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EMPOWERING WOMEN FOR REGIONAL ECONOMIC GROWTH FINAL REPORT

USAID GOVERNING FOR GROWTH (G4G) IN FOR INTERNAL USE ONLY

11 April 2019 This publication was produced for review by the United States Agency for International Development. It was prepared by Deloitte Consulting LLP. The author’s views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States Government.

EMPOWERING WOMEN FOR REGIONAL ECONOMIC GROWTH FINAL REPORT USAID GOVERNING FOR GROWTH (G4G) IN GEORGIA FOR INTERNAL USE ONLY CONTRACT NUMBER: AID-114-C-14-00007 DELOITTE CONSULTING LLP USAID | GEORGIA USAID CONTRACTING OFFICER’S REPRESENTATIVE: PHILLIP GREENE AUTHOR(S): NGO ABKHAZINTERCONT CAPACITY BUILDING: 5500 LANGUAGE: ENGLISH 11 APRIL 2019

DISCLAIMER: This publication was produced for review by the United States Agency for International Development. It was prepared by Deloitte Consulting LLP. The author’s views expressed in this publication do not necessarily reflect the views of the United States Agency for International Development or the United States Government.

USAID | GOVERNING FOR GROWTH (G4G) IN GEORGIA EMPOWERING WOMEN FOR REGIONAL ECONOMIC GROWTH i

DATA

Reviewed by: Maya Eristavi, Tamar Julakidze, Michael Martley

Project Component: Private Sector and Civil Society Strengthening

Practice Area: Women Empowerment for Regional Economic Growth in Region

Key Words: Women, region, business, entrepreneurship, development, skills, business plan.

USAID | GOVERNING FOR GROWTH (G4G) IN GEORGIA EMPOWERING WOMEN FOR REGIONAL ECONOMIC GROWTH ii

ACRONYMS

G4G Governing for Growth in Georgia USAID United States Agency for International Development NGO Non-Governmental Organization AIC Abkhazintercont IDP Internally Displaced Person GFA Georgia’s Farmers Association GoG Government of Georgia DCFTA Deep and Comprehensive Free Trade Area EU European Union

USAID | GOVERNING FOR GROWTH (G4G) IN GEORGIA EMPOWERING WOMEN FOR REGIONAL ECONOMIC GROWTH iii

CONTENTS 1. A SUMMARY OF THE ACTIVITY OBJECTIVES AND ACHIEVEMENTS ...... 1

2. A SUMMARY OF THE ACTIVITY IMPLEMENTATION PROCESS, LESSONS LEARNED AND RECOMMENDATIONS ...... 3

3. DESCRIPTION OF PROJECT IMPACT AND RESULTS (BASED ON THE INDICATORS PRESENTED IN THE APPLICATION AS WELL AS ANY OTHER ANECDOTAL INFORMATION, STAKEHOLDER OR OBSERVER COMMENTARY) ...... 4

