Self-employment pro­gram re­ceives a drive to en­large

Azer News - - Front Page - By Sara Is­rafil­bay­ova

En­gag­ing in self-employment may gain a new speed, as en­larg­ing this sphere has been de­ter­mined as a per­spec­tive busi­ness task. Pres­i­dent of Azer­bai­jan Il­ham Aliyev has re­cently urged to en­large the self-employment pro­gram in Azer­bai­jan.

En­gag­ing in self-employment may gain a new speed, as en­larg­ing this sphere has been de­ter­mined as a per­spec­tive busi­ness task.

Pres­i­dent of Azer­bai­jan Il­ham Aliyev has re­cently urged to en­large the self-employment pro­gram in Azer­bai­jan.

Ad­dress­ing a Cab­i­net meet­ing on April 10 the pres­i­dent pointed out that, ev­ery fam­ily liv­ing in poverty, should be able to cover their needs.

The state al­ways takes care of the cit­i­zens liv­ing in harsh con­di­tions. For that pur­pose the tar­geted so­cial as­sis­tance pro­gram is be­ing im­ple­mented, how­ever, we grad­u­ally need to move on to a sys­tem of self­em­ploy­ment, cre­ate con­di­tions for these low-in­come fam­i­lies to earn money by them­selves and to do their own busi­ness. The gov­ern­ment will sup­port them first time. These works are con­ducted by the Min­istry of Labour and So­cial Pro­tec­tion of the Pop­u­la­tion, whilst it is nec­es­sary to in­volve other min­istries - the Min­istry of Econ­omy, the Min­istry of Agri­cul­ture, lo­cal ex­ec­u­tive bod­ies and entrepreneurs.

Stud­ies have shown that 70-75 per­cent of those who are re­ceiv­ing tar­geted so­cial as­sis­tance have their own land. They nei­ther use nor rent it. That is why the ac­tive able-bod­ied pop­u­la­tion should be en­gaged in self-employment.

On 23 Septem­ber 2016, “Sim­pli­fied sup­port to fam­ily busi­ness” (ABAD) un­der the State Agency for Pub­lic Ser­vice and So­cial In­no­va­tions op­er­at­ing un­der the Pres­i­dent of the Repub­lic of Azer­bai­jan (ASAN) was cre­ated in or­der to sup­port the ac­tive par­tic­i­pa­tion of cit­i­zens in the so­cial and eco­nomic de­vel­op­ment of Azer­bai­jan, the de­vel­op­ment of small and medium-sized en­ter­prises, in­crease of employment of the pop­u­la­tion.

For the pur­pose of sup­port and help, the Min­istry of Labour and State So­cial Pro­tec­tion of Pop­u­la­tion con­ducts cour­ses and train­ings. In the process of train­ings, the par­tic­i­pants of the train­ings re­ceive the nec­es­sary knowl­edge about the or­ga­ni­za­tion of busi­ness and self-employment. Be­sides, based on the as­sess­ment - the pur­pose, struc­ture and con­tent of the busi­ness plan, the rel­e­vant com­mis­sion un­der the Min­istry of Labour and So­cial Pro­tec­tion of the Pop­u­la­tion pro­vides with goods and ma­te­ri­als, help­ing cit­i­zens to cre­ate and man­age fam­ily busi­ness. Only those who are able to jus­tify their busi­ness plan ben­e­fit the pro­gram.

To at­tend these cour­ses, first it is nec­es­sary to ac­quire a sta­tus of un­em­ployed in cen­ters of Labour and Employment.

Af­ter a while, cit­i­zens par­tic­i­pat­ing in these projects will be able to achieve suc­cess in an­i­mal hus­bandry, poul­try farm­ing, bee­keep­ing, gar­den­ing, veg­etable grow­ing, re­tail sales and other ar­eas.

There are also ben­e­fits for these cit­i­zens in tax pay­ing and they pay the so called “sim­pli­fied tax”.

Peo­ple en­gaged in busi­ness in Baku pay 4 per­cent of the in­come, while in other re­gions they must pay 3 per­cent. In the sphere of trade and pub­lic cater­ing, in­come tax equals to 6 and 8 per­cent, re­spec­tively.

In this re­gard, i is planned to cre­ate the Agency of Small and Medium En­ter­prises and the Guar­an­tee Credit Fund in 2017-2018. Sim­i­lar agen­cies al­ready op­er­ate in Europe, the UK, the USA, China, Sin­ga­pore and other coun­tries, stim­u­lat­ing the de­vel­op­ment of small and medi­um­sized busi­nesses.

In these agen­cies, any rep­re­sen­ta­tive of a small or medium-sized en­ter­prise can rel­a­tively quickly and eas­ily find out about all the op­por­tu­ni­ties for the com­pany's de­vel­op­ment, new meth­ods and tech­nolo­gies, about rais­ing the qual­i­fi­ca­tion of em­ploy­ees, and as­sess­ing the risks of work­ing in an­other coun­try. Also, the Fund in­tro­duces a huge num­ber of var­i­ous pro­grams on con­ces­sional lend­ing, which in­clude spe­cial loans, credit risk in­sur­ance and sub­si­dies. In gen­eral, the agency's mis­sion is to help and pro­tect the in­ter­ests of small and medium-sized en­ter­prises, cre­ate free mar­ket com­pe­ti­tion, and sup­port and strengthen the coun­try's econ­omy in whole.

To as­sist to self-employment the Pres­i­den­tial Re­serve Fund al­lo­cated 6 mil­lion man­ats ($3.649 mil­lion) to the Min­istry of Labour and So­cial Pro­tec­tion of Azer­bai­jan.

That will en­sure the tran­si­tion from ac­tiv­i­ties on the un­sus­tain­able pas­sive so­cial se­cu­rity of low-in­come fam­i­lies to the ac­tiv­i­ties of sus­tain­able ac­tive employment pro­grams is en­sured.

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