Governance issues and investment climate

Abstract

This paper reports findings on the perception of business leaders on investment climate. We met captains of industry. In-depth interviews revealed that governance factors are highly significant to investors. Business leaders find the government unfriendly. They see political instability and unstable policy as major barriers. They dislike the rampant corruption. They face unduly slow and complex bureaucracy. They want immediate action to reform governance. They want simpler rules. They prefer deregulation. They seek transparency. They want an investment council to serve as a bridge between the government and the investor community. They want the government to consult the business community to discover ways to improve the investment climate.