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February 22, 2006 

 

REMARKS OF AMBASSADOR CHARLES A. MINOR

AT THE

U.S. – LIBERIA BUSINESS ROUNDTABLE DISCUSSION

CORPORATE COUNCIL ON AFRICA

WASHINGTON, D.C.

Tuesday, February 21st, 2006

 

Mr. President

Officers & members of the Corporate Council on Africa

Friends of Liberia

Ladies and Gentlemen:

 

Thank you, Mr. President, for this initiative to get these distinguished personalities together to discuss the prospects for doing business in Liberia in the near term. I am particularly pleased that you re-scheduled the discussion, from January, when we were in Liberia, and again from earlier this month when several attendees were in Atlanta, to now, when we can be present.

This is precisely the type of events I give priority to, for I believe that as the official Government of Liberia representative in the United States, my role has several facets including negotiating to remove barriers to trade between our two countries, advocating our economic and development interests in this country and the commercial interest of the United States in Liberia. In this new age of international relations, commercial and economic diplomacy have attained profound importance to the national interest of most countries. And for Liberia, it is crucial.

Let me express that differently. Today, Liberia is one of Africa, if not the world’s most visible land of hope and high aspirations! No where I know today there is greater expectations and anxieties to sustain a peaceful society, to exploit the natural endowments, to utilize available resources and to expect favorable support and cooperation from partners than you find in Liberia and amongst Liberians. How are those objectives achievable?

Recently in the United States, there has been a high lever of enthusiasm over Liberia, from the Hill amongst members of Congress and their staffers to officials of the administration at relatively high levels, from PVOs and NGOs to universities and religious bodies. The Press has also given a little more attention to Liberia, but we all know that the Public’s attention span in this country is short. As soon as cameras of the World Press present other topics, priority attention is shifted. At important part of my responsibilities is to keep Liberia in focus in pursuit of the objectives we seek.

Admittedly our people have had a terrible past, and that too have been the focus of attention for too long. We have had successive governments that were unable to serve the people, to provide the enabling environment for peace, stability, growth, development and to enable the Liberian people to improve their standard of living. Just over two years ago, no one would have thought to bring you together to have a discussion on doing business in Liberia!

But by the Grace of God and the intervention of some Liberians, friends of Liberia and the International Community, spearheaded by the United States, a Comprehensive Peace Accord, signed in Accra in October 2003, was allowed to be implemented, with a relative level of success. Historians and political analysts are yet to suggest why was it that the Accra Peace Accord for Liberia succeeded, to the extent it did, and countless others – dozens of peace agreements, you will recall, were negotiated and signed for Liberia prior to the Accra Accord but were not successfully implemented. The same is true for other countries I will not here list.

The Accra Peace Accord had the following objectives:

·       The formation of an all inclusive National Transitional Government involving all the warring factions; civil society including political parties;

·       The disarming of combatants;

·       Repatriation and resettlement of refugees and displaced persons; and

·       Hold Presidential and National Elections and have the country turned over to a democratically elected government in two years.

 

We are proud that those objectives were achieved. Let me note, however, that Liberia and our International partners paid a heavy price. Many believe that it is this heavy price we have paid for the transition that raise into question the level of “success” achieved over the last two years.  Over half a billion dollars were spent disarming combatants, maintaining a large international peace keeping force in the country, repatriating and resettling refugees and displaced persons, albeit that activity is yet to be completed. The holding of free, fare, transparent and credible elections culminated the process and was the crown jewel of entire transition process.

What is left on the ground as the dividend of the transition? The evidence is unclear. Most of donors’ support was administered outside the Government’s periphery and the perception is that little of it trickled down into the Liberian economy. We are also aware of the well publicized malpractices, corruption and impunity that were endemic in the system. Unfortunately the Transitional Administration did not make the case, neither did it pursue a remedy to reduce the bloated civil service and improve the remuneration of those who deserved to be paid for honest work performed nor was there the political will to punish perpetrators.

