2009年-世界发展银行全球_The_Gambia___An_Assessment_of_the_Investment_Climate_125页_1mb

Summary of "The Gambia: An Assessment of the Investment Climate"

Core Content

This report, published by the World Bank in June 2009, provides a comprehensive analysis of the investment climate in The Gambia, focusing on the economic environment, firm performance, and key constraints to business operations. It is the first such report by the World Bank on The Gambia and uses data from the Enterprise Survey conducted in 2006, which included 174 formal and 127 micro-informal firms in the Greater Banjul Area.

Main Points

1. Economic Overview

• The Gambia is the smallest country in continental Africa, with a narrow resource base and a small domestic market.
• The economy is primarily based on agriculture (31.4% of GDP 1996-2006), which employs about 80% of the population.
• The industrial sector is small (13.4% of GDP 1996-2006) and mainly consists of construction and agro-processing.
• Services account for 55.2% of GDP, with trade, transport, and communications being the largest components.
• Tourism is the main source of foreign exchange, though it is heavily dependent on Western European tourists.

2. Recent Economic Developments

• The Gambia has experienced relatively robust economic growth, with an average real GDP growth rate of 4.4% between 1996 and 2006, slightly above the SSA average of 4.1%.
• Growth in 2007 was 7%, and it is estimated to be around 5.5% in 2008.
• Despite this, the economy remains undiversified and highly vulnerable to external shocks, particularly in agriculture.

3. Investment Climate Assessment

• The Gambia's investment climate in 2006 was not favorable to the private sector, with few improvements since then.
• The report uses both the Doing Business indicators and Enterprise Survey data to evaluate the investment environment.

4. Key Constraints to Business Operations

• Electricity: Perceived as the most significant constraint, with 67-80% of firms in different sectors citing it as a "major" or "very severe" obstacle.
• Access to Finance: Second most important constraint, with 34-58% of formal firms considering it a major issue.
• Access to Land: Third major constraint, with 25-32% of formal firms reporting it as a problem.
• Taxation and Bureaucracy: Also identified as significant constraints, especially in the formal sector.

5. Firm Performance in Manufacturing

• Labor productivity in The Gambia is very low, even compared to other low-income SSA countries.
• Unit labor costs (ULC) are high due to low productivity, despite relatively low wages.
• Capital intensity and capital productivity are also low in the manufacturing sector.
• Total Factor Productivity (TFP) is very weak, with firms in Guinea-Bissau, Benin, and South Africa being significantly more productive.

6. Infrastructure Issues

• Electricity supply is a major concern, with firms losing an average of 14-20% of sales due to outages.
• The average time to obtain an electricity connection is 6 months, due to inefficiencies in the distribution system.
• Water supply is also a problem, with nearly one-third of manufacturing firms reporting insufficient levels, and an average of 9 outages per month.
• Transport and telecommunications are perceived as less problematic than electricity and finance.

7. Financial Sector Challenges

• The financial system in The Gambia is underdeveloped, with domestic credit to the private sector only accounting for 16% of GDP in 2006, well below the SSA average of 65.8%.
• Most firms rely on internal funds and retained earnings rather than bank financing.
• Bank financing is limited, with only 14.7% of firms obtaining credit, and 78.4% choosing not to apply due to high interest rates and complex procedures.
• The average real interest rate in 2006 was 28%, much higher than in South Africa (5%) and China (2%).

8. Regulatory and Institutional Barriers

• Property registration is a major hurdle, with firms often waiting over a year for legal title.
• The process of transferring leasehold requires 365 days, nearly four times the average in SSA.
• Taxation and bureaucratic procedures are also seen as burdensome, with high tax rates and lengthy processes.

9. Implications for Economic Diversification

• The low productivity and poor investment climate hinder economic diversification and future growth.
• Improvements in the investment climate, especially in infrastructure, access to finance, and regulatory frameworks, are essential for fostering a competitive private sector.

Key Information

• Currency: Gambian Dalasi (GMD), with 1 USD = 26.8397 GMD as of June 2009.
• Fiscal Year: January 1 – December 31.
• Survey Methodology: Based on data from 301 firms surveyed in late 2006, representing 72.8% of formal firms and 2.1% of micro-informal firms in the surveyed sectors.
• Key Institutions:
  • World Bank and IFC operations.
  • Gambia Investment Promotion & Free Zones Agency (GIPFZA).
  • Gambia Ports Authority (GPA).
  • National Water and Electricity Company (NAWEC).
• International Rankings: The Gambia is ranked poorly in terms of ease of doing business and investment climate indicators.

Conclusion

The report highlights that while The Gambia has a relatively stable macroeconomic environment, its investment climate remains a significant barrier to firm development and economic growth. The main challenges include unreliable electricity supply, limited access to finance, and cumbersome land access procedures. These issues, combined with the lack of economic diversification, make the country vulnerable to external shocks. Improving the investment climate through better infrastructure, financial services, and regulatory reforms is crucial for enhancing competitiveness and promoting sustainable growth.