Doing business report: Sub-Saharan African economies set new record

Sub-Saharan Africa has made significant strides in economic growth and development, as indicated by the 2019 World Bank Doing Business index report. The region has recorded the most reforms, with countries like Rwanda, Kenya, Togo, and Cote D’Ivoire showing remarkable improvements. Manuel Moses, the Country Manager for the International Finance Corporation, World Bank Group, shed light on the reasons behind this positive trend during a recent CNBC Africa interview. Rwanda and Kenya have emerged as the top reformers in the world, with Rwanda securing a spot in the top 10 alongside Kenya. Rwanda now stands at number 29 globally, a remarkable achievement that is only surpassed by Mauritius, which holds the 20th position. Kenya has also made significant progress, moving up from number 80 to number 61. This progress is a clear testament to the region's commitment to reform and improve the business environment for small and medium enterprises (SMEs). One of the key factors driving this upward trajectory is the focus on key business indicators such as access to credit, access to electricity, enforcement of laws, and resolution of disputes. Countries like Rwanda have excelled in areas such as construction permits and access to credit, but there is still room for improvement in other areas to break into the top 20 rankings. Similarly, Kenya has made strides in access to finance and resolution of disputes, bolstering its position in the global rankings. The collaboration between the IFC and the World Bank Group plays a pivotal role in supporting countries to identify areas of improvement and implement strategies to enhance their business environment. The peer-to-peer learning initiative, scheduled for November this year, will further facilitate knowledge sharing among countries to foster collective growth and development. While countries like Mauritius have maintained a strong position in Africa, breaking into the top 10 globally requires continuous effort and focus on enhancing business regulations and practices. Each country must tailor its approach to align with global best practices and address specific needs to drive economic growth and competitiveness in the region. The World Bank's Doing Business index report aims to reduce poverty and promote inclusive growth by focusing on SME development and job creation. By empowering SMEs and fostering a conducive business environment, countries can bridge the gap between the rich and the poor, and create sustainable job opportunities for their citizens. Job creation is essential in achieving the Sustainable Development Goals (SDGs) as it generates income and supports access to critical services like healthcare and education. Overall, the positive reforms and improvements in the business regulations in Sub-Saharan Africa signify a significant step towards achieving long-term economic growth and development in the region. By leveraging this momentum and continuing to prioritize SME development and job creation, countries can further enhance their competitiveness on the global stage and contribute to sustainable development goals.