Bolivia: the vital role of SMEs in socioeconomic growth
Small and medium-sized enterprises in Bolivia are moving towards better working conditions through incentives promoted by the ILO and the SCORE Programme.
28 August 2023
La Paz - Promoting economic growth, sustainability and full and productive employment is the overarching goal to advance Sustainable Development Goal 8, which recognizes the promotion of decent work as an important driver of inclusive growth.
In several countries, including Bolivia, more than 70 percent of the productive base is made up of micro, small and medium-sized enterprises (MSMEs). Many of these economic units are run by women and operate within the informal economy.
In addition, these companies operate in complex contexts and are affected by multiple challenges such as low productivity, precarious working conditions and high vulnerability.
To respond to these challenges, during the ILO’s 111th International Labour Conference emphasis was placed on the need of identifying measures to ensure that actions linked to business development promote an enabling environment for enterprises to be sustainable and contribute to the creation of decent jobs.
In June, the SCORE Programme in Bolivia, carried out key actions that contribute to productive, diversified and more inclusive development, as well as to the promotion of better working conditions in companies along strategic value chains for food security. The ILO has also contributed to the implementation of innovative solutions co-created with strategic partners such as the Private Confederation of Business persons in Bolivia (CEPB), the Global Compact Network of Bolivia, the Bolivian Food and Gastronomic Integration Movement (MIGA) and Manq'a Schools, which have enabled the SCORE Programme to achieve the following results:
Strengthening competitiveness
The ILO participated in the Environment Roundtable, organized by the Global Compact Network Bolivia, through the presentation of the new SCORE Training module" SCORE for Climate Action" (SCORE4Climate). The first company in Bolivia to complete the module has shown promising results.
In addition, the E-Learning Programme for SCORE Trainers was developed to update the skills of more than 100 SCORE trainers in Latin America and the Caribbean. The training programme will run until the end of September 2023 and has thus far seen a participation of trainers from Bolivia, Colombia, Ecuador, Paraguay and Peru.
Promoting strategic value chains
Through its partnership with MIGA, the ILO joined the official launch of the third season of the MIGAFONOS educational programme in Santa Cruz. At this regional meeting, which celebrated the potential of four Amazonian fruits contributing to Bolivia's gastronomic food heritage, the SCORE Programme emphasized the importance of promoting decent jobs in activities related to the production, processing and sale of these grains both nationally and in international markets.
“Strengthening the productivity of value chains, through a decent work lens, will allow SMEs to benefit from business development services (BDS), designed and adapted to their needs to address food security challenges in Bolivia.
Chandni Lanfranchi, SME Development and Formalization Technical Officer, ILO Office for the Andean countries
Promoting youth entrepreneurship
Fostering inclusive economic growth in Bolivia requires establishing solid and trusting relationships between the business ecosystem and entrepreneurs, especially young people who are just beginning to explore their business ideas.
CEPB and the Global Compact Network Bolivia, in alliance with ILO, ICCO Cooperation/Connection and Manq'a launched
On this occasion, the programme kicked off with 28 mentor-entrepreneur relationships in the cities of La Paz, El Alto, Sucre and Yacuiba, where 72% of the participants are women entrepreneurs
Advancing towards the sustainability of SCORE in Bolivia
Finally, a planning workshop was held on June 30 between CEPB and the ILO to identify strategic actions for the sustainability of the SCORE Training in Bolivia, integrating it into the national productive framework.
During the second half of 2023, the SCORE Programme in Bolivia is expected to add initiatives aimed at strengthening business productivity and sustainability, through SCORE Training and its adaptations for various strategic sectors.
The focus will remain to facilitate entry of SMEs into new markets, improving working conditions and productivity through BDS tailored to needs in both the formal and informal economy. In addition, it will continue to give visibility to the stories of entrepreneurs making vital contributions to the Bolivian economy.
ILO’s Sustaining Competitive and Responsible Enterprises (SCORE) Programme improves productivity and working conditions in small and medium enterprises (SMEs). The key intervention of the programme is SCORE Training, which combines practical classroom training with in-factory consulting. The Training demonstrates best international practice in the manufacturing and service sectors and helps SMEs to participate in global supply chains.