While private sector actors are the key to generating more jobs and income in a locality, they often face significant constraints in their ability to do so due to the lack of an enabling environment for business. Obstacles in African countries often include lack of access to financing, trained workers, good infrastructure, or information on export markets, quality standards, or business development services.

In order to unleash the potential of the private sector to create more jobs and revenue, both the private sector itself as well as government, donor and civil society actors all need to play their part in removing these obstacles.

Moreover, private sector associations, such as Chambers of Commerce and Industry or Special Economic Zones (SEZ), have an important role to play in LED strategy development. Only they know what obstacles the private sector faces in a certain locality and what would be needed to enhance the enabling environment for business. It is crucial that they are therefore involved in the strategising process. Such associations can also have an implementation role in LED projects such as initiatives focusing on training for local businesses, attracting inward investment, etc.