First 2011 PSI tender breaks records

The first tender of 2011 for the Private Sector Investment programme (PSI) has yielded 152 proposals, of which 47 for PSI Plus. Of those proposals, 45 PSI Regular and 10 PSI Plus projects have been invested in. In the next years, the investments will generate more than 3,300 direct and more than 20,000 indirect jobs, more than 2,000 local suppliers of the projects will benefit, and approximately 275 women will assume higher/management positions in the projects. In comparison with past tenders, this tender resulted in a significantly higher impact on employment and market development.
Favourite countries were the Palestinian Authorities, Vietnam, Ethiopia, Zambia, and Macedonia.
 
Private sector development in the Palestinian Territories
In the first tender of the 2011 PSI, we received a record number of proposals (ten) in the Palestinian Territories, varying from the creation of a soap factory to a call centre. Notwithstanding the enormous impediments to the entrepreneurial climate in this fragile region, entrepreneurs are identifying opportunities for sustainable investments. The daily obstacles, such as border closings, checkpoints, and import restrictions are being overcome by investing in products/services that are less sensitive to those obstacles (such as products with a long shelf life, as well as internet services), in products that have a considerable cultural/historical value (“holy land”), and in products that are fair (“fair trade”) and natural (“organic").
 
Successful PSI company Holland Car designs innovative public transport concept for Africa
Holland Car an Ethiopian company, assembles and produces cars for the rapidly expanding local market. Holland Car’s plant was built in 2005-2006 with the financial support of a subsidy from (the predecessor of) the Private Sector Investment programme PSI. Currently, it has been joined by plants of four competitors and the Holland Car plant is now five times as large as in the beginning. Today, it employs more than 250 people. In 2009, the Africagrowth Institute proclaimed the company the best and most innovative SME in Africa (Holland Car Press Release). The company recently made the headlines in the Netherlands with its design of an innovative trailer bus for the African market.

Information about PSI you can find on the PSI webpage.