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Bangladesh Investment Climate Fund Integrating PPDs into the Political Process Lessons from Bangladesh Laura Watson, Operations Adviser Shihab Ansari Azhar,

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Presentation on theme: "Bangladesh Investment Climate Fund Integrating PPDs into the Political Process Lessons from Bangladesh Laura Watson, Operations Adviser Shihab Ansari Azhar,"— Presentation transcript:

1 Bangladesh Investment Climate Fund Integrating PPDs into the Political Process Lessons from Bangladesh Laura Watson, Operations Adviser Shihab Ansari Azhar, Stakeholder Engagement Analyst April 29, 2009

2 2007: Breaking New Ground January 2007: Interim Government in power. Anti-corruption drives targeted at some prominent businessmen. Low business confidence. The case for business reforms:  Relatively easy set of reforms to implement, compared to corruption and electoral reforms  Allows Caretaker Government to leave a legacy. Selling Interim Government on the need for business reforms results in establishment of two public-private dialogue bodies:  Bangladesh Better Business Forum  Regulatory Reforms Commission 2

3 2008: Managing Change December 2008: Elections scheduled to elect new political government. Bangladesh has history of anti-incumbency; business reform momentum may not sustain. Needed strategy to mitigate risk of political change effectively. 3

4 4 Touch People’s Lives

5 Understand Your Audience First step is to understand how people perceive business reforms in Bangladesh.  Survey of 1,200 General Population, 353 total Opinion Leaders (37 from General Population) and 250 SME/Micro business owners and managers  10 Focus Groups in Dhaka and Chittagong with general public, opinion leaders, SME/Micro business owners and managers. 5

6 6 BBBF Approval General Population Opinion Leaders Based on what you know, would you approve or disapprove of the next elected government continuing with the BBBF, or do you have no opinion?

7 7 BBBF Messages | Opinion Leaders Domestic Investment. The BBBF works to improve our business climate, making Bangladesh more attractive to investors. Greater government transparency, better tax policies, and regulations that stabilize our economy will ensure greater domestic investment and growth in Bangladesh. Jobs. The BBBF is working to improve the lives of every Bangladeshi. Greater access to loans for entrepreneurs, more efficient regulations and streamlined government services will lead to more jobs, a higher standard of living and a better future for all Bangladeshis. Foreign Investment. The BBBF works to improve our business climate, making Bangladesh more attractive to foreign investors. Greater government transparency, better tax policies, and regulations that stabilize our economy will ensure greater foreign investment and growth in Bangladesh. Public/Private. The BBBF helps the public and private sectors work together to reach the right solutions for the country. Increasing interactions between the government and business community will lead to mutually beneficial policies, combating problems and identifying solutions that will grow our economy. High prices. High prices are placing a heavy burden on our families and damaging our country's economy. The BBBF is working to provide solutions and support to our government to help get through this crisis. In the future, the BBBF will make sure that through effective business and economic reforms, crises like this are prevented. International Similarities. Organizations similar to the BBBF are very common throughout the world. The United Kingdom and South Korea both have similar organizations that provide real solutions and reforms that stimulate their economy. Having the BBBF continue in Bangladesh will allow us to join the international stage and lead to greater economic growth. Permanency. One of our country's major problems is the lack of permanency within our government that leads to unstable economic conditions, hindering our growth. The BBBF is an organization that will work from government to government, paving the way for consistent policies and easier transitions; so as our government leaders change our economy will remain stable.

8 8 BBBF Doubts | Opinion Leaders Now I am going to read you some criticisms of the Bangladesh Better Business Forum, or the BBBF. For each one, please tell me whether it raises very serious concerns, serious concerns, minor concerns, or no concerns at all about the Bangladesh Better Business Forum. Big Business. The BBBF is too focused on big businesses and not enough on the real problems of our country. The BBBF spends too much of its time figuring out ways for big business to make more profit while the people are struggling with high prices and low wages. Benefits Foreigners. While the BBBF may claim to improve the lives of Bangladeshis, they will really be benefiting foreigners who come here and exploit our resources. In reality, by promoting foreign investment and tax benefits for foreigners, Bangladeshis will lose jobs and profits will be taken out of our country to companies overseas. Part of CG. The BBBF is just one of the many failed reforms undertaken by the Caretaker Government. The BBBF has been in place for over a year and they have not implemented a single business reform. This is just another sign that the Caretaker Government is more interested in talking about reforms than actually carrying out reforms.

9 9 BBBF Approval General PopulationOpinion Leaders Based on what you know, would you approve or disapprove of the next elected government continuing with the BBBF, or do you have no opinion? +76+8 +68 +5

10 10 Best reasons to continue with BBBF Based on what you know now, which TWO of the following are the best reasons the next government should continue with the Bangladesh Better Business Forum, or the BBBF?

11 Operationalising the Research Results Objective: sustain the reforms process during transition to a new government. Overall slogan: Better Business, Better Bangladesh. Overall message: Business reforms lead to job creation. 4 week campaign; each week one reform highlighted Series of message events and communications around selected overall and weekly theme defined by research results: roundtables, press briefings, talk shows, regional dialogues, media visits. 11

12 TV Commercial from the Communications Campaign 12

13 13 Build and Nurture Champions Who Can Leverage Influence

14 Building a Coalition of Champions for Business Reforms Identifying at least 100 influential individuals (opinion elites) Establishing a coalition of 20 - 30 opinion elites Supporting the advocacy coalition:  provide them with research support, policy notes, creating advocacy events 14

15 15 A Large Range of Stakeholders May Already be Active

16 A Brief Stakeholder Analysis 16 Degree of Support and Interest for Business Reforms Level of Influence Low High Academia Chambers Media Think tanks Champions Policy Makers BBBF

17 RAID: BICF’s Stakeholder Engagement Model 17 Research and Recommend Reforms Advocate For and Support Reforms Implement Reforms Disseminate and Communicate Implementation Academia Chambers Media Think tanks Champions BBBF Strategic Comms Campaigns Chambers Academia Think tanks BBBF M&E BBBF PRCU Media BICF Regulatory Reforms Programs

18 What Does Success Look Like? 18 Degree of Support and Interest for Business Reforms Level of Influence Low High Academia Chambers Media Think tanks Champions Policy Makers BBBF Policy Makers Champions Think tanks Media Chambers Academia BBBF Where they are Where they need to be

19 19 Branding Key to Stakeholder Buy In

20 “BICF Inside” Perception of World Bank Group in Bangladesh historically not very positive. Some key players from all sectors may be unwilling to engage in an IFC-driven initiative. Introducing “BICF Inside” model:  Support to Public Private Dialogue initiatives without overt IFC Branding Result: Greater stakeholder buy-in and support for PPD in Bangladesh. 20

21 21 So What Has Happened?

22 Large Increase in Public Support for Business Reforms 22 September 08 December 08

23 Other Key Results Increase in number of stakeholders who believe that business reforms are much needed, from 88% of opinion leaders and 81% of general population in September, to 95% and 91% of stakeholders respectively in December. 95% of garments manufacturers and 86% of lawyers and accountants surveyed recognized the campaign slogan, and 100% and 85%, respectively, agreed with the spirit of the statement. Business and investment climate reform issues incorporated into the election manifestos of both major political parties. After the elections, newly elected government publicly committed to continuation of the BBBF and the reform process. 23


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