Private sector development
Private sector development promotes not only a stable and effective legal framework for enterprises, but also contributes to macroeconomic stability, helps create regional markets and creates a favourable climate for the development of private investment. The Commission is assisting African, Caribbean and Pacific (ACP) countries in their economic reforms, with a particular focus on small businesses.
Private sector companies make an important contribution to development and poverty reduction in ACP countries. They trigger economic growth by creating new jobs and providing income for employees and their families. They improve the livelihoods of the poor by reducing the prices of products offered and enhancing consumer choice.
The private sector in ACP countries is characterised by an increasingly greater dynamism in a continuously changing political and economic environment. The revised Cotonou Agreement, which provides the framework for the EU’s relations with ACP countries, underlines the importance of support to the private sector development in ACP countries, recognising the key role of enterprises in accelerating economic growth and reducing poverty.
A number of activities targeting small businesses in particular are being implemented, namely targeting improved access to finance and supporting transitions to the formal economy.
Programmes and projects
- Centre for the Development of Enterprise (CDE)
- Private sector enabling facility (BizClim)
This joint ACP-EU Institution created in the framework of the Cotonou Agreement supports the development and competitiveness of SMEs in ACP countries. To this aim, it provides non-financial services to ACP companies and supports joint initiatives by ACP and EU economic operators in various economic sectors.
The EU-funded initiative seeks to enhance the business environment of ACP countries and regions by providing technical assistance to promote policy, legislative and financial reforms. BizClim II has been extended until 2015.