CHAPTER TWO: HISTORICAL BACKGROUND AND CURRENT CHALLENGES _____________________________________________________________________ development of an emerging country – the promising partnerships that need to be built so that companies invest in markets that are promising both for themselves and for the Burkina Faso economy and society. 101. Secondly, it is also important that, as part of these partnerships, the state establish or promote a corporate governance that has sufficient incentives to attract more FDI, for, currently, FDI meets only 1% of the funding needs of the country. The competition for FDI in the subregion is widespread. Added to this is the fact that Burkina Faso does not enjoy the most attractive of factors when one considers its weakness as regards natural resources and its landlocked situation. However, in addition to its cheap labour, it enjoys political stability and a geographically central location, all of which are factors that can be highlighted. Nevertheless, a policy of attracting FDI should ensure that Burkina Faso does not depart from its course of autonomously developing an emerging country. 102. Thirdly, Burkinabe people living abroad constitute a major force in the transfer of money to the country. The authorities should pursue a special policy that makes such transfers from abroad a real lever for distributive economic growth. Furthermore, not only should Burkinabe people living abroad be encouraged to repatriate their money or income, but, more importantly, they should be encouraged to invest productively so as to participate in the development of an emerging country by the year 2025. 103. Fourthly, Burkina Faso companies have suffered from a number of weaknesses that have prevented them from being part of the efforts to achieve distributive growth and SHD. The challenge, therefore, lies in stimulating and supporting these companies so that they gain confidence, have adequate means for competing and are encouraged to invest in the country. 104. Finally, there is the challenge regarding the future of the informal sector in the Burkinabe economy and society. This sector is important in all respects and should become a partner in developing an economically emerging society. The role and place that the informal sector deserves should theoretically lead it to become the nursery for future SMEs in the country. Of course, this cannot be forced by means of ‘formalisation’ policies and measures or through untimely taxation measures. A policy of incentives and support for the informal sector must therefore be pursued with a view to ensuring that the sector fully plays its role as a partner in the development planned by the year 2025. 2.6 Development constraints and stakes 105. The country has demonstrated its capacity to deal with one of the first issues and challenges in the field of socioeconomic development, that is, to develop confidence in its ability to build SHD with the necessary autonomy. However, such confidence should be translated into a reality that enables the whole of Burkinabe society to proceed towards the horizon of an emerging Burkina 58