Multinational - Private Enterprise Partnership for Africa

The Private Enterprise Partnership for Africa (PEP Africa) is a new initiative designed to boost private sector development (PSD) in Sub-Saharan African countries through better coordination and focus in implementing technical assistance programs by various development partners. PEP Africa replaced the Africa Project Development Facility (APDF) at the end of APDF’s current funding cycle, in June 2005, based on a multi-donor commissioned assessment and discussions between the International Finance Corporation (IFC), the Bank Group and other development partners that started in 2003. PEP Africa is a major initiative led by the IFC in close collaboration with the Bank group, to more effectively provide technical assistance in support of three strategic pillars for the region: i) improve the investment climate; ii) enhance SME development; and, iii) proactively develop investment opportunities. PEP Africa should constitute one of the African Development Bank’s implementation arms of direct assistance to SMEs to better respond to the needs of the private sector in Africa and in a more cost-effective way. This project executes five main programs: 1) Business environment improvement, including investment climate work, the establishment of country level business forums and initiatives, and legal and regulatory framework reforms; 2) Financial market development. This includes programs such as leasing, SME scoring tools, capacity building of local banks to enhance their focus towards SMEs, social housing initiatives, etc.; 3) Public-Private infrastructure. This includes specific programs and activities to promote access to in particular rural water, health care, and electrification; 4) Entrepreneurship development. This includes the SME-EDI program (elaborated under section 5), women entrepreneurship and trade development programs, export support programs, SME competitiveness programs and managing HIV-Aids programs. 5) Sector-focused growth and investment programs.