4. A DISCUSSION OF HOW GRANT FUNDING CONTRIBUTED TO THE OBJECTIVES OF THE PROGRAM ...... 6

APPENDIX A: ...... 7

USAID | GOVERNING FOR GROWTH (G4G) IN GEORGIA EMPOWERING WOMEN FOR REGIONAL ECONOMIC GROWTH iv

1. A SUMMARY OF THE ACTIVITY OBJECTIVES AND ACHIEVEMENTS

For more than 20 years, the non-governmental organization (NGO) Abkhazintercont (AIC) worked in the Imereti, Samegrelo, Zemo Svaneti, Racha-Lechkhumi and Kvemo Svaneti regions, implementing various international donor-funded projects in areas such as agriculture, capacity building, employment opportunities, income generation, and social projects. AIC also provides consulting services and training in business development, financial capacity building, agro-farming, agro- business management, and legal issues. AIC’s work supports sustainable development of small enterprises and farming businesses, improves the social and economic conditions of internally displaced persons (IDPs) and vulnerable populations, and advocates the interests of marginalized groups. In 2018, G4G launched the “Empowering Women for Regional Economic Growth” grant program in the Imereti region, implemented by AIC. The ten-month program equipped women entrepreneurs in the region with relevant skills to increase their engagement in economic activities and support their businesses’ development. Project objectives were to: a. Identify new opportunities, initiatives, and innovative business ideas for women living in the Imereti region; b. Train women in business administration, leadership, advocacy, tax and financial reporting, Government of Georgia (GoG) business support programs, and Deep and Comprehensive Free Trade Area (DCFTA) issues - food safety requirements and export procedures to the European Union (EU); c. Increase awareness about women entrepreneurs in the Imereti region and support them to position their products on the market; d. Conduct individual and group consultations with women entrepreneurs to prepare and motivate them to participate in various grant competitions. In May 2018, AIC organized information sessions in 11 municipalities of the Imereti region: , , , , , , , , Tskaltubo, , and . The sessions raised awareness about the grant activity in the region and increased engagement of local citizens. AIC identified 137 women entrepreneurs from the Imereti region who run micro and small businesses and selected 60 as beneficiaries of the project, and another 16 women were selected for DCFTA trainings. The vast majority of the project beneficiaries are involved in farming, manufacture various dairy products, or produce handmade items. Project participants attended a series of training seminars that included business administration, leadership, advocacy, tax and financial reporting, GoG’s business support programs, and DCFTA issues. As a result, 60 participants learned new business skills, including business plan development, financial management and basics in tax administration; an additional 16 women attended seminars on DCFTA. Training for business skills development was held on July 3-25, 2018, in Kutaisi, Zestafoni, and Vani by the trainer Giorgi Chumburidze. Chumburidze taught beneficiaries business management and administration skills, tax and law issues, marketing, production, service, accounting, leadership skills, and business plan preparation and presentation, and proposal writing. By the end of the training, 60 women prepared their business plan proposals: Kutaisi (23 participants), Zestafoni (21 participants) and Vani (16 participants). DCFTA training sessions were held on August 1-30, 2018, in Kutaisi, Zestafoni, and Vani. The training was conducted by the invited trainer/expert, Rusudan Kovziridze. Sixty women entrepreneurs from the business trainings and 16 additional interested females attended at the following locations:

Kutaisi (29 attendees), Zestafoni (26 attendees), and Vani (21 attendees). The purpose of the training was to inform beneficiaries about food safety policy in Georgia, respective obligations under DCFTA, and procedures for exporting to the EU. The attendees were highly engaged and 95% correctly answered test questions after the completion of the seminar. Advocacy training sessions were held on September 1-30, 2018, in Kutaisi, Zestafoni, and Vani. The training was conducted by the trainer/consultant Tamar Elbakidze. In total, 58 women attended the trainings: Kutaisi (20 attendees), Zestafoni (23 attendees), and Vani (15 attendees). The attendees were highly engaged and 95% correctly answered test questions after the completion of the seminar. An almanac and brochures were published in January 2019 – the manual How to Begin, Encourage, Develop and Build up own Business (400 copies), and the Almanac of Entrepreneur Women of Imereti (350 copies). In the process of the manual’s preparation, one business expert and three specialists from AIC were involved. The Almanac includes the stories of 37 successful business women. Choosing 37 from 60 participants required visiting all of them one additional time for an evaluation of their current activities to fairly select individuals for inclusion in the Almanac. The manual was disseminated among project participants and the women in the Imereti region that are interested in entrepreneurial activities. The Almanac was distributed to businesses, donor organizations, and local governments that operate in the Imereti region. The Almanac helped to raise awareness about the women entrepreneurs and their businesses. A regional conference was held on February 25. The “Women’s Capacity Development in Imereti Region” conference was attended by the Vice Governor of the Imereti region, officials from Kutaisi City Hall, and representatives of regional municipalities. During the event, about 60 program beneficiaries shared experience and their achievements accumulated during the 10-month program. The second part of the conference was dedicated to a panel discussion, where the women entrepreneurs, together with the representatives of the local government, discussed the challenges and opportunities of the region and further development perspectives. Eighty-five people attended the conference. The Almanac of Entrepreneur Women of Imereti, brochures, and certificates of attendance were given to the project participants. Sixteen women beneficiaries participated in different exhibitions in Kutaisi and , where they presented their products and had the opportunity to sell their products and became aware of new opportunities on the market. Individual and group consultations were provided by AIC’s business consultants provided beneficiaries on a regular basis. As a result of the regular individual and group consultations, the beneficiaries learned how to prepare a business proposal and were provided with the information about new programs, activities, and opportunities that donor organizations and the GoG offer. Twenty-eight participants applied to donor organizations to obtain funds for their business development, 11 of them were funded by Enterprise Georgia (7); Georgian Farmers’ Association (GFA) (2), and Abkhazintercont (2).

