Black private enterprise development project : strategy assessment and recommendations -- final report

This report examines the extent to which these changes dictate a reorientation of A.I.D."s assistance to black private enterprises in the country. It points out that political events now allow USAID/SA to communicate directly and have more credibility with key political and economic actors in the black community. Moreover, as the result of increased allocation of resources to black private enterprise development, the Mission has a much greater opportunity to leverage limited assistance funds more effectively. Opportunities appear greatest in the manufacturing and construction businesses, due to the increasing demand for black low-income housing and access to credit. Prospects in wholesale and transport industries, on the other hand, have dimmed. Black retailers are being squeezed out, as mass distributors begin to move into the townships, and black taxi drivers have been hurt by high fuel costs, traffic congestion, and other factors. The report concludes that while the Mission"s objectives remain unchanged, the way these objectives are met must be changed in order to achieve maximum development impact. Numerous recommendations are presented to ensure that implementation is focused on providing incentives which allow black entrepreneurs -- especially microentrepreneurs -- to respond to emerging opportunities for enterprise growth.