Be that as it may, on the 16th January this year, the new Government was inaugurated. The Liberian people are proud of President Ellen Johnson Sirleaf and believe, literally and figuratively, that she is “The Man” to write the wrong of the past, to make the Government functional again to serve its people, to begin the reconstruction of the infrastructure, improve the environment for growth and development, and not only give hope to all Liberians but to ensure that they  regain their dignity, improve their standard of living and enable Liberia to take its rightful place in the comity of nations.

Ellen’s election and induction offer another dimension to Liberia. She is an African woman, with the education, qualification and experience comparable to or higher that those of the most qualified leaders the world over. Her becoming our President offer profound inspiration to millions of the world people, particularly women, who constitute more than 50% of the population of most countries. It signifies true democracy and provides a significant role model to the gender that has inappropriately been considered a minority.  One of her greatest challenges will be to proportion her time and efforts to lead and administer Liberia while also endeavoring to empower other women around the continent and elsewhere to rise to the challenge of leadership with both compassion and resolute vitality.

The Liberian Agenda

The task ahead for the Ellen Johnson Sirleaf’s administration is gigantic. Let us make no mistake about that, the challenges are numerous:

·       The Political Challenge – Liberia has always had a patriarchal political culture. The 21 male politicians she defeated and those who vehemently support them will use every chance to show she is a woman. In addition, the current Liberian Legislature is composed of multi-parties. Its leadership is already showing no intention of being a rubber stamp of the President’s wishes. A few of her nominees to cabinet and sub-cabinet positions have been rejected. The President will have to work hard at obtaining Legislature’s support for her policies.

·       Inadequate Administrative Capacity – President Johnson Sirleaf has inherited a weak, underpaid and bloated civil and public service. It will take time to weed out those of little value, retrain and employ a body of people with the qualifications, capacities and drive to make the Government functional as it should. The country does not have the revenues presently to effectively do what must be done and because of the long period of hostility, adequate care must be taken not to exclude groups and persons who may perceive her government to be discriminating against them when she has promised “inclusion”.

·       Security Consideration – It is an established fact that the peace in Liberia is still fragile. Unemployment in the country is exceptionally high and many unemployed young people roam the streets in search of a means to live. Many have been combatants and are vulnerable to be misled into their previous life style.

·       Basic social services are unavailable or in short supply. The basic needs of most people are unavailable or unaffordable. Health care is limited. Many children are still not yet in schools. Public accessibility to portable water and power is grossly inadequate, even in the capital city.

 

So every one looks to Ellen for the solutions to the problems!  She is a strong woman, perhaps perceived even as a “Man”. But we know the tasks to rebuild our country belong to us all – Liberians and friends of Liberia.

Ellen has and is soon to announce her 150 day plan and that will be followed by a 1000 day plan. Both plans and the rest of her six years in office are directed to improving the lives of Liberians - educating and enabling Liberians to read, write and count in greater number than what we have today; delivering better health services; enabling them especially those in the main cities and towns to have access to basic necessities like portable water and electricity; improving housing, road network and other means of communications. Effectively partnering with foreign businesses to exploit and market the country’s mineral endowment; developing trade and commerce and promoting agricultural production and distribution.

Ellen and those around her have no intention of having a government burdened with activities the private sector can do better. Her selection of government officials so far has had a strong private sector bias because she believes the private sector is the engine of growth and is the creator of wealth and revenues!

The new Government is also committed to the Rule of Law, to a very fair playing field. The Judiciary will be independent and many of Liberia’s laws, particularly contract laws, are similar to laws of U.S. states. Liberia’s business and accounting practices are also patterned after those of the United States as is the Constitution of the Republic and Ellen intends for all of them to be applied fairly to all concerned.

Let me mention one point. While the new Government does intend to respect and honor legitimate business contracts, it is well known that many existing Concession Agreements were negotiated at Liberia’s disadvantage. Therefore the Government does intend to invite parties to those agreements to have some of the existing concession agreement revisited to ensure that the country’s interest is protected.

We expect, in the days ahead, strong evidence that Mrs. Johnson Sirleaf’s Government will do everything to make Liberia eligible for the General System of Preference. Steps have already been taken for Liberia’s eligible for ExIm Bank and similar efforts are to be made for OPIC eligibility. Steps have already been taken for Liberia’s participation in MEGA.

