes eight programs from six value chain sectors: Producers, Suppliers, Distributors, Retailers, Recyclers and Artisans, and it concludes with a review of 5by20’s efforts to measure the impact of the initiative, a summary of key elements that contribute to successful scaling, and lessons learned. 

Download the case study here.