President Museveni refers. Thus, the Burkina Faso CRR
notes that fraud and corruption are hindering business,59
and discusses the harassment of transport vehicles to
demand payments.60 The Kenya CRR notes that
businesses complain of harassment by officials for
payment.61 The Nigeria CRR refers to ―the scourge of
corruption‖ that poses ―the greatest and most troubling
challenge to realising Nigeria‘s huge developmental
potential.‖62 Indeed, the challenge of corruption is
identified and discussed in detail in virtually all APRM
CRRs,63 Rwanda being a rare exception that was praised
by the APRM report for the ―relative absence of
corruption‖.64
poorly, most of them being placed in the bottom half of
the global rankings. This provides some evidence of the
difficulties that institutional dysfunction causes for
business, although there are a few exceptions, notably
Rwanda. Perhaps more indicative are the top concerns
mentioned by the respondents. Corruption features
prominently, suggesting that extortion and bribing are
causing significant distortions to business.
Overall, much remains to be done to improve the
business environment in Africa. This means laws and
systems that seek to achieve clearly defined goals,
implemented in a manner that imposes the least possible
collateral cost on business, and opens the fewest
opportunities for undue interference. In many cases, a
history of ideological hostility on the part of the state
towards the private sector has left a residual mark. This
point is made in the Algeria CRR.65 This is best
represented in Mauritius, with its long history of probusiness government policy.66 As its CRR puts it, ‗The
business environment in Mauritius is characterised by
openness and a pro-business, outward-looking policy.‘67
This is exceptional. In other cases, the private sector is
small and not well organised, and struggles to find a
coherent voice on matters of policy and governance.
An informative view of this issue may be gleaned from
the Global Competitiveness Report (GCR). Based on
survey of businesspeople (and therefore representing the
views of that constituency), it provides a worthwhile
perspective on the experience of business operating in
the countries it reviews. It uses a scale of 1 to 7 (7 being
the best and 1 the worst) to evaluate a range of factors.
Groups of these are then combined to produce scores for
a series of twelve ‗pillars‘, these being important
determinants of countries‘ competitiveness. These are
then combined with one another to produce an overall
score describing countries‘ overall competitiveness.
The information presented in the latest GCR (20162017), helps underline the difficulties facing the private
sector in Africa in its relationship with governments.
Institutions – which deal with the state of bureaucracies,
judiciaries, security services and so on – typically score
59
60
61
62
63
64
Burkina Faso CRR, p. 237.
Burkina Faso CRR, p. 258.
Kenya CRR, p. 174.
Nigeria CRR, pp. 330-331.
The expression “the scourge of
corruption”, in addition to the Nigeria
CRR, has also been used in, among others,
Mozambique (CRR p. 223); Lesotho
(CRR p. 81); Ethiopia (CRR p. 166);
Benin (CRR p. 153); Burkina Faso (CRR
p. 168); and Algeria (CRR p. 416); Mali
(CRR p. 22, where corruption is also
described as “an endemic phenomenon”
that has “reached disturbing proportions”).
The South Africa (CRR p. 7) refers to it as
“the vice of corruption”; Sierra Leone
(CRR 23) is described as a country with “a
long and painful history of corruption”;
Zambia suffers from “the high prevalence
of corruption”, leading Zambian President
Michael Chilufya Sata to note that “the
public had lost confidence in the AntiCorruption Commission (ACC) in the
fight against corruption” (Zambia CRR
pp. 33 and 358); in Mauritius (CRR p. 17),
“corruption is a serious problem in the
country”; etc.
Rwanda CRR (p. 225).
65
66
67
23
Algeria CRR, p. 200.
Mauritius CRR, pp. 69, 117, 229, 233,
245.
Mauritius CRR, p. 243.