The European Union and CSRDG promote work integration and education of vulnerable groups, environmental protection, and the preservation of cultural heritage in Georgia and support social enterprises in the development stage through the Impact Fund "Actio" created for this purpose.
"Actio," established in 2022 with EU support by the Center for Strategic Research and Development of Georgia (CSRDG), aims to generate meaningful and positive social impact. The fund collaborates with social enterprises, impact investors, and partners to deliver both economic and, social and environmental impact.
The impact fund supports active social enterprises by offering two types of financial assistance, along with tailored technical support, impact measurement, and management. Currently, 'Actio' has secured 1,200,000 Gel of which 500,000 has already been invested in its portfolio of four social enterprises: Babale, Istoriali, Tene, and Champy.
Throughout the reporting period (January 1, 2023 - June 30, 2024), with the assistance of the EU-funded Actio, the portfolio social enterprises enhanced their production capabilities, introduced entirely new products and services, and diversified their existing offerings. The advancement of business operations positively impacted their social and environmental outcomes. For instance:
Babale: Dedicated to ensuring independent living of persons with Down Syndrome by supporting their professional development and employment, Babale used financial support from Actio to broaden the scope of its activities, enhance its enterprise management processes, and diversify its product offerings. The social enterprise also developed a new ceramic production line. As a result, Babale's annual income increased by 24%. Additionally, through collaboration with Actio, Babale launched the first four-step "Professional Orientation and Career Support Program" in Georgia, specifically for young people with Down Syndrome. The program provided the enterprise with a chance to advance towards achieving various social outcomes in a structured and comprehensive way, including supporting professional development and employment of young individuals with Down syndrome.
Istoriali is Focused on the mission to support economic sustainability and promotion of Georgia’s tangible and intangible cultural heritage sector. Through creating jewellery, decorative items, and gifts, Istoriali showcases Georgia's rich cultural heritage to local residents and those living abroad. With the assistance of Actio, Istoriali renovated, organised, and equipped the jewellery workshop. The upgraded workshop provides Istoriali with the opportunity to enhance the production of metal items on-site and foster local metalsmiths' professional education and empowerment. Simultaneously, Istoriali expanded its product range, launching two new collections. It is important to highlight that Istoriali has resumed testing the possibilities of exporting products and at the same time, added new services of thematic master classes for target groups.
Chempy aims to promote social and economic empowerment in the villages situated near the occupation line in the Gori municipality. By producing innovative healthy snacks and apple chips, Champy supports the employment of women in the Ditsi village and its surrounding areas while also fostering the development of farms through the purchase of local products. Simultaneously, the enterprise is diligently advancing in the development of zero-waste production. With the support of "Actio", Champy acquired new equipment, leading to a 2.5-fold increase in the enterprise's annual production.
Tene: As Georgia's first eco-friendly enterprise producing USB cables from recycled plastic, Tene combats plastic pollution while raising public awareness. With Actio's support, Tene purchased the vehicles and equipment purchased and expanded its plastic collection efforts and enhanced the volume of collected and recycled waste in different regions of Georgia. Throughout the collaboration with Actio, Tene expanded its plastic collection operations, doubling the amount of plastic collected and increasing the number of participants from 2,000 to 5,300. The number of collection points in schools and organisations also grew from 200 to 350. "Tene" employs internally displaced persons affected by the 2008 Russia-Georgia war in the factory located in Tserovani, and in addition to the environmental outcomes, plays an important role in the socio-economic empowerment of vulnerable communities.
The opportunity to provide financial and technical assistance to social enterprises was made possible by the collaborative efforts and resources of the European Union, Actio impact investors, partners and supporters. Actio's ambitious plan is to support at least 10 social enterprises with a sustainable business model from 2023 to 2027, focusing on economic, social, and environmental impact. To achieve this, Actio continues selecting new social enterprises and diligently communicating with investors to secure the remaining funds.
The impact report of Actio Impact Fund is in full here.
The Impact Fund Actio was established in 2022 with the EU financial and technical support within the "Collaborate for Impact” project by the Center for Strategic Research and Development of Georgia (CSRDG). Impact Europe, the project's lead partner, has significantly contributed to the development of not only Actio, but also the impact investment ecosystem in Eastern Europe.
*The "Actio" impact report has been produced with the assistance of the European Union. Its contents are the sole responsibility of the Center for Strategic Research and Development of Georgia (CSRDG) and do not necessarily reflect the views of the European Union.
