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Over the past decade export-led trade, increased domestic marketing,
and attracting investment have become vital to efforts to increase
economic growth. Successful trade and investment promotion require
a positive legal and policy framework and institutions capable of
implementing this agenda. It also requires a business community
with the knowledge and skills to take advantage of this enabling
environment. IBI's broad experience with policy, capacity building,
and business development service provision addresses these key areas.
Enabling
Environment.
IBI
implemented the USAID-funded Equity and Growth through Economic
Research project (EAGER/Trade) to accelerate economic growth in
Sub-Saharan Africa through demand-driven policy initiatives identified
by public and private leaders. IBI designed a consultative process
and underlying research approach that successfully produced sound
research results used by decision-makers in fourteen countries to
improve policy and accelerate economic growth. Working with African
partners we conducted the following studies
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Trade policy reform in Africa
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Tanzania's Precious Minerals Boom: Issues in Mining and
Marketing, research paper by Lucie C. Phillips
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Foreign and Local Investment: Which leads and which follows? Case
studies on Mauritius, Kenya and Uganda
- Ghana-Cross-Border
Trade Issues, research report by by Gayle Morris and John
Dadson
Over
a five-year period IBI co-organized Africa-wide research conferences
reviewing the 114 studies conducted throughout the continent under
this cooperative agreement. It benefited from rich insights produced
by the hundreds of international researchers involved. Find a selection
of the results and approaches in Lucie C Phillips (President of
IBI) and Diery Seck, eds. Fixing African Economies: Policy Research
for Development (Lynne Rienner, 2004).
Capacity
Building.
A
major impediment to trade in Africa is that countries have built
their trade policy on competing with their neighbors for trade rather
than cooperating to create more trade. This led to complex tariff
schedules. Generally the dominant country of a region set its tariffs
high. Neighboring countries would then set their tariffs lower,
hoping to funnel some trade through their ports. Large regional
markets, however, are much more attractive to investors and offer
better growth opportunities to local firms. IBI has worked since
2001 with the Economic Community of West African States (ECOWAS)
and the Common Market for Eastern and Southern Africa (COMESA) to
promote a regional approach to trade.
Capacity
building is also important for basic processes. IBI works with customs
offices to streamline procedures, upgrade equipment and software,
and adapt to World Customs Organization standards. The results improve
the capacity of customs offices to eliminate inefficient and arbitrary
processes that make importation costly and slow. In Benin, for example,
with MCC financing, IBI conducted a thorough review of customs operational,
procedural, legal, risk management, and infrastructure performance
to bring them in line with international best practices as adapted
to the country's specific realities.
Business
Development Services.
The
USAID-funded TradeMali project set Malian mango export records three
years running, organized the first value chain organization for
potatoes, and championed a storage and marketing scheme which earned
predominantly female small rice and maize traders profit increases
exceeding 20 percent. IBI provided technical assistance in the areas
of business development services, communications, and gender mainstreaming.
The IBI communications specialist, a Malian woman, facilitated "potato
days" meetings which assembled value chain participants from
public and private sectors who analyzed the previous campaign and
planned the upcoming season. A similar "mango days" exercise
based on an IBI-conducted gender mainstreaming analysis noted barriers
to access for Malian women along the value chain.
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