Public servants identified as competitors to SMEs in AfCFTA implementation
The Centre for Regional Integration in Africa (CRIA) has highlighted concerns regarding the involvement of public servants and government appointees in competing with small- and medium-scale enterprises (SMEs) rather than helping to facilitate the SMEs under the African Continental Free Trade Area (AfCFTA).
The CRIA identified this phenomenon as a barrier to the competitiveness of SMEs in Ghana and other African economies under the regional trade pact.
CRIA Chairman, Nana Owusu-Afari, noted that public servants and government appointees in some countries, including Ghana, are either engaged in their own businesses or acting as agents for private companies.
This competition diverts opportunities and support intended for SMEs to the wrong channels. Mr Owusu-Afari stressed the importance of training public and civil servants to support the development of the private sector.
SMEs in Africa face multiple challenges that are further exacerbated by a lack of government understanding of the informal SME sector. Given that SMEs are central to the success of the AfCFTA, there is a call to eliminate artificial barriers to the free flow of goods and services in intra-African trade.
The Interim Director of Programmes at Africa Capacity Building Foundation, Ian Mashingaidze, highlighted challenges such as trade barriers, inadequate infrastructure, and limited access to finance hindering the seamless movement of goods, services, and investments across borders.
He suggested that the focus should shift towards enhancing the skills and knowledge of entrepreneurs, SMEs, and other business actors through targeted training and mentorship initiatives.
Experts at the forum advocated for governments to introduce policies and measures supporting SMEs, resource mobilization, capacity building, and inclusivity for intra-African trade.
The goal is to provide comprehensive support for small businesses, stimulate job creation, expand national economies, and develop a sustainable continental market and ecosystem.
The Regional Integration Issues Forum (RIIF) 2023, held in Accra, aimed to raise awareness of the AfCFTA strategy for private sector engagement, enhance SMEs’ capacity to leverage AfCFTA opportunities, and prepare SME leaders for expansion through regional value chains.
The theme of the conference was ‘Breaking Business Barriers for AfCFTA Acceleration,’ and it brought together approximately 150 delegates from various countries.