2. A SUMMARY OF THE ACTIVITY IMPLEMENTATION PROCESS, LESSONS LEARNED AND RECOMMENDATIONS

The project began with preparatory work – the project brochures, including the project logo, objectives, tasks and activities, were prepared and published. AIC representatives held six meetings in the following targeted municipalities of the Imereti region: Kutaisi, Zestaponi, Tskaltubo, Vani, Terdjola, and Tkibuli. Detailed information about the project activities was presented during the meetings; 450 flyers describing the project were prepared and distributed among the local attendees.

In cooperation with the local municipalities, AIC gathered information about the women entrepreneurs in the region. AIC then selected 35 women that run family and small businesses in the region and conducted monitoring activities. Sixteen women that produce souvenirs, ceramic products, and hand embroidery were given a chance to present their products during “Kutaisoba” exhibition.

The “Kutaisoba” Exhibition and Sale was conducted on May 2, during the public holiday “Kutaisoba,” an annual festival celebrating the history and cultural diversity of Kutaisi. A market exhibition of the women entrepreneurs’ hand-made products was held in Kutaisi’s Central Park. During the exhibition, 16 participants sold their products for the first time.

Selection of Beneficiaries. AIC obtained a list of women entrepreneurs, in total 137 females, from 11 municipalities. The most difficult and time-consuming step was identifying the project’s final beneficiaries. Ultimately, 60 of them were selected by AIC’s monitors and consultants. The selection criteria included the following: The beneficiary should run their own business, have resources and experience in production, show motivation, and strong desire to participate in the project. AIC arranged 40 meetings with citizens and 11 meetings with the local self-government. AIC could not manage to visit all the project participants individually, especially those living in the high mountainous villages. In such cases, AIC conducted telephone interviews. After conducting information meetings in various municipalities, the project’s public awareness increased and more people expressed willingness to participate. Consequently, AIC was asked to conduct additional training.

During the activity implementation process, AIC learned more about the region’s challenges and existing problems. They met with many motivated women and identified new development areas. A major problem that AIC faced was related to the difficulty of spreading information about the project, which impeded some women’s involvement in the information meetings.

Project beneficiaries attended the training regularly. During the business skills development training module, several participants mentioned that they worked with the Microsoft Excel program for the first time in their lives. The vast majority of the beneficiaries agreed that Excel is a necessary tool for business accounting and finance.

3. DESCRIPTION OF PROJECT IMPACT AND RESULTS (BASED ON THE INDICATORS PRESENTED IN THE APPLICATION AS WELL AS ANY OTHER ANECDOTAL INFORMATION, STAKEHOLDER OR OBSERVER COMMENTARY)

During the monitoring period, AIC identified women with initiatives and new ideas regarding business development in the Imereti region.

Several success stories of the project beneficiaries are captured below: Nona Bakuradze, an entrepreneur from Tkibuli, Kursebi Village, has produced dairy products for seven years. “Gelati’s Matsoni” is a popular yogurt not only in the local market but in Kutaisi, the largest city of the region. As the demand on “Gelati’s Matsoni” has increased, Bakuradze decided to expand her business by furnishing the enterprise with new technologies and tools that would increase the efficiency of her enterprise such as milking machines (two), centrifuge, refrigerator (200 liters), and an aerometer. After attending the G4G training, Bakuradze applied for GFA’s grant and received full funding for all of the above-listed equipment. Bakuradze is now able to equip her enterprise entirely. She now can reduce the cost of production, increase the volume of manufacturing and the variety of dairy products. Now, Nona produces more than 20 assorted products, and her family’s income has increased by 35%. Nona Gvadzabia, an internally displaced person (IDP) from , currently lives in Kutaisi and produces handmade products from natural leather. As Gvadzabia knows how to prepare a business plan, she decided to expand her business and applied for several funding programs to upgrade leather working technologies and machinery. Her wish was to have a sewing machine. She developed business plan and received funding from GFA’s grant program and can purchase new equipment for her small business – a leather sewing machine for handmade leather products and various toolsets for leatherworking. She is now able to increase her company’s efficiency and the variety and volume of handmade natural leather products. Tina Davadze came back to her homeland of Georgia after living in Germany for several years and started working on natural leather accessories. After months of intensive training, Tina learned how to prepare a business plan. With her newly acquired skills, she applied for Enterprise Georgia’s grants competition and received funding. She purchased leather processing machinery and hired young people to help her increase the quantity and variety of her products. She is now able to increase business’s efficiency. Naira Benidze, who also wrote a business plan and applied for the grant competition, was funded by GFA’s grant program to expand and renovate already existing souvenir shop. She offered another three women beneficiaries from Zestafoni and Kharagauli to cooperate, and exhibit and sell their products at her shop.

Irina Isakadze from Kutaisi, is an artist by profession. She dedicated one year of hard work to transform her artistic skills into a small business, by doing what she loves, hand painting souvenir relief plates. Soon after, her products became very popular among tourists and she began to receive orders from local souvenir shops as well as personal orders. After months of intensive training, Isakadze learned how to prepare a business plan and write a grant proposal. With her newly acquired skills, she applied for Enterprise Georgia’s grants competition and received funding. Isakadze needs to obtain different crafting tools, machinery, and hire an assistant to help her increase the quantity and variety of her products. Now she can purchase the equipment and crafting toolsets to increase her business’s efficiency.

Program beneficiaries did not only learned new subjects and developed new skills, they also made new friends, shared experiences, started to support each other, and are also expanding their networks. Women beneficiaries mentioned that they reevaluated their opportunities, became stronger, more confident and more determined. They established a strong women’s community which did not exist before in the region.

4. A DISCUSSION OF HOW GRANT FUNDING CONTRIBUTED TO THE OBJECTIVES OF THE PROGRAM

All project activities were implemented in accordance with the objectives of the program. Considering that the financial part of the project was well planned, there were no variances from the approved budget.

The grant’s full funding was directed to the implementation of the project’s objective: Equip women in the Imereti region with the necessary skills and competencies to increase their involvement in economic and social activities. All the activities described in the sections above contributed to the program objectives and led towards successful accomplishment of the grant program.

In total, 76 women entrepreneurs participated in different training programs such as business administration, leadership, advocacy, tax and financial reporting, GoG’s business support programs, and DCFTA issues covering food safety requirements and export procedures to the EU.

Sixty women from different villages of the Imereti region acquired knowledge in business administration, and advocacy. Seventy-six women learned about food safety policy in Georgia, obligations under DCFTA, and the procedures to export to the EU. Sixteen women participated in the market exhibitions in Tbilisi and Kutaisi for the first time and sold their products.

Eleven women received funds from GoG’s business support programs and donor organizations to develop and expand their businesses. Total amount of the received funds sums up to GEL 34.000.

APPENDIX A:

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