By:Josef Kefas Sheehama
The Namibia Chamber of Commerce and Industry (NCCI) hosted the first-ever Namibia’s State of Business Address on 26 June 2023.
This was under the theme: ‘Private Sector’s Ordeals and Triumphs – Paving a Way for Public-Private Partnership.
The dialogue was aimed at strengthening private sector engagement in Namibia’s economic development agenda and facilitating collaboration among relevant stakeholders to address critical sector-specific constraints.
The private sector is an engine for economic development; this is why NCCI held the Public-Private Dialogue Forum for Development aimed at unlocking all challenges that impede the growth of the sector.
The adoption of the NCCI State of Business Address has two significant benefits to both.
Firstly, it offers the possibility to have a holistic view of the industry’s value creation logic change, focusing on the evolution of PPPs.
This enables business communities to investigate the main components of economics such as resources and competencies, organisation, and value proposition. Furthermore, to address the topic of the Fourth Industrial Revolution (4IR).
These partnerships enable sectors to think outside the box and develop innovative ways to do business. Therefore, beyond NCCI’s influence on innovation, inter-business partnerships can have a positive impact on creative businesses’ profitability, and several alternative revenue sources result from inter-businesses partnerships.
Furthermore, let me argue that the state of an economy is directly related to the state of entrepreneurship in the economy. Namibia’s economic recovery requires thinking, not just knowledge. It needs the correct approach or model to take it from where it is to where we aspire it to be.
The countries desperately need adequate entrepreneurial capital, which is a function of the number of entrepreneurs and quality of entrepreneurship. Without adequate high-calibre entrepreneurs, Namibia’s economy is doomed.
Action for addressing this deficit is required now. A rethink and redefining of the current entrepreneurship development in Namibia and the upgrade or complete overhaul is a vital part of the journey towards the economic growth of Namibia’s economy.
Political decisions have not always been in the best interest of a vibrant economy and are partly to blame for the market inefficiencies present in Namibia. To create a conducive environment for business, a legal framework and strong institutions should be provided.
Economic stability is maintained through policies implemented by Cabinet. These policies touch on every aspect of the domestic market and include monetary policy.
The government should avoid playing conflicting roles such as regulating business ownership, competing and tax collecting, financing, and consumption at the same time. It creates market inefficiencies in the domestic market.
Market forces should be left to determine prices in the economy unless the services are deemed strategic, such as national security, research and development, education, cultural preservation, and environmental protection.
Over-regulating and micro-managing the economy breeds bureaucracy in government, weak institutions, and a rent-seeking mindset in the public sector. Namibia needs to rethink its economic policies. Hence, only a policy rethink can save Namibia’s businesses.
Successful industrial and trade policy should be focused, flexible, and premised on the notion of embedded autonomy.
At the just ended NCCI State of Business Address, close to 99% of business owners were frustrated by the policies and few lashed out at ineffective service delivery.
Business leaders send clear signals to policymakers that change is both necessary and achievable.
Therefore, business leaders believe that if Namibia is to unlock and unleash vast economic potential and truly achieve the goal of the industrial revolution, there is a need to substantially improve the business environment and make it more friendly and conducive.
During the proceedings of NCCI’s State of Business Address, some State Owned Enterprise (SOE) asserted that the policymakers should avoid changing policies without engaging the affected parties.
Poor government policies can be a threat to the sustainable business environment for both the public and private sectors.
We are living through a fundamental transformation in the way we work. The government and businesses will need to urgently work closely together to encourage and facilitate the innovation needed to allow new businesses to be created at an enormous scale to replace major job losses.
4IR offers huge potential to transform and realign economies and societies. Furthermore, when solving problems, businesses and government can form relationships and solicit new ideas even before legislative and regulatory processes take shape.
It is imperative that governments better coordinate policy and shared inclusive growth objectives. This will not only provide a clear roadmap for public-private partnerships but will facilitate the regulatory coordination that is necessary for large public-private partnerships to succeed.