Burkina Faso Seeks New Path to Economic Independence Through Private Sector
Bobo-Dioulasso, Burkina Faso – In a sign of the country’s commitment to fostering economic growth, Burkina Faso concluded its 21st Private Sector Meeting with the National Government on November 23rd, 2024. The meeting, themed "The Contribution of National Investors to Indigenous Initiatives for the Development and Consolidation of Burkina Faso’s Economic Sovereignty," sought to chart a new course for the West African nation’s development.
Prime Minister Apollinaire Joachimson Kyelem expressed hope in the gathering’s potential, stating that he looked forward to seeing the success of these exchanges reflected in the 22nd edition of the meeting in the coming year. This event, a tradition since 2001, served as a platform for open communication between private sector leaders and government officials, tackling critical issues facing the Burkinabe economy.
The two-day forum featured dynamic discussions and panel sessions covering topics such as indigenous development initiatives, the role of the private sector in economic resurgence, and supporting businesses in areas facing security challenges.
"Through the various panels and discussions, we have seen how private investment, local ownership, financing local businesses, and promoting local consumption are pivotal for the prosperity of Burkina Faso, a country rich in resources and potential for success," emphasized Mahamadi Sawadogo, president of the Burkina Chamber of Commerce and Industry.
The participants identified a plethora of concerns affecting the investment environment in Burkina Faso. While articulating over 25 specific concerns, the private sector highlighted the fundamental need for government support and security guarantees.
"The concerns raised in this meeting underscore the magnitude of the challenges facing our country, especially in areas with high security risks," Mr. Sawadogo pointed out.
Despite the challenges, the government made strides in addressing a significant portion of these concerns, providing answers for 13 of them. The prime minister, speaking through the Minister of Trade, Industry and Crafts, Serge Poda, reiterated the government’s commitment to the success of the private sector and pledged their support moving forward.
"The concrete recommendations from this meeting will be transformed into actionable steps through a dedicated action plan to be adopted by the National Steering Committee of the Public-Private Consultative Framework," assured Minister Poda.
The deliberations provided wide-ranging insights into the complexities facing Burkina Faso’s economy.
Here is a glimpse of the key issues raised by private sector actors:
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Competition Vulnerability: Small and medium-sized enterprises (SMEs) expressed anxieties over competition within the framework of the African Continental Free Trade Area (AfCFTA).
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Youth Enterprise Challenges: Concerns were raised regarding inadequate support systems for youth entrepreneurship and businesses operating in the informal sector.
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Energy Costs: High energy costs and limited accessibility remained a significant barrier to economic development.
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Agricultural Sustainability: The need for sustainable farm gate purchase practices was emphasized.
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Bureaucratic Burdens: High registration fees, particularly for insurance markets, and cumbersome procedures for obtaining business permits hindered entrepreneurial growth.
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Infrastructure Gaps: Insufficient infrastructure across several sectors, including transportation, agriculture, and cultural industries, hampered business expansion.
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Unfair Competition: The persistence of unfair market practices and the continued export of raw materials remained pressing concerns.
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Funding Shortages: Inadequate financing opportunities for vital sectors like culture, healthcare, and transportation were highlighted.
- Debts and Financial Delays: Slow delays in reimbursing domestic debt and student tuition fees impacted businesses.
These concerns paint a picture of a nation grappling with complex economic challenges while striving for sustainable growth. The collaborative spirit demonstrated at the Private Sector Meeting suggests a commitment from both the government and private sector to navigate these obstacles and build a more resilient and prosperous Burkina Faso.
