Lessons from Mauritius

Mary-Jan Dabot (right) talking to a Zambian entrepreneur

In Zambian politics, the old generation are the ones fighting for a future. What future when they have had their time in government and have had a fair share of what life has on offer?

When you see them supporting a particular candidate, just know they are not doing it out of principal or for a favour. They want to be paid in return. This could be in the form of an appointment in government or in foreign mission. Have you forgotten so soon that a  certain Mr Solomon Mbuzi, a man who could hardly walk or speak was appointed to be ambassador in a certain mission abroad when the country has a number of energetic and qualified young people to do that. All that Mr Mbuzi did was to shout the loudest that PF was the right part to form government. 

While there is nothing wrong in the above actions, there is everything wrong if all these old men and women are just interested in the benefits that come with holding these offices. They must work and ensure that they bring innovation on board. The country is in dire need of selfless leaders who would make very difficult decisions to break the ring of poverty strapped around the necks of more than 60% of our people. This country requires a leader who will improve the lives of the majority and not just a few relatives and party sympathissers. We need a leader who would be able to make a policy shift that ensures that the private sector becomes key to job creation. Why should we all clamour for a few jobs in government just because they offer force security where you lazy around but continue getting your salary. This is not health for a country that is serious with development. 

Countries that have made progress have long realised that it is not the duty of government to create jobs but to develop good policies for social and economic development. The recent conversation I had with a Mauritian government official was revealing and encouraging. He put it succinctly: “Obviously, government does not create jobs, it is private business that creates jobs, so we tell people, either you train yourself to become employed by some enterprise or you create your own enterprise and employ others and this vast campaign on entrepreneurship is supported by a number of measures.”        

The measures which the government of Mauritius has put in place for its business people include providing start-up capital and technical support to budding entrepreneurs. Starters are coached to become efficient entrepreneurs and given access to finances for their business. Banks ask you for collateral and emerging entrepreneurs don’t have collateral. So, leasing companies have been established that do not require collateral. Secondly, the government also supports access to finance through negotiations with banks, bringing them to support the working capital requirements of enterprises through concessional loans. Through these kinds of loans the interest rates are lower.

The business people produce and search for markets. They also ensure that their products are competitive on the world market. Mr Amedee Darga, the chairman of Enterprise Mauritius, says his government’s role is to support the private sector to find new markets for exporting the products and services.

Thus it is not by accident that Mauritius currently exports manufacturing goods of over 3,000 products to over 150 countries. The country engaged in an aggressive economic diversification, first using the proceeds of its once dominant sugar industry to build a strong manufacturing base, and then broaden into service sectors such as tourism. Mauritius now has an average annual growth rate of around 4% and manufacturing remains the spine of its economy. Manufacturing has contributed over 122,000 jobs for a country with a population of slightly over a million. 

With correct people in government and right policies, we can do the same by using proceeds from copper to grow other sectors of the economy!