United Nations Earth Summit+5 Success Stories - New Jobs through Better Entrepreneurship

EARTH SUMMIT+5
Special Session of the General Assembly to Review and Appraise
the Implementation of Agenda 21
New York, 23-27 June 1997
SUCCESS STORIES FROM BULGARIA

New Jobs through Better Entrepreneurship

Location Valley of the river Mesta, in Southwestern Bulgaria.

Responsible organization(s) ILO, UNDP and National Employment Service of the Bulgarian Ministry of Labour and Social Welfare.

Description In November 1995, ILO, UNDP and the Ministry of Labour and Social Welfare of Bulgaria formulated a project aiming at the promotion and support of new, as well as already existing, small and medium-sized enterprises in this area, as part of their income-generating and employment creating-policies. This was done through the establishment of a Business Promotion and Support Center, in July 1996. It comprised 8 municipalities of the region, all the relevant local economic organizations, the local branches of the National Employment Service, as well as representatives from the local business community. Through training courses, the Centre aimed at motivating and preparing unemployed people to start their own business. By linking training with a proper credit fund for small entrepreneurs, the Center hopes to create several new enterprises in the near future. A tight monitoring scheme will help prevent the newly established businesses from breaking down.

Issues addressed Sustainable development of Small and Medium Enterprises especially in the field of agriculture, woodprocessing and tourism.

Objectives

Providing information on credit, markets, business partners, machinery, etc.;
Contributing to a change in the mentality of the local business community towards a more market-oriented approach;
Creating a better understanding and consensus, among the local actors about the development of 'their' local economy.

Results achieved Since its opening the Center created more than 40 new jobs. It was also asked by the mayor of Bansko to support the creation of a local association of woodwokers and furniture makers in Bansko (representing more than 600 persons). The Business Center also helped 14 bakeries in the Mesta Region to form an association and become members of the National Branch Association.
The Business Center organized training activities on topics varying from bookkeeping to English language courses. In total more than 100 people are currently participating in the courses.
Several market links with Bulgarian and foreign companies have been developed.
A twinning with the Chamber of Commerce in the Greek city of Drama is under preparation.
The Center will be incorporated in a national network of similar institutions set up by the PHARE Programme and bilateral cooperations, and will be linked with Business Centers from other European countries.

Lessons learned The project has been defined as an answer to a specifically formulated need. It was prepared and written together with a working group of representatives of the main local institutions and organizations who, on the basis of a consensus, defined their own needs and priorities.
Training has to be conceived as a continuous process to enhance local capacity building.
In a country like Bulgaria, which has litle experience in the market economy, it is important to raise public awareness to promote an entrepreneurial culture and create a favourable and enabling climate for entrepreneurship development.
The National Employment Service is going to replicate the "Mesta" model in other local areas in the country. In this way, action at the local level will gradually become part of a national framework, and a national policy.

Financing Government of the Netherlands: US$ 547,800.

Contact Mr. Liuben Tatarski, Manager Business Center "Mesta"
2, Hirsto Botev Street, 2760 Razlog, Bulgaria;
Tel.: + 0747-6462;
Fax: + 0747-6100

Mr. Geert can Boekel, Project Manager, Project BUL/95/001;
ILO/UNDP Office, Sofia, Bulgaria;
Tel.: +02-9753296;
Fax:+02-9743089.

Copyright © United Nations
Department of Economic and Social Affairs
Comments and suggestions: esa@un.org
Last updated 1 November 1997

	New Jobs through Better Entrepreneurship
	Location	Valley of the river Mesta, in Southwestern Bulgaria.
	Responsible organization(s)	ILO, UNDP and National Employment Service of the Bulgarian Ministry of Labour and Social Welfare.
	Description	In November 1995, ILO, UNDP and the Ministry of Labour and Social Welfare of Bulgaria formulated a project aiming at the promotion and support of new, as well as already existing, small and medium-sized enterprises in this area, as part of their income-generating and employment creating-policies. This was done through the establishment of a Business Promotion and Support Center, in July 1996. It comprised 8 municipalities of the region, all the relevant local economic organizations, the local branches of the National Employment Service, as well as representatives from the local business community. Through training courses, the Centre aimed at motivating and preparing unemployed people to start their own business. By linking training with a proper credit fund for small entrepreneurs, the Center hopes to create several new enterprises in the near future. A tight monitoring scheme will help prevent the newly established businesses from breaking down.
	Issues addressed	Sustainable development of Small and Medium Enterprises especially in the field of agriculture, woodprocessing and tourism.
	Objectives	Providing information on credit, markets, business partners, machinery, etc.; Contributing to a change in the mentality of the local business community towards a more market-oriented approach; Creating a better understanding and consensus, among the local actors about the development of 'their' local economy.
	Results achieved	Since its opening the Center created more than 40 new jobs. It was also asked by the mayor of Bansko to support the creation of a local association of woodwokers and furniture makers in Bansko (representing more than 600 persons). The Business Center also helped 14 bakeries in the Mesta Region to form an association and become members of the National Branch Association. The Business Center organized training activities on topics varying from bookkeeping to English language courses. In total more than 100 people are currently participating in the courses. Several market links with Bulgarian and foreign companies have been developed. A twinning with the Chamber of Commerce in the Greek city of Drama is under preparation. The Center will be incorporated in a national network of similar institutions set up by the PHARE Programme and bilateral cooperations, and will be linked with Business Centers from other European countries.
	Lessons learned	The project has been defined as an answer to a specifically formulated need. It was prepared and written together with a working group of representatives of the main local institutions and organizations who, on the basis of a consensus, defined their own needs and priorities. Training has to be conceived as a continuous process to enhance local capacity building. In a country like Bulgaria, which has litle experience in the market economy, it is important to raise public awareness to promote an entrepreneurial culture and create a favourable and enabling climate for entrepreneurship development. The National Employment Service is going to replicate the "Mesta" model in other local areas in the country. In this way, action at the local level will gradually become part of a national framework, and a national policy.
	Financing	Government of the Netherlands: US$ 547,800.
	Contact	Mr. Liuben Tatarski, Manager Business Center "Mesta" 2, Hirsto Botev Street, 2760 Razlog, Bulgaria; Tel.: + 0747-6462; Fax: + 0747-6100 Mr. Geert can Boekel, Project Manager, Project BUL/95/001; ILO/UNDP Office, Sofia, Bulgaria; Tel.: +02-9753296; Fax:+02-9743089.