The State of SMEs in the Earthquake Region – Interim Results

The interim results of our study on the situation of SMEs in the earthquake region were shared at a meeting. A brief summary and takeaways:

The interim results of the “rapid assessment” study conducted by the İNGEV Social Research Group (İNGEV TAM) on entrepreneurs in the earthquake zone, covering 427 business owners, of which 249 were completed, were shared with the relevant organizations. More than 50 organizations attended this meeting.

This first phase covered regions other than Adıyaman and Kahramanmaraş. The study was carried out with INGEV’s own resources and volunteer support.

The aim is to contribute to the planning of future “improvement” efforts.

44 percent of SMEs have ceased operations, 45 percent have serious damage to their business vehicles. Only 11 percent have earthquake insurance.

External financing and referrals are essential for recovery efforts.

Twenty percent of business owners in the region have left their province. Of those who have left, Istanbul is the first province (27 percent). Mersin and Gaziantep are next, despite being in the earthquake zone. Adana and Gaziantep are becoming “hubs” used by many organizations for relief efforts. Meanwhile, 18 percent of SMEs do not plan to return to their jobs.

The study identifies the urgent needs of each SME individually in order to create data for “Business Recovery Mapping” as an open source. Collectively, the service sector prioritizes the creation of a minimum working environment (even common areas), while the manufacturing industry prioritizes the repair of production tools. For everyone, cash assistance to provide these is decisive.

Stock replenishment, raw material supply and re-access to supplier markets come second. Meanwhile, the supply of skilled/unskilled labor is also a serious issue in some regions.

The scope of work continues to increase. Rebuilding livelihoods in the region will require intensive, deep efforts and strong financial support. All relevant organizations, local and international NGOs will need to focus on rebuilding lives in a sustainable way after the immediate response to food and shelter. Following the distribution of hygiene products for women and other emergency relief assistance, which we started yesterday in Gaziantep and will continue in Islahiye and Nurdağı next week, we will try to put in place support for livelihoods development, which is our main area of expertise.

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