An accommodating business environment is one that encourages business efficiency and incentivizes innovativeness and increased productivity, two key sustainable development factors. A more productive private sector is a more competitive private sector and in the long-term will create more jobs and generate more tax revenues, allowing for increased public expenditure in health, education, security, maintenance of infrastructure and other critical services. On the other hand, a deprived business environment inhibits the conduct of legal business activities and reduces the likelihood of a country reaching its economic potential in terms of productivity, growth and development.
Recent years have seen a notable effort to reform the local business environment. Notwithstanding the complex interrelated factors that shape this environment, Government recognizes the need to remove constraining factors and bolster positive ones in order to boost private sector development at all levels.
This article therefore seeks to identify the major challenges faced by the business sector and to highlight the key reform measures being undertaken by the Ministry of Business which are deemed compulsory for the creation of an accommodating business environment.