Stakeholders say it has improved the business climate and attracted direct foreign investments.
As the Organisation for the Harmonisation of Business Law in Africa (OHADA), celebrates 20 years of existence (1993-2013) in 17 countries in the continent, stakeholders in Cameroon say much ground has been covered, especially on trainings in business laws but effectively applying the laws for fruits to be visible in the economy still remains a challenge.
On the occasion of the celebrations in Yaounde, after the grand commemorative ceremony that already held in Ouagadougou, stakeholders said harmonising OHADA business laws was a good initiative. “It has helped in developing cross-border trade, in facilitating loan acquisition and this is what we call the extra judicial reinforcement of security. It is a very important reform which if applied properly can boost the credit banks give to the economy,” Mathieu Mandeng, General Manager of Standard Chartered, said.
Like Mr. Mandeng, other said financial institutions have been groomed on the understanding of the OHADA law and encouraged on their applicability and the fruits are already seen especially in the volume of loans that banks give to the economy. They were unanimous that OHADA is the best answer today to threats of judicial insecurity in the business world.
“OHADA laws are legal instruments at the service of efficiency in the performance of enterprises and economic growth. And this explains the adaption of the OHADA Uniform Act on Security in 2010 which solves the problem of over liquidity in banks,” Prof. Justine Diffo Tchunkams, President of the Organising Committee, said.
From Prof. Dorothé Cossi Sossa, Permanent Secretary of OHADA, passing through Marthe Angeline Mindja, General Manager of the National Investment Promotion Agency to, University don, Prof. Paul Gérald Pougoue, implementing OHADA laws are synonymous with improving the business climate and this has been visible in the country. The setting up of Cameroon Business Forum, a public/private sector concertation platform, to clear investment obstacles, with improved investment and attractiveness of the country to investors, they said, are visible fruits. “Respecting OHADA laws rekindles confidence in investors as it gives them legal and information security. Direct foreign investment in our sub-region has moved from barely one per cent some years back to about five per cent now,” Mrs Mindja said.
Paths Uncovered
Prof. Pogoue prayed that OHADA should move from an affair of jurists to that of all especially business people so that the fruits can be visible on the economy. “Let all sectors of our economy, be it private or public, be concerned with the OHADA process because each time we talk of law, we see jurists. Business managers need these laws also to take strategic decisions as well as government decision-makers to take certain decisions or re-orientate others,” he said. However, introducing the four languages inscribed in the OHADA principle: English, French, Spanish and Portuguese, still remains a far dream.
