Chamber calls for organizational private sector development schemes

ADDIS ABABA – Addis Ababa Chamber of Commerce and Sectorial Associations (AACCSA) announced that lack of knowhow and managerial quality is hurting the private sector growth.

Hailemelekot Asfaw, representative of Center for International Private Enterprise in Ethiopia told The Ethiopian Herald that, chambers and associations are non-profit making institutions though they are supporting profit making companies and individuals. Among the various challenges faced by Business Membership Organizations (BMOs) are lack of business association mentality, lack of trust, lack of communication between business organizations and their members, inability to adjust to a management style that is conducive to peak organizational effectiveness.

According to Hailemelekot these challenges could have been overcome through provision of trainings, consulting, information, and expert advice on a variety of fiscal, administrative, and legal issues. The future trends require a paradigm shift in membership development, embracing public policy advocacy in support of members and becoming a broker of information.

Using technology to build visibility and grassroots support, and engaging in public-private-partnership are also the other remedies required. Mesenbet Shenkute, President of the AACCSA for her part said that it is better to focus on economic development as economic building block, embracing community trusteeship as a core value and becoming a driving force in the economic sector.

Establishing transparent financial systems, focusing on marketing strategies to reinforce organizational purpose and message, adopting a team-oriented management style, employing and empowering professional staff members are among the solutions listed by her. She further stated that, the success or failure of any peace-building initiative depends, to a great extent, on the quality of individuals as managers.

Hailemelekot further noted that, it is important to build peace because business entities are the first victims or targets of violent conflicts. Business and peace are highly intricate concepts and practices that is businesses require peace to prosper conversely; peace-building processes also require business investment. The very existence of business requires peace. Promoting economic revitalization and investment is part of stabilization and peace-building.

So, any initiative by the business community for peace is for its own survival beyond the rationale of ‘common good’ for one country. Hailemelekot added that due to the conflict that raised in different part of the areas the business sectors are in danger and doing an activity of awareness raising and advocating for peace, both within the communities and political classes.

Facilitating and supporting peace processes and acting directly as brokers or as part of the negotiating team for peace and also providing jobs for rebellion groups. Mesenbet for her part said that building bridges between different communities and between state and society, removing discriminatory practices and promoting reconciliation in the workplace will minimize the problems.

Legitimacy and impartiality are considered necessary attributes of a peace-building actor, including the local private sector. This is crucial for acceptance from conflicting parties as well as from affected communities. The FDRE government introduced Proclamation No. 341/2003 to establish chambers of commerce and sectorial associations in line with the federal structure.

Business Membership Organizations (BMOs) under each chamber have also been formed so as to harness the potentials of the private sector and to facilitate business-friendly climate, apart from protecting the interests of the business community.

The Ethiopian Herald, January 5/2019

BY HAILE DEMEKE

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