COVID-19 switches macroeconomic settings in Africa

The 12th African Private Sector Forum has acknowledged that COVID-19 has dramatically changed the macroeconomic settings in which the private sector operates in Africa and the world at large.

“It has highly affected the levels of public and private debt, reduced financial stability and increased credit and investment risk and uncertainty, among other challenges,” delegates at the 12th African Private Sector Forum in Cairo, Egypt, stated at the end of the three-day forum.

In a recommendation, which forms part of the deliberations arrived at obtained by the Ghana News Agency at Tema, the forum made considerations on avenues for policymakers to reassess the macroeconomic conditions affecting Private Sector development.

The forum also called on governments to focus on reforms required for a conducive business environment and a supportive entrepreneurial and innovation ecosystem that promotes productivity and better working conditions for business growth and sustainability.

The forum also noted that to set Africa firmly on the path towards economic and social transformation, private sector engagement is crucial.

The 12th African Private Sector Forum provided a platform for information exchange, business networking and adopting policy recommendations on Africa's development priorities.

It also focused on strengthening African private sector's capacity to respond to disrupted markets and ensure economic resilience in the face of COVID-19 Pandemic.

The Forum was strategic to establish and expand partnerships with the private sector through Public-Private Partnership (PPP) engagements, particularly underpinned on Africa's response to the effects of the COVID-19 crisis and to build resilience and help recovery of businesses and economies.

Among the recommendations, is the need to strengthen the capacity of the African Private Sector to have a “Made in Africa” Products that are competitive, Value added, standardized and of high quality, and the promotion of the “Made in Africa” products to increase Intra-Africa Trade and particularly following the start of trading under the African Continental Free Trade Area (AfCFTA).

The African Private Sector Forum is an annual gathering of stakeholders in the public and private sector convened by the African Union, to promote the work of the AU in the area of economic integration and private sector development and engagement.

The Forum also acts as a vehicle for empowering the African Private Sector through advocacy, Networking, sharing of business and market information and skills.

GNA