By Keith Marsden
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Additional info for African Entrepreneurs: Pioneers of Development (Discussion Paper (International Finance Corporation))
Three-quarters of them were selected from a list of people who have received assistance from the Africa Project Development Facility (APDF). The remainder were suggested by financial institutions and other contacts in the field. The criteria for selection of the entrepreneurs were African nationality, a track record of performance, and coverage of a representative range of activities in which African entrepreneurs are engaged. The countries selected by the International Finance Corporation (IFC) and APDF--Botswana.
A 1983 survey found 246,091 self-employed and unpaid family workers, compared with 1,093,278 wage and salary employees. In Ghana, the development of the modern private sector was held back by expropriations, heavy investment in parastatal enterprises, scarcity of foreign exchange, and declining per-capita incomes from 196584. Nevertheless, an official survey of larger manufacturing establishments (those with thirty or more employees) in 1984 recorded 206 wholly Ghanaian-owned private enterprises employing a total of 29,036 workers.
Some apparently viable projects are still waiting for the approval of commercial banks and other financial institutions. The delays are more acute in countries where financial markets are short of funds and where government/public sector borrowing is given priority. But entrepreneurs complained generally, even in Botswana, of the insufficiency of short-term credit to meet their working capital requirements. They feel that bankers do not understand their needs, that bankers apply conventional criteria concerning collateral, rather than assessing the entrepreneur's capacity to use funds productively.
African Entrepreneurs: Pioneers of Development (Discussion Paper (International Finance Corporation)) by Keith Marsden