Our work in Private Sector Development Strategies

We work with Governments to develop and take forward strategies for private sector development, focusing on the core role of Government to provide an enabling environment within which private sector led growth can occur. We assist Governments to articulate the respective roles of Government and of the private sector in achieving economic growth; to develop strategies that are pro-poor - in particular in relation to issues affecting micro enterprises, small and medium-sized enterprises, and enterprises in the informal sector; and to address constraints on private sector development operating at both a national and local level.

Strategies for private sector development usually cut across many Government Ministries, departments and agencies. We assist Governments to address this institutional challenge, and develop tools for mainstreaming private sector development within Government policy-making and operations. This includes developing pro-private sector performance indicators to allow progress to be measured and objectively verified; assisting Government to embed pro-private sector policies within its resource allocation processes; and developing tools to enable prioritisation of expenditure within a limited resource envelope. Examples of our work include:

  • Co-designing and co-managing the Legal Assistance for Economic Reform (LASER) programme, a 4.3 million DFID-funded initiative that works to improve investment climates in developing countries by helping to identify and solve commercial law and justice (CLJ) problems, as well as documenting and sharing lessons learnt about how to do this. LASER will work in multiple countries over three years, with a strong focus on fragile and conflict-affected states. It will foster an improved business environment and increased investment through three core activities: strengthen the demand-side for country-level interventions; assist developing countries to match demand with supply; and undertake research on what works in CLJ reform, including how CLJ contributes to transitions from fragility (DFID, 2014-2017).
  • Evaluating, for DANIDA and the Government of Tanzania, the Business Environment Support Tanzania (BEST) Programme phase 2. The evaluation was based on a set of jointly identified criteria: relevance, feasibility, cost-efficiency, sustainability, monitoring, cross-cutting issues and risks. Recommendations for strengthening implementation of the programme were also developed (DANIDA, 2011).
  • Supporting the Government of India to develop federal institutional mechanism for supporting Micro Small and Medium Enterprises (MSMEs) through technology development, market support, information provision, and financial and managerial support. Advice on institutional mechanism to high-level Government committee tasked by Prime Minister to take forward this initiative, was also provided (GIZ, 2010).

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2014. The Law & Development Partnership

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