My Friends:

Liberia needs your help. Let me, Mr. President, ask your permission to speak to my fellow Liberians present.

My fellow Liberians, the task to rebuild our country is very much ours as it is Ellen Johnson Sirleaf’s. We must step up to the plate. I know there are those in Liberia who feel Liberians in the Diaspora have been “enjoying:” while they at home bore the blunt of the hardship and if today, there is anything to be enjoyed (like jobs), they must be the first to benefit. Let me ask you not to be persuaded by those perceptions! Development history teaches that practically every country in the world, in its development stage, encouraged and relied on its citizens and nationals to learn copy and adopt know-how, practices and technology from abroad and introduce them at home. (The examples of Japan, the United States and Ghana come to mind.) We have as much right and responsibility to make our contributions to the redevelopment of Liberia as those at home. We have a President who expects that and has asked me to invite you to consider even contributing your vacation period to some worthy project at home. I call on you to positively consider this invitation and be responsive to the needs of our country at this critical time in its national life. You can spend your vacation there teaching, mentoring, providing care to those in need, helping market women improve their business skills, helping to streamline and improve administrative procedures, conducting workshops, implementing community services, coaching young people, amongst dozens of other activities. In addition, you can explore business possibilities that will offer employment to other Liberians and generate revenues.

Now I like to speak to our friends in the business world. Five years ago I was pursuing chartered membership in the Institute of Directors of Great Britain and I had to obtained the nomination of several persons who had served on Boards of Directors and knowledgeable about my performance as a Director. Ellen was one of those who wrote a nomination for me. After completing my written and oral examinations and obtaining my accreditation as a Chartered Director, Ellen said to me, “I know you wish to remain in the private sector, but Liberia’s public sector needs us. Our task is to make sure we have the environment for a vibrant private sector, and you understand what that entails.” I tell you honestly, Ellen believes in the private sector and is prepared to do all in her power to ensure its vibrancy in the new Liberia. Who will provide the jobs our people so badly need? Certainly not the Government, for it should be downsizing. We invite your investment to take advantage of our people’s quest for gainful employment. How will Liberia generate the revenues to rebuild its infrastructure and educate its people – We definitely cannot be donor supported for long! We must now turn to our friends in the private sector and invite you to join hands with us to tap into our resources, organize new and viable ventures to exploit our minerals, utilize our rich land to produce agriculture commodities and food; undertake manufacturing for the external market, deliver commercial services for a globalize economy. Liberia needs financial institutions, transport facilities and we also need more schools, technical institutions and other human resource development opportunities.

Liberia’s coastal and inland waters have great catches for domestic consumption and exports. In the past investment in fishing paid off well and it can do so again. As a well established maritime nation, Liberia is keen to have new partners to jointly explore opportunities to add more value to this key sector of our economy. The country also has great tourist attractions along our costal towns and in the forest belt. Our people are friendly and love Americans, and will welcome you as investors and tourists. 

Liberia’s proximity to Europe, the United States as well as the West African market makes the country an ideal location to set up shop, in or out of our free zones. Although the civil war in Liberia curtailed easy, fast and inexpensive air transport into Liberia, they are to be restored and together with our several Atlantic coast ports, make movement of goods and people easy. The dollarized monetary system, characteristic of Liberia will be maintained in Liberia until all of ECOWAS monetary policies are harmonized under the West African Monetary Institute. Liberia will also continue to allow free movement of currencies. Our investment policies are to be revised to ensure world class handling of investors’ business interest. Above all, under Ellen’s leadership, you will interact with reputable, credible and business like people in Government who believe your dollar can be taken elsewhere and for you to choose Liberia, we must be meritorious. To ensure this does occur in the short term, Liberia and its international partners already have an agreement known as GEMAP, to provide international experts to help manage some key areas of interaction with investment partners.

May I conclude, Mr. President, by thanking you for this opportunity to invite our current and future friends in the business community to put Liberia on your active agenda for the near term? Your intervention will be appreciated and we know your returns will be satisfactory. Liberia needs you – profits can be made there!

Thank you.

 

 

 

 

 

 

 

 


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