09 October 2003
Affiliate of U.S. Chamber of Commerce Opens Field Office in Iraq
Center for International Private Enterprise supports private sector growth
By Afzal Khan
Washington File Special Correspondent
Washington -- An affiliate of the U.S. Chamber of Commerce, the Center for International Private Enterprise (CIPE), has set up a field office in Baghdad to promote private enterprise in Iraq.
CIPE Executive Director John Sullivan said the Baghdad field office will provide an "on-the-ground presence" for CIPE's programs to build greater awareness within Iraqi society "of market and democratic values" and to work with the Iraqi business community to strengthen its leadership role in the country's transformation.
The field office opened October 6. Sullivan, speaking on an October 8 satellite television forum hosted by the International Bureau of Broadcasting, said CIPE agreed to work with Iraqi businessmen on private sector growth, despite the unstable security situation.
"Although we recognize the inherent risks of maintaining a field presence inside Iraq, the hardships faced by the Iraqi people living under the rule of Saddam Hussein were far greater. We've already been approached by Iraqi entrepreneurs to help lead their country to stability and prosperity."
CIPE is launching two programs in Iraq that are funded by the National Endowment for Democracy (NED).
-- A partnership with the Iraqi newspaper Al Ahali to produce a monthly business review in Arabic highlighting best business practices and economic reform issues for Iraqi entrepreneurs;
-- A survey of business conditions and barriers to entrepreneurship in six regions of Iraq.
The funding of the business supplement to Al Ahali initially involved a partnership with the Iraq Institute for Democracy (IID), which produces the newspaper based in Erbil in the Kurdish north. Subsequently, the newspaper has opened an office in Baghdad.
In late August, Nick Nadal, CIPE's senior program officer of the Middle East and North Africa, and CIPE consultant Zaid Abdul Hamid Abdul Moneim traveled to Baghdad to evaluate the state of the private sector. During the trip, they met with over 20 Iraqi businessmen, representatives of the Coalition Provisional Authority (CPA), members of the civil affairs division of the military, and staff from international non-governmental organizations (NGOs).
During the satellite exchange, Sullivan fielded questions from journalists in Cairo, Jerusalem, and Ramallah, West Bank.
Sullivan introduced CIPE as "the international outreach arm" for the U.S. Chamber of Commerce. He explained that CIPE operates by forming local partnerships in foreign countries.
Sullivan made it clear that CIPE was not an arm of the U.S. government and that its partnerships with local business associations and think tanks abroad often flourished despite "ups and downs" in U.S. government relationships in the country or region concerned.
A case in point is CIPE's continuing role in the West Bank and Gaza. CIPE's partners there include the Israel-Palestine Center for Research and Information (IPCRI), Center for Jewish-Arab Economic Development (CJAED), Center for Palestine Research and Studies (CPRS) and the Palestinian Businessmen Association (PBA).
The PBA, located in the West Bank city of Ramallah, recently launched an initiative in partnership with CIPE to "make the voice of businessmen" heard in the West Bank, Gaza and around the world. The Center for Private Sector Development, a subsidiary of PBA, has published the newsletter "Palestinian Private Sector Forum." The newsletter reflects the emerging effort among private sector individuals for a better business environment through "institution building."
Sullivan noted that there are "four different legal systems" operating in business in the West Bank and the business community there needs to simplify the system.
In September, key business leaders from eight Arab countries convened in Cairo, where CIPE maintains its regional office. The Cairo meeting resulted in a declaration on the the urgent need for "stronger standards of accountability for corporations" in the Middle East and North Africa region so as to conform to international standards of corporate governance.
Sponsored by CIPE and the Global Corporate Governance Forum, the conference identified "specific corporate governance trends" in the region based on conferences held earlier in the year in Morocco, Jordan and Lebanon.
The findings will be presented in a report to the International Global Corporate Governance meeting to be held in Paris in November. That meeting will review corporate governance reform efforts in developing countries and assess the impact of the OECD (Organization for Economic Cooperation and Development) Principles of Corporate Governance.
Sullivan said the informal sector or "the underground economy" flourishes in the Middle East and North Africa because of bureaucratic corruption and a lack of transparency in business regulations.
"The Middle East must evolve from a cash-and carry economy to long-term contracting. The free market structure is missing," Sullivan pointed out.
CIPE is an affiliate of the U.S. Chamber of Commerce and conducts its programs with funding from the National Endowment for Democracy (NED) and the U.S. Agency for International Development (USAID). CIPE has also received support from private corporations. Since its inception in 1983, CIPE ha funded more than 700 projects in 80 countries.
(The Washington File is a product of the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)
This page printed from: http://usinfo.state.gov/xarchives/display.html?p=washfile-english&y=2003&m=October&x=20031009165705atarukp0.9064447&t=usinfo/wf-latest.html
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