Business community can lay foundation for growth-IA

Peace agreements have often failed in the past because they lack a foundation to build on such initiatives and that’s where the private sector can help in to sustain peace through development, creation of jobs, opportunities, says the head of International Alert (IA).

“We have seen many cases where you find negotiations … agreements but lacking a foundation to build on and this is where the private sector is important (in helping build that foundation),” said Dan Smith, IA Secretary General, during a visit to Sri Lanka last week.

He also said in an interview with The Sunday Times FT that half of all peace agreements fail within five years of being signed because political and social actors don’t work together, side-by-side.

Excerpts of the interview in which the IA Sri Lanka country representative Markus Mayer was also present and responded to some of the questions:

On the IA programme in Sri Lanka:
We have a programme in Sri Lanka for the past 5-6 years focusing on working with the private sector, an often ignored but potential actor is peace negotiations. Our primary focus at the moment is the business-peace initiative. We want to also develop other programmes in the youth sector.

What aspects?
Education and relationships with employers … how a country can advance in development when there is a conflict on as it would have a huge impact on job opportunities.

Many young people are seeking employment without the skills that the private sector needs. That has an impact on development on resolving the conflict. These are mutually linked.

We find that the private sector can be a powerful force as far as prospects for peace is concerned but it is important to ascertain employment capacities, training facilities, etc.

Any experience in other countries in peace and business involvement? We work a lot in Georgia- Armenia, not only on conflict issues but also how to build capacities in the private sector to play a key role in development. We also have a lot of work with the Business Peace Initiative in Nepal – in looking at how the private sector can play a big role in development and youth issues.
When did that begin? 2004

What is the next step in Nepal now that peace has virtually come?

As the political process begins – what you need to see happening is laying the foundation for job creation, improving the economy and showing the peace dividend.

However Nepal might be different from the Sri Lanka case – bigger country and different issues. Is there a need for the business sector to come in to the Sri Lanka issue as a facilitator to make sure both sides (government/LTTE) would stick with their part of the bargain?

There are 3-4 roles for the business community if you look at the South African experience; – 1) lobby, 2) facilitate – bring people together and put pressure on them, 3) lay the foundation for economic growth on long term. Countries that are prosperous and growing a less likely to slid back into war, and 4) steer private sector involvement in infrastructure, civil engineering, building roads – it’s not only investments; it’s also growth and how communities can benefit in the long term.

Should the business community move forward and act as a pressure group – instead of only a lobby – and bring the two sides together to talk?

Even in the South African process you didn’t see the business sector substituting for politics. The private sector can do lobbying and advocacy. It is political leaders who decide on negotiations, etc.

How does the BPA (Business for Peace Alliance) work? What’s your focus in next 6-8 months?

Markus Mayer –There is a limit to how the BPA can lobby and show the way for political stakeholders because they (business) are small and vulnerable. Even in Hambantota or Moneragala it seems difficult due to the politics in each district. We are looking at linkages between the regions and Colombo and to lobby the government on socio political issues using SriLanka First, the Ceylon Chamber and the Federation of Chambers to jointly put forward issues to the government.

One of the problems is that big business leaders hardly see the real situation in the conflict areas. They respond to issues based on second hand information and concern is based on that. There is nothing like seeing the plight of a region. They go overseas and look at other situations but not at home.

Dan Smith – I agree. You need to see what is going on, on the ground. One aspect was where regional chambers went to other areas and studied the situation. But I agree big business needs to see it straight from the ground.

One needs to have a realistic appreciation of what is happening. My visit here too is to actually see and feel what is going on the ground. The general stuff (on the situation) one could get from news agencies, the BBC, etc but its good to know what people are thinking. It takes things away from the abstract and makes it real.

When are you moving into youth and education issues?

Markus Mayer -The programme is at an early design stage. It will overlap with the work with the private sector. One of the issues would be to integrate regions with the west which is the main development centre and regions have a problem with that. For example regional chambers can discuss with big business in Colombo chambers on how to help in regional issues/regional development and unify north and south.

During the Regaining Sri Lanka initiative, regional chambers said it was more about regaining Colombo; no grouse about the contents but that they were not consulted on their region issues and it was the local elite that decided.

Our task is to produce more evidence-based statements of regional problems in education, development in Hambantota, Batticaloa or Killinochchi that would give a little more substance in future negotiations.

This would be broader than the BPA. We are also initiating some research to gather evidence. We could be one of the facilitators of this discussion process.