WORKSHOP B- INFORMAL ECONOMY AND ENTREPRENEURSHIP
The current economic dispensation that was market- orientated increased the gap between developed and under- developed countries, which created a situation of “survival of the fittest” and seemed to support capital rather than development. Women entrepreneurs, who operated at a small scale, consequently found it difficult to compete in the markets. The level of illiteracy amongst women created a challenge. Most women lacked the necessary knowledge and skills to manage business finances as they relied heavily on day-to-day profits and paying back exuberant interest rates charged by financial institutions which impeded business growth. Various produce could assist the growth of the informal economy, but some could be classified as illegal, thus minimizing the opportunities that could be undertaken by some countries. Hon. Alix Boyd Knights, MHA, cited the example of marijuana, which although proven to have vast health benefits, was classified as illegal when used for leisure activities. She argued that if the focus was on the health benefits – the drug being declassified and controlled – it could bring about many economic benefits.
What interventions Parliaments may effect?
Parliamentarians as people’s representatives have a responsibility of ensuring that democracy is responsive to the needs and aspirations of the people. The challenge of reducing poverty and removing people from abject poverty could be met by effecting and adopting proactive poverty reduction strategies.
Women entrepreneurs in the informal economy were in the majority and the most affected, and therefore urgently required Parliaments’ intervention. Dr Chaudhury stated that Parliamentarians could take appropriate measures by designing effective intervention strategies to:
• Bring down existing financial and institutional barriers;
Participants taking part in the discussion in Workshop B.
• Facilitate access to credit, not only confined to micro credit but make institutional credit arrangements; • Arrange for collateral free loans; • Promote social and economic support schemes; • Provide income generating skill training; • Provide capacity building training to help them acquire expertise in business management, accounting, proposal writing, loan negotiation, skill development and survey the market situation; and • Train women on the use of information communication technol- ogy for e-market and entry into the international market.
Mr Andreas Klemmer, Internation Labour Organization (ILO), emphasized that in order to promote women entrepreneurship in an integrated approach, closer
260 | The Parliamentarian | 2013: Issue Four
linkages should be forged between Parliament, civil society and the private sector. An integrated approach considered the market as the point of departure in developing a sustainable business in a local given context. The market system framework was constituted by people who were acting through organizations representing aligned interests, and these had to be grouped according to their core functions across three system levels. These were:
• The micro-level: a level where people physically transact goods and services for money; • The macro-level: a level where the rules of doing business (policies, laws and regulations) for system stakeholders are codified and enforced; and • The meta-level: a level where the mindsets of people making up the
social system (their values, norms, perceptions and communication codes) are shaped.
How can Parliaments’ intervention be implemented? Parliamentarians can contribute to policy coordination by facilitating the implementation of related policies in a coordinated manner to promote women entrepreneurship as they (women) contribute significantly to job creation, poverty eradication and economic growth. Proper laws and regulations that will administer the informal economy to bring it within an appropriate tax regime should also be developed.
The legal framework that
addresses social cohesion should be strengthen by devising laws, policies, acts and regulations that support women in the informal economy. The framework will ensure that women
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84 |
Page 85 |
Page 86 |
Page 87 |
Page 88 |
Page 89 |
Page 90 |
Page 91 |
Page 92 |
Page 93 |
Page 94 |
Page 95 |
Page 96 |
Page 97 |
Page 98 |
Page 99 |
Page 100 |
Page 101 |
Page 102 |
Page 103 |
Page 104 |
Page 105 |
Page 106 |
Page 107 |
Page 108 |
Page 109 |
Page 110 |
Page 111 |
Page 112 |
Page 113 |
Page 114 |
Page 115 |
Page 116 |
Page 117 |
Page 118 |
Page 119 |
Page 120 |
Page 121 |
Page 122 |
Page 123 |
Page 124