Survey results:
Interestingly, the survey suggested that the business environment on the continent – both in its legal framework and in
actuality – was quite supportive of business activity. Well over half ranked both the legal and political system and the day-today business environment as ‗fair‘ or ‗outstanding‘. At the same time, many others complained about general economic
conditions, including perceived problems with infrastructure and overall governance.
Figure 3: How is the business environment?
60%
48.7%49.1%
50%
40%
27.7%
25.7%
30%
20%
10%
6.2%
11.5%9.8%
8.9%
8.0%
4.5%
0%
Hostile
Unsupportive
Indifferent
Legal and political environment
Fair
Outstanding
Actual business environment
Source: Survey of key African governance stakeholders, November 2016
What – or What More – can the APRM do
on Interference with the Private Sector?
Despite the importance of a robust domestic private
sector to the continent‘s future (and in many countries, it
still has to be nurtured), private sector development has
not received the political or public attention it deserves.
The APRM may consider the following measures to
contribute towards addressing this issue:
1. A repeated concern relates to the considerable
information gap that impedes private
business in Africa. The APRM inquiries have
rendered a great service in bringing pertinent
information to light, but they can do more.
Understanding harassment of the private
sector and bringing it out objectively and
systematically can fill a serious information
gap. However, this may require making more
pointed and specific enquiries into the issue. At
a minimum, it would be necessary to probe the
experiences of businesspeople and the views
of business/economic analysts. In practical
terms, this would probably include making
some changes to the questionnaire to ask
about this phenomenon. While there is scope
in the current formulation of the questionnaire
2.
3.
24
to address these issues (the Corporate
Governance thematic area includes a query
about the regulatory environment, for
example), making inquiries into this issue may
require inclusion of more direct questions to
that effect. For example, if the Questionnaire
were to include a question like ―in what ways
does government action support or retard the
operations of businesses?‖, the answer would
provide a solid evidentiary basis on which the
Panel can build its recommendations.
Related to the above, while it is unlikely for the
APRM to investigate each challenge facing the
private sector in meaningful detail, it might be
possible to do an in-depth assessment of one
or two of the most severe challenges and to
suggest a detailed course of action. This could,
in part, be done in the initial background
research that underpins the Country Review
Missions, and be extensively canvassed while
the missions are in-country. These analyses
should be made publicly available, possibly
through the proposed Knowledge Hub.
An ongoing difficulty for business on the
continent is lack of ‗voice’ to engage
meaningfully in the formulation and
development of public policy. Of course, this is