SADC Unveils Investment Climate Scorecard to Boost Regional Business Environment
In a significant move to enhance the Southern African Development Community’s (SADC) appeal to investors, the organization has finalized the development of the SADC Investment Climate Scorecard.
This strategic initiative aims to create a more favorable business environment within the region, supported by legislation, procedures, and operational rules, thereby positioning SADC as a preferred investment destination.
The Investment Climate Scorecard, a key intervention by SADC, facilitates the monitoring of Member States’ progress toward regional integration goals. It serves as a tool for information dissemination, fostering awareness about the openness of the business environment in the SADC region.
The Scorecard will play a pivotal role in benchmarking the state of reforms, tracking trends, and promoting dialogue across SADC Member States.
Ms. Angèle Makombo N’tumba, Deputy Executive Secretary for Regional Integration at the SADC Secretariat, emphasized the importance of the Scorecard in tandem with National Action Plans on Investment (NAPIs).
These plans support national reforms, harmonizing investment policies with regional standards and international best practices.
Fifteen out of sixteen SADC Member States actively participated in the development of the Investment Climate Scorecard. The initiative, launched in June 2022, received implementation support from the World Bank Group (WBG) and the Organisation for Economic Co-operation and Development (OECD).
The Scorecard aligns with the broader objective of the Support to Improving Investment and Business Environment (SIBE) Programme, a five-year initiative implemented by the SADC Secretariat.
Financed by the EU under the 11th European Development Fund (EDF), the program, initiated in August 2019 with a funding of €14 million, aims to achieve sustainable growth and job creation by promoting intra-regional investment and foreign direct investment (FDI) in the SADC region, with a focus on Small and Medium-sized Enterprises (SMEs).
By fostering an attractive environment for investors through stable political and macroeconomic conditions, favorable regulations, quality economic infrastructure, skilled human resources, transparent legal systems, regional market integration, and a harmonized investment regime, SADC seeks to position itself as a hub for foreign direct investment.
The Investment Climate Scorecard and National Action Plans on Investment are integral components of the SADC’s commitment to harmonizing laws and regulations across Member States, ensuring consistency and paving the way for sustained and inclusive growth in the region.
Source: SADC Secretariat
