According to bank documents, the proposed intervention concerns a EUR 20 million to the Republic of Cabo Verde to finance the Private Sector Competitiveness and Local Economic Development Programme - Phase II (PSC-LED-II). PSC-LED-II is the second phase of a programme-based budget support operation covering fiscal years 2018 and 2019, with an overall financing of EUR 40 million. The first phase of PSC-LED implemented in 2018, was successful in supporting reform efforts to promote competitiveness and economic diversification as well as spatially inclusive growth and development. Key achievements of phase I include the strengthening of institutional capacity for competitiveness-enhancing policy-making, through the operationalisation of a competitiveness reforms coordination unit. PSC-LED II aims to consolidate the gains from phase I, by (i) supporting Cabo Verde's efforts to tackle critical challenges related to lack of productivity and economic diversification through reforms to improve overall competitiveness, while also (ii) seeking to set the basis for local economic development.
Like PSC-LED-I, the main objective of PSC-LED-II is to contribute to inclusive growth and economic diversification, with particular attention given to the domestic private sector and local actors given their potential contribution to the economy. This second phase pursues the same operational objectives as PSC-LED-I, namely: (i) Improved legal framework and systems for business competitiveness and investment, (ii) Skills development anchored in private sector needs, (iii) Improved factor efficiency in support of MSME development, (iv) Improved local government support for enterprise development, (v) Updated legislative framework for local economic development and decentralisation and (vi) Improved local economic development planning.
ACCOUNTABILITY MECHANISM OF AfDB
The Independent Review Mechanism (IRM), which is administered by the Compliance Review and Mediation Unit (CRMU), is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an African Development Bank (AfDB)-financed project. If you submit a complaint to the IRM, it may assist you by either seeking to address your problems by facilitating a dispute resolution dialogue between you and those implementing the project and/or investigating whether the AfDB complied with its policies to prevent environmental and social harms. You can submit a complaint electronically by emailing email@example.com, firstname.lastname@example.org, email@example.com, and/or firstname.lastname@example.org. You can learn more about the IRM and how to file a complaint at https://www.afdb.org/en/independent-review-mechanism/