Loose alliances are working together on projects on the ground across Africa. These projects that connect with their core-business, are a powerful way for businesses to scale up the impact of their activities. While we take a cautious approach to launching new projects - they must be demand-driven and business-led - we have facilitated a number of exciting business-to-business alliances, notably Business Action Against Corruption and Business Action for Improving Customs Administration in Africa.
Business Action Against Corruption is the flagship governance programme for Business Action for Africa led by Royal Dutch Shell, this involves action against corruption within both the public and private sectors in Botswana, Cameroon, Malawi, Nigeria, Zambia and the SADC region, with country interest to participate from Namibia, Lesotho, Mauritius, Madagascar, Egypt and Tanzania. Examples of activities include codes of conduct in Malawi, guidelines for disclosure in Botswana, a new integrity code in Nigeria, and areas for action identified in Cameroon. The programme is managed by the Commonwealth Business Council.
BAFICAA, our customs project, is led by Unilever, British American Tobacco, SITPRO (the UK's trade facilitation agency) and Diageo. BAFICAA's primary objective is to achieve measurable and meaningful progress in customs reform by retaining a strong private sector lead while working in a wider co-operative relationship with governments, donors and other stakeholders in Africa.
On the basis of a business-focused study in 20 countries, recommendations were developed. Implementation is being planned in East Africa (Kenya, Uganda and Tanzania) with the private sector and government authorities, and with the support of PricewaterhouseCoopers. The focus has been on six areas: the need for fast-track customs services for the compliant and low risk taxpayers and traders; the need to support change in customs administration; automation of customs processes and procedures; a service charter between the customs services department and the private sector; avoiding duplication and unnecessary bureaucracy in Post Clearance Audits and valuation processes; and training, accreditation and certification for customs agencies. Discussions are also underway in Nigeria, and are planned in Southern Africa.
These projects demonstrate three important features. First, they see the private sector as an important driver of change – with both projects benefiting from strong business leadership. Second, they combine a core business issue with a core development issue – tackling corruption and enhancing customs administration are two business imperatives, and both are also central to Africa’s development. And third, both are deeply embedded at the national level, driven by national task forces, bringing on board a wide range of participants, many of whom are not members of Business Action for Africa, interacting closely with Government and non-government stakeholders. Local ownership and leadership is central.
Business Action Against Corruption, brings together, for example, the Southern African Forum Against Corruption, anti-corruption commissions, the African Corporate Sustainability Forum and the Human Rights Trust of Southern African.
Business Action for Improving Customs Administration in Africa, involves in East Africa alone, close 20 participants across three national task forces – including, for example, alongside the subsidiaries of the lead sponsors, the Kenya Association of Manufacturers, the Tanzania International Container Terminal Services and the Uganda Private Sector Foundation. Through a series of workshops across the region, the groundwork has now been set for a dialogue with customs administrations. A meeting to agree an action plan with the Commissioners of customs is being organised by SITPRO in conjunction with the World Customs Organization for later this year.
And we have many more projects in the pipeline. Right now, we are developing a set of projects focused on enterprise development. This will span advocacy work, financing, and capacity. We have 6 companies interested in one or more aspects of the programme, and another set interested in an agribusiness focus.
Working with the South African Business Coalition on HIV and AIDS, we also have a project in the pipeline on HIV/AIDS – a visit by senior UK MPs to South Africa to see what business is doing to tackle the issue.
We have taken the decision that here at the centre of Business Action for Africa we should focus our efforts on the front-end of the project process - getting projects from issue and concept through to business buy-in (if we don't find business traction, we do not pursue a project any further). Once there is buy-in, the companies form a light-touch governance structure, and potentially contract in a third party consultancy firm. Critically, the companies themselves are responsible for financing and delivery – the best way to ensure ownership. For those projects that are moving forward well under their own steam - such as BAAC and BAFICAA - we take more of a back seat - tracking progress and communicating results. This decentralized approach means we are better positioned to focus our energy on catalyzing a wider number of new projects.
Looking ahead, we see Business Action for Africa developing into an important pipeline of business-to-business alliances, seeking new partnerships with other businesses, governments, donors and NGOs – producing further joint bids, for example, to the Investment Climate Facility, and in the future, to initiatives such as the Africa Enterprise Challenge Fund.