PRIVATE SECTOR REACTS TO PRESIDENT'S SNUB
We publish below an information note that the Seychelles Chamber of Commerce and Industry (SCCI) has sent to its members expressing its position vis-à-vis the National Economic Planning Council (NEPC).
Members of the Seychelles Chamber of Commerce & Industry will be aware that the SCCI does not have any representation on the newly-created National Economic Planning Council nor was it invited to nominate any persons to that Council, despite the Chamber’s strong support of the initiative and its readiness to participate on the Council
In a letter to the President’s Office, the Chamber expressed deep regret at this omission pointing out that it is the most representative private sector intermediary body in the country and speaks on behalf of a substantial portion of the domestic business community. The Chamber reminded Government of its substantial and constructive proposals over the years aimed at improving the economic conditions of the country and stressed that many of these proposals have been echoed and strongly supported by international financial institutions such as the World Bank and the International Monetary Fund.
The Chamber questioned Government’s choice of private sector operators on the new NEP Council, noting that the “private sector members” had been nominated in their personal capacities. The Chamber further pointed out that only two sectors of the economy, namely the offshore industrial and financial sector and the five-star tourism sector appeared to be represented on the Council and that this would raise serious doubts as to how the NEPC would fulfil its terms of reference.
The Chamber called upon the President to work together in seeking the most appropriate solutions to the difficulties and constraints being faced by the local business community that has remained the main driving force in the wealth achieved by this country to date. Reminding the Government that direct and effective dialogue would address the needs and frustrations of the local business community as well as its proposals for working solutions, the Chamber expressed its readiness to nominate representatives to the NEPC who would be in a position to advance the collective interests of the domestic private sector whilst not losing sight of the national interests.
Acknowledging that the composition of the National Economic Planning Council was based on private sector members appointed in their personal capacity, the President’s Office did recognise that the Chamber continues to be represented on the Joint Economic Council which is to be retained as a consultative institution of the Government.
Consequently, the Chamber resolved that if it could not participate directly on the National Economic Planning Council, it must, as the main representative body of the Private Sector be given the opportunity to meet directly with the NEPC on a regular basis to discuss economic issues from the business community’s perspective and relevant to any policy review and formulation that the NEPC may take up. In this respect, the SCCI has specifically requested that it be given the opportunity to meet with the NEPC to discuss such issues before its next meeting in November 2006.
The Chamber expressed its concern that despite the undertakings of Government taken at the outset, the Joint Economic Council (JEC) has met only four times since its creation in July 2004 and the last two meetings have been chaired by the Vice-President in the absence of the President. The JEC had not met since November 2005 and its latest meeting was held on Monday 11th September 2006. However that meeting could not address a number of issues considered urgent due to the absence of some key members.
The Chamber has, in a letter dated 18th September, 2006 called upon the President to urgently call another meeting of the JEC so that the proposed agenda items can be fully discussed.
Below is a list of those issues and which will also be taken up with the NEPC.
1 The Convertibility of the
2. The “First come-First served” CBS directives as an Important “Matter Arising” from previous meetings of the JEC.
3. The need for the National Economic Planning Council (NEPC) to meet with the SCCI at regular intervals to receive inputs on economic issues from the business community as represented by the SCCI.
4. Clarification on Government policy regarding foreign direct investment into Seychelles and whether foreign investors are permitted to borrow from local banks for the purposes of both development and as working capital.
5. Clarification on Central Bank of