Introduction

The first round table debate was conducted to bring together the business community, new start-ups, and private sector activists together. Hamida Barmaki addressed the audience with an open discussion on the legal problems the participants had faced in their area of work, the job market, and in opening up new businesses. Especially the enforcement of the law, ease of doing business in Afghanistan, and the dominant culture of women are not given the opportunity of doing business, were broadly discussed. The round table debate was held on 10 and 11 of December 2017. Three important sections were discussed in the meeting. The first section was specified for debate on the effectiveness of the training delivered by Hamida Barmaki. The second section was focused on the challenges and problems faced by men and women doing business or looking for employment opportunities. And the third session was held on 24 December with the government sector to find solutions for the problems and challenges raised in the second section.

Effectiveness of the Trainings

Students emphasized the effectiveness of the training in their professional and personal lives. Some of the trainees claimed that they had held similar seminars for their colleagues in order to increase legal awareness in their work environment. Almost all of the participants demanded more time for the training since the training was more effective, they asked for an increase in the number of such training and extension in the time allotted for every training and subject. All of the participants admitted that they had no or limited knowledge of the labor law, before the training. They also mentioned that after the training they could better understand their right and obligation in the work environment. Tax law and commerce law, according to most of the participants, was helpful in understanding their obligations as a taxpayer to the government. Meanwhile, the participants emphasized that tax law had helped them understand how much taxes were they paying, and how much tax they had to pay from other sources of income. Participants from the Ministry of Commerce and Industries pointed that they had reported on the effectiveness of the Policy-Making Seminar to their line managers and Directors, who had asked them to increase the frequency of such training for their colleagues, if possible. These participants claimed they had more confidence in discussing and drafting policies in their department. A participant from the ministry of finance said, he had shared his knowledge from the training on commerce law with four of his friends who had their own businesses. According to him, it proved fruitful in making them aware of their rights and obligations as businessmen and knowing about the rights of their employees.

Unemployment and Investment Challenges

Around forty percent unemployment, slow growth of GDP and decreased foreign and domestic investments are other challenges that leads to brain drain and immigration from Afghanistan. Participants were asked to share their knowledge and experience on barriers to start-ups, discouraged women entrepreneurship, and investment challenges.

The participants pointed out insecurity, corruption in the government, limited government subsidies, no or limited government support, tax exemption, infrastructure, energy, credit and political instability as the main challenges against investment in Afghanistan.

Meanwhile, participant pointed out that the dominant culture of keeping with the genesis is also negatively affecting the start-ups. Some of the startups that are small in size may look like shame and inferior work in the society. Which according to them needed to be mitigated, by encouraging the students of universