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CIPE in South Asia



Weekly Program Highlights

Afghanistan – CIPE staff met with Sediq Ahmad Usmani, Chairman of the National Assembly’s Finance and Budget committee. Mr. Usmani expressed his appreciation for CIPE’s economics training program for parliamentarians. Continued support to specific economics-related committees was discussed.

Pakistan – Pakistan’s Director General for Trade Organizations issued the first license to the Southern Punjab Women Chamber of Commerce and Industry. CIPE has been working extensively to support women’s groups in working with the government. Over the next year, CIPE plans to work extensively with women chambers of commerce throughout Pakistan to build their capacity to serve their members.

Pakistan – CIPE Pakistan’s Project Advisory Committee met to discuss CIPE’s work over the last quarter and strategic and security issues concerning CIPE programs. The committee also took steps towards selecting organizations to be awarded small grants, based on a previously issued request for applications. Grants will be used to chambers of commerce and business associations to develop new capacities and increase value to members.

Background and Overview

South Asia, comprising Afghanistan, Pakistan, India, Nepal, Bhutan, Bangladesh, and Sri Lanka, represents a myriad of governance structures and economic practices. From the newly democratic mountain kingdom of Bhutan to the civil-war torn island of Sri Lanka, each country presents its own challenges for CIPE. India, an established democracy with a booming economy, faces fewer difficulties than its neighbors.

Afghanistan is still faced with the challenges of post-conflict reconstruction and democratic consolidation. The Karzai administration must continue down a democratic path to ensure the growth of a free market in Afghanistan. CIPE continues to support Afghan chambers of commerce, which have made considerable progress in establishing public-private dialogue and demand-driven programs for the business community, as well as other private institutions.

Pakistan is perhaps the most challenging country in the region. It is a country deeply troubled by inequality, violence, corruption, and poor education, stemming largely from a lack of viable democratic institutions. Chambers of commerce and business associations struggle to find ways to participate in the policymaking process and to become more competitive in a regulated environment. Corporate governance appears in a variety of guises, but has yet to penetrate most businesses. Ongoing economic reforms have failed to address deep-seated institutional problems, indicating that the business community needs to start playing a more active role in democratic decision-making.

Like Pakistan, Bangladesh, Sri Lanka, and Nepal face challenges resulting from internal struggles and terrorist activities. Nepal is also faced with the trials and tribulations of transitioning from a monarchy to a democracy and balancing a tenuous coalition government. Bangladesh still suffers from the political quagmire caused by the inability of the two main parties to work together. Sri Lanka must cope with an ongoing civil war in addition to rebuilding its economy after the deadly tsunami of late 2004.

CIPE’s work in South Asia focuses on building business association capacity, developing the role of business in public policymaking, instilling the values of corporate governance, reducing corruption, and improving access to economic information.


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