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A GIZ Compendium: Insurance for MSMEs

Financial losses from an adverse event often exceed what MSMEs can cover with informal risk mitigation mechanisms or reserves. The ongoing global COVID-19 crisis has, once again, highlighted the extreme vulnerability of MSMEs to exogenous shocks and risks. Formal insurance products are a crucial tool to increase the resilience of MSMEs, spur business investments and, thereby, contribute to the growth of the enterprises and the economy at large. However, the uptake and use of insurance...

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