Africa is a country with lots of potential to develop. Its qualities include mineral resources, as well as a large current economy and an even potentially larger one. However, there are certain factors that are a great hindrance to the economic growth of the continent and why the ICF was established. The investment climate facility for Africa is a subsidiary of Investment climate facility (ICF). From inception till now, they have played a crucial role in the economic growth of the continent.
An overview of the investment climate facility for Africa
A healthy investment climate (condition), is necessary to expedite certain factors to grow the economy of Africa. Some good examples of these factors are job creation, and poverty alleviation. To achieve this, ICF partners with development partners, private and government companies. Their partnership exclusively focuses on providing tangible improvements to the present Africa’s investment conditions.
ICF Africa was spurred into establishment from the 2005 report of the Commission for Africa. In this report, the body called for commitment to promoting growth and prosperity in Africa. They specifically addressed the call to donor government and private sectors to support the initiative. Following due process, the initiative materialized and was publicly launched at the world economic forum Africa summit, in 2006.
Objectives of the investment climate facility for Africa
The objectives of the investment climate facility for Africa are:
- To build the investment climate through encouraging, developing, and working with collaborators to drive a change. The focus is especially on supporting the dialog between businesses and governments.
- Set the right climate investment by partnering with governments to create a legal, regulatory, and administrative environment. This is to enable businesses of all sizes grow, investing and creating more jobs as a result.
- Improving Africa’s image as an attractive investment destination through publicizing improvements in the continent’s investment climate.
What areas does the investment climate facility for Africa focus on?
The priorities of the investment climate facility for Africa are the following sectors:
- Corruption and crime
- Competition
- Labor markets
- Property rights and contract enforcement
- Business registration and licensing
- Taxation and customs
- Financial markets
The investment climate of Africa also focuses on the following countries:
- Congo
- Ethiopia
- Kenya
- Ghana
- Liberia
- Malawi
- Nigeria
- Rwanda
- Mozambique
- Sierra lone
- Somalia
- South Africa
- Sudan
- South Sudan
- Uganda
- Tanzania
- Uganda
- Zambia
- Zimbabwe
What are the qualifications to merit assistance from the investment climate facility for Africa?
The ICF always welcomes requests for help from bodies that share its vision to bettering the business climate in Africa. To merit their support, your project/ business must:
- Produce a positive and significant impact on the investment climate within a considerable period
- Include the government and local private sector
- Outline a clearly defined, measurable and observable impact indicators to track your progress
- Be partly funded from your finance, to reassure your commitment to the implementation process
Conclusion
The inception of the investment climate facility for Africa is one initiative that has done the continent a lot of good. The impact of ICF in Africa is apparent and keeps growing by the day.