MSE Resilience Facility under the COVID-19 Response and Resilience Program (CRRP)
2020 to 2023
Partner
Mastercard Foundation, Ministry of Labors and Skills
Sector
Enterprise Development / MSME Support (Micro, Small, and Medium Enterprises)
Target
24,000 enterprises, 50,000 jobs, 3903 small 15083 micro enterprises
Regions
Addis Ababa, and conflict affected areas (Afar, Amhara, Benishangul-Gumuz, Oromia, Somali, Gambela)
The MSE Resilience Facility under the COVID-19 Response and Resilience Program (CRRP) was designed to help micro and small enterprises (MSEs) recover from the economic slowdown caused by the pandemic. Funded by the Mastercard Foundation and implemented in partnership with the Job Creation Commission and First Consult, the Facility provides guaranteed soft loans and grants to help businesses recover, sustain operations, and build resilience.
Initially aiming to protect 24,000 enterprises and up to 50,000 jobs, the program later refined its targets to support 3,903 small and 15,083 micro enterprises. Working with Bank of Abyssina, Awash Bank, and Dashen Bank, the Facility supports both informal and formal businesses, covering critical expenses and building resilience for long-term stability and growth.
The MSE Resilience Facility was implemented through a strong multi-stakeholder partnership, bringing together key actors from government, finance, and development sectors. Our core collaborators included:
- Mastercard Foundation – Primary partner of the initiative.
- Ministry of Labor and Skills (MoLS) – National government partner providing strategic oversight and alignment with national employment priorities.
- Regional Bureaus of Labor and Skills (BoLS) – Regional implementation partners facilitating outreach and support at the local level.
- Bank of Abyssinia – Administered the grant funds and ensured timely disbursement.
- Partner Banks – Awash Bank and Dashen Bank provided access to soft loans and financial services for eligible MSEs
The MSE Resilience Facility was designed with a clear focus on recovery, sustainability, and resilience of micro and small enterprises. Its strategic objectives included:
- Enhancing Access to Finance: Providing soft loans and grants to enable MSEs to recover from the economic impacts of COVID-19 and sustain their operations.
- Building Business Resilience: Strengthening the long-term stability of MSEs by improving their financial capacity and ability to withstand future shocks.
- Job Preservation and Creation: Supporting the protection and generation of up to 50,000 jobs within Addis Ababa’s micro and small business sector.
Target Achieved
15,346
Formal enterprises (micro and small) received grants totaling ETB 1.4 billion.
27,677
In total, the programme provided finance for 27,677 enterprises, supporting or creating 103,627 jobs.
344,622
Youth employment supported, out of which 60% are for young women
20,239
Formal and informal enterprises received grants totaling ETB 242 million.
4,322,750
Provided to the Ensira Pottery Center for renovations, including materials, facility upgrades, new machinery, staff hiring, and establishing a training facility.
6 Partners
Mastercard Foundation, Ministry of Labors and Skills, Regional Bureau of Labors and Skills, Partner Banks
Knowledge Pieces
Other Publications
Interest-Free Banking in Ethiopia – An Analysis of Product Offerings and Market Adoption
Restoring Resilience: MESMER Programme Concludes First Phase of Psychosocial Support
