Toolkit for Impact Evaluation of Public Credit Guarantee Schemes for SMEs
Limited access to finance, particularly bank credit, is a long-standing hurdle for Small and Medium Enterprise (SMEs), with varying severity of financing constraints across countries. SMEs face higher transaction costs and higher risk premiums sinc...
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| Format: | Handbook |
| Language: | English |
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World Bank, Washington, DC
2018
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| Online Access: | https://documents.worldbank.org/en/publication/documents-reports/documentdetail/650091598854062180/beirut-rapid-damage-and-needs-assessment http://hdl.handle.net/10986/30514 |
| Summary: | Limited access to finance, particularly
bank credit, is a long-standing hurdle for Small and Medium
Enterprise (SMEs), with varying severity of financing
constraints across countries. SMEs face higher transaction
costs and higher risk premiums since they are typically more
opaque and have less or inadequate collateral to offer.
Financing is also a major constraint in advanced economies,
where financing gaps for SMEs were exacerbated by the
2008-2009 financial and economic crisis. SMEs face higher
transaction costs and higher risk premiums since they are
typically more opaque and have less or inadequate collateral
to offer. These market failures and imperfections provide
the rationale for government intervention in SME credit
markets. An increasingly popular form of government
intervention is represented by credit guarantee schemes
(CGSs). These are specialized institutions or programs set
up by the government which pledge to repay some or the
entire loan amount to the lender in case of default of the
SME borrower. The toolkit for impact evaluation of public
credit guarantee schemes for SMEs has been created with the
objective of identifying a set of uniform methodologies for
assessing the financial and economic impact of public CGSs
as systematically and objectively as possible. After the
introductory Module, the Toolkit is divided in nine parts.
Module 2 provides an overview of impact evaluation and
introduces different modalities of impact evaluation such as
prospective and retrospective evaluations. Module 3 provides
a roadmap for designing and implementing a CGS impact
evaluation. The later modules (5 through 10) finally touch
upon some operational steps to implement an impact
evaluation such as collecting data, setting the evaluation
team, budgeting and timing for the evaluation, and producing
and disseminating the results. |
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