By Chernor Alimamy Kamara
The European Union (EU) and the Government of Sierra Leone through the Ministries of Trade and Industry, and Finance have signed a 12 million Euro Business Environment and Competitive Agreement.
Before signing the agreement at the Ministry of Finance on the 20th March 2024, Minister of Trade, Ibrahim Alpha Sesay noted that the project is a follow-up of the previous project; the West Africa competitive project which has been evaluated to be very successful in its implementation and was able to achieve most of its key objectives.
He stated that 12 million Euro Grant can do a lot of things and they would be able to implement a lot of activities within the lifespan of the project. He added that the project supports the Big Five Game Changers and the Mid-Term National Development Plan of the Government.
“As most of us are aware, the private sector is mostly challenged in this country and the only way we are able to change the narrative and increase prosperity is to make sure we support the private sector, particularly Medium and Small Scale Enterprises that account for 95.8% of businesses, 84.5% of employment and 70% of the country’s GDP,” he said.
He was disappointed that most of the participants or those involved in Small and Medium Enterprises (SMEs) operate in the lower sector where the value is at the bottom line of the value chain and they cannot transform the raw materials into finished products that can make them very competitive.
He spelt out the major challenges they have faced to participate particularly in the African free trade area as well as the ECOWAS trade liberalization and the ability to meet the minimum standard, relating to compliance, conformity and also meeting minimum International requirements.
“On that note, we are working very closely with the Standards Bureau and the Produce Marketing Board (PMB) to see how we can improve the ability to meet this conformity,” he said.
The Trade Minister pointed out that the project has three key components; strengthening the competitiveness of local SMEs, enhancing the effectiveness of national quality systems and improving the business environment. He appealed to the EU to ensure that they have clearly in black and white what the implementation arrangements are, particularly when it comes to fiduciary management of the project.
He thanked the EU for their continued support to the country as they look forward to collectively implement the project.
In his statement, the Ambassador of the EU in Sierra Leone, Manuel Muller stated that the signing agreement marks a significant milestone in the launch of the Business Environment and Competitiveness for Salone (BECS) programme.
He said that through the 12 million Euro-funded programme, they will work hand in hand with the Government of Sierra Leone, the private sector, development partners, civil society organizations and local communities to address key challenges and to foster economic growth and job creation.
Ambassador Muller assured that they will strive to strengthen the competitiveness of local Micro, Small and Medium scale Enterprises (MSMEs) and recognized that a skilled workforce is essential for driving innovation and increasing productivity.
“Therefore, we will enhance the access to quality non-financial Business Development Services and strengthen the capacity of MSMEs and entrepreneurs to scale up their businesses.
He emphasized that by promoting trade integration and overcoming technical trade barriers, the EU aims to open up new markets for Sierra Leonean products and enhance the country’s competitiveness on the global stage.
In his keynote address, the Minister of Finance, Sheku Ahmed Fantamadi Bangura was pleased to be part of the signing with the EU as they have been the government’s economic partner, guided by key principles like deeper cooperation that has lasted for many years.
He explained that what the EU is doing in the country in supporting the Trade sector and the entire architecture around building the business environment is phenomenal which they are very pleased with. He said that the area the project will target is where the government will be creating youth employment.
Minister Bangura said it is important that the quality of adding value to domestically generated production to access the EU market and other markets is phenomenal.
The signing of the business environment and competitiveness agreement for Salone by the EU Ambassador, Minister of Trade and Industry and the Minister of Finance climaxed the programme.
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