The 'Greening business facility (direct grant award with public body)' project supports North Macedonia’s transition towards a greener and more sustainable economy in line with the European Green Deal and the Green Agenda for the Western Balkans. It addresses key structural challenges, including high energy intensity, reliance on fossil fuels, outdated industrial processes and limited adoption of renewable energy and circular economy practices, which constrain competitiveness and sustainable growth.

Building on key national and international policy frameworks, the project establishes a dedicated “Greening Business” facility to support private sector investments in environmentally sustainable solutions. It strengthens institutional capacities for managing financial instruments, including the development of a digital platform and SME support portal to facilitate implementation, access to information and application processes.

The project provides targeted financial support to SMEs through a structured grant scheme, combined with communication and awareness-raising activities. A comprehensive monitoring and evaluation system ensures effective implementation and risk management. Through these actions, the project promotes green innovation, resource efficiency and sustainable business practices.

The overall objective is to support North Macedonia in achieving its climate and sustainability targets in line with the Green Agenda for the Western Balkans, by promoting environmentally sustainable investments in the private sector.

The specific objectives are:

• To establish and operationalise a 'Greening Business' facility as a dedicated financial instrument for supporting green investments.
• To encourage SMEs to adopt environmentally sustainable, energy-efficient and circular economy practices.
• To strengthen institutional capacities for the management and implementation of financial instruments supporting green transition.
• To facilitate access to finance, advisory support and digital tools for SMEs investing in green solutions.
• To promote awareness and uptake of sustainable business practices among the private sector.

• At least 300 companies supported through the Greening Business grant scheme, enabling the adoption of environmentally sustainable practices.
• Mobilisation of approximately EUR 8 million in private sector investments, leveraging EU support.
• At least 180 companies supported in implementing EU or international standards related to sustainability and environmental performance.
• Creation of at least 700 new jobs, with a focus on green employment opportunities.
• Improved business performance of supported companies, including an average increase of 10% in turnover.
• Strengthened capacity of SMEs to reduce their carbon footprint and optimise the use of natural resources.