Pres. Weah Constitutes Business Climate Working Group

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President George Weah's acquaintance visit at the NIR allowed him the opportunity to understand not only the operations of the agency, but people’s responses to the services delivered at the agency.

President George Weah over the weekend constituted a Business Climate Working Group with a mandate to explore evolving challenges, and prospects of the Liberian business environment, and work out helpful plans and strategies towards improvement, an Executive Mansion has said in a release.

The President, according to the release, has directed the Working Group to identify quick “low-hanging fruits” in the business climate, and deliver them in the shortest possible time.

President Weah has also requested the Working Group to submit a “Plan of Action” to his office to enable him take appropriate actions that will address challenges within a reasonable period.

The biting decline in Liberia’s business environment over the last four years has come to the attention of the President, and therefore, he finds it an exigent imperative to act as swiftly as possible to resolve the situation.

The Business Climate Group, the release said, is further requested to deliver its preliminary report to the President within six weeks.

The members include the ministries of Finance and Development Planning as chair; State and Presidential Affairs; Commerce, and Labor.

Others are the Liberia Revenue Authority, Liberia Business Registry, Liberia Chamber of Commerce, Liberia Business Association, Representatives from the International Development Community and the National Investment Commission.

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3 COMMENTS

  1. Businesses grow and thrive when consumers buy their products and services. But right now, money is scarce because there are no jobs to be and consumers are broke, to put it simply. I believe the solution is for the government to come up with a jobs plan to put money into the pockets of Liberians. If you don’t have a job, you don’t have income to spend. I don’t see how the government could help these businesses without some way to spur economic growth.

  2. The business environment in Liberia is deplorable. There are too many barriers to economic success due to both poor external micro and macro factors.

    Micro External Factors:

    Liberia lacks an educated work force gear towards entrepreneurship which plays vital role in fostering a vibrant economic environment. Liberia has to focus on training many students in the field of entrepreneurship and small business start-ups……by providing small business loans after their training.

    Another external micro factor is the lack of constant energy and water supply that are key components to manufacturing and key to operating many successful businesses.

    Customers in Liberia lack disposal income to purchase products due to lack of jobs which are barriers to operating business in Liberia.

    The Marketing and distribution channels (shipping and receiving and lack of good roads) are very weak. These are barriers to doing business in Liberia.

    Lack of competition is another barrier to doing business in Liberia. Few businesses dominate the Liberian environment through a form of monopoly on essential products…..the importation of rice, gasoline, vehicle, building material etc…dominated by few foreign business cartels….that remit profits overseas.

    The External Macro Environment.

    Liberia weak economy has to constantly adjust to external macro environmental factors beyond their control.

    Liberia has no control on the international market when the prices of products or raw materials on the world market begin to fall. Liberia business environment greatly depends on the extractive industries which fluctuate with the market prices. Therefore, the need for an an increase in small businesses to buffer such pendulum swing in the world market is greatly needed to keep the local Liberian market afloat.

    The political and legal environments are too toxic and corrupt for a wholesome functioning business environment. If not corrected, it’s very hard to attract foreign businesses with high ethical standard to operate in Liberia.

    The lack of technical colleges, lack of polytechnic high schools, and lack of technical training schools make it difficult to produce technically skilled work-force and the lack of technology in the production of goods make it difficult to have a successful business environment in Liberia.

    The demographics in Liberia is changing rapidly but the business environment is not catching up to the changing demographics……mostly the millennials/Generation Y….the young generation that makes up 60% of the population…..this generation is eager for technology, eager for good college education, eager to own their own homes, own transportation, and desperate for high paying jobs that are lacking in Liberia.

    There is a poor environmental or poor ecological component that is detrimental to good business practices in Liberia. Environmental degradation in the manning industries is on the rise, as well as ecological destruction in the forest industry due to clear cutting by logging companies and destructive illegal farming/mining in national forest areas.

    Liberia has a weak monetary system that is hampering its business environment.

    Last but not all, the refusal to give Liberian citizenship to non-Negroes who have lived and worked in Liberia beyond 10 years, is one of the key factors for the large flight or remittance of money (the U.S. Dollar) from Liberia’s economy by the Indians, Lebanese, Syrians, Chinese, and other non-Negroes doing business in Liberia. Why should they invest in a country that denies them citizenship after living in Liberia for so many years…common economic sense.

    Mr. President, the business climate group should take some of these micro and macro external factors into account plus deal drastically with the rampant corruption that is cancerous in the fabric of the Liberian society.

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