OVERVIEW

Assistance in Building Afghanistan by Developing Enterprises (ABADE) works with the private sector to strengthen its productivity and help enterprises sustain growth and create jobs.  ABADE’s objectives are to increase domestic and foreign investment, stimulate employment and improve sales of Afghan products. ABADE’s public-private alliances with Small and Medium-sized Enterprises (SMEs) help reduce the risks involved with business expansion. The project coordinates with other USAID programs to improve the business-enabling environment, develop a skilled workforce and facilitate access to finance.

CURRENT ACTIVITIES

• Small and Medium Enterprise Public-Private Alliances: Capital is provided to existing SMEs or business alliances through a competitive application process. Afghan business partners must invest at least twice USAID’s contribution in various manufacturing sectors.
• Innovation Public-Private Alliances (PPA): USAID aims to stimulate innovation by providing capital for new business ideas through a competitive application process. Afghan business partners must invest an amount at least equal to the USAID contribution.
• Technical Assistance and Business Advisory Services: ABADE provides technical assistance and business advice to SMEs, sub-award recipients and other key stakeholders in accounting, marketing, access to finance, achieving quality standards and how to use specialized production machinery. Special focus is on women entrepreneurs and ABADE’s PPA partners.
• Business Enabling Environment: ABADE works with the Ministry of Commerce and Industries to improve Afghanistan’s business climate by addressing regulatory and procedural barriers that affect private enterprise’s ability to compete. The program worked with businesses and government to create five-year, industry-specific action plans for the agribusiness, marble, gemstones and jewelry production, construction materials, carpets and women-owned small and medium enterprises sectors, and is now assisting stakeholders with the implementation of priority initiatives identified in action plans.

ACCOMPLISHMENTS

Project accomplishments as of December 31, 2015:

• Over $157 million in total investments generated; the private sector provided 87 percent of money.
• Over $261 million in total investments generated; the private sector provided 87 percent of money.
• 284 public-private alliances, 25 of which are Innovation Public-Private Alliances.
• 109 percent average increase in sales attained by PPA-SMEs.
• ABADE supported 400 SMEs, 196 have improved management practices and 274 have invested in improved technologies with ABADE’s assistance.
• 1,901 full-time jobs created.
• 55 initiatives provided alternative workplace models for women. These include working from home, providing off-site services or working in all-women facilities.
• 235 women trained in “high demand” skills such as information and communication technology, business systems, marketing, and advertising.
• 3 business constraints identified in sectoral action plans addressed.