publication September 17, 2019

Expanding Access to Financing for Micro, Small, and Medium-Size Enterprises in Russia


This Policy Note explores options to enhance measures for improving access to finance for micro, small, and medium-size enterprises (SME) in Russia. The report targets a broad audience of Russian stakeholders, specifically economic policy makers and financial sector regulators, as well as SME support and development institutions, the financial sector, and the private sector.

The goal is to inform Russian stakeholders about 1) alternative and complementary approaches to subsidized financing of SMEs, including policies to support development of an ecosystem of financial providers and innovative products, and 2) the evolving role of SME development institutions in creating new markets for SME finance and crowding in private sector finance.

The Policy Note has six chapters. Chapter one provides an introduction. Chapter two provides an overview of SME access to finance in Russia. Chapter three discusses the development of the non-bank SME financing ecosystem in Russia, by focusing on the regulatory approaches to non-bank financial institutions and products, drawing on relevant international experience. Chapter four reviews international approaches to key challenges and policy responses for developing non-bank finance instruments for SMEs. Chapter five looks at the role of SME development institutions in Russia and puts their activities in the context of international best practices. Chapter six concludes with recommendations on further enhancing SME access to finance.