Financing Resource Efficient and Cleaner Products by SMEs in the EU Eastern Partnership Countries: A Stakeholders’ Guidebook
Date
2018Author
United Nations Environment Programme
EaP Green
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RT Generic T1 Financing Resource Efficient and Cleaner Products by SMEs in the EU Eastern Partnership Countries: A Stakeholders’ Guidebook A1 United Nations Environment Programme, EaP Green YR 2018 LK https://wedocs.unep.org/20.500.11822/37495 PB AB TY - GEN T1 - Financing Resource Efficient and Cleaner Products by SMEs in the EU Eastern Partnership Countries: A Stakeholders’ Guidebook AU - United Nations Environment Programme, EaP Green Y1 - 2018 UR - https://wedocs.unep.org/20.500.11822/37495 PB - AB - @misc{20.500.11822_37495 author = {United Nations Environment Programme, EaP Green}, title = {Financing Resource Efficient and Cleaner Products by SMEs in the EU Eastern Partnership Countries: A Stakeholders’ Guidebook}, year = {2018}, abstract = {}, url = {https://wedocs.unep.org/20.500.11822/37495} } @misc{20.500.11822_37495 author = {United Nations Environment Programme, EaP Green}, title = {Financing Resource Efficient and Cleaner Products by SMEs in the EU Eastern Partnership Countries: A Stakeholders’ Guidebook}, year = {2018}, abstract = {}, url = {https://wedocs.unep.org/20.500.11822/37495} } TY - GEN T1 - Financing Resource Efficient and Cleaner Products by SMEs in the EU Eastern Partnership Countries: A Stakeholders’ Guidebook AU - United Nations Environment ProgrammeUnited Nations Environment Programme, EaP Green UR - https://wedocs.unep.org/20.500.11822/37495 PB - AB -View/Open
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An increasing number of small and medium-sized enterprises (SMEs) in the EU Eastern Partnership (EaP) countries consider resource efficient and cleaner production (RECP) to be an important business issue. They are interested in better understanding how they use input materials, what their environmental impact is and what opportunities there are to improve material efficiency of production and reduce pollution. Meanwhile, many SMEs are not fully conversant with the potential of resource efficiency and how to calculate the possible economic benefits of RECP measures. A survey conducted by the United Nations Industrial Development Organization (UNIDO) in the EaP countries showed that SMEs consider insufficient access to finance to be the greatest obstacle to implementing RECP in their operations, followed by insufficient human resources to ensure adequate compliance with environmental regulations. SMEs may be reluctant to take loans from banks, even when such loans are available from local financial institutions. Such factors as high interest rates, short repayment periods, high collateral requirements, currency risks and political and economic instability discourage SMEs in EaP countries from assuming loans to invest in RECP measures. Indeed, internal funding is by far the largest financial channel through which SMEs obtain financial resources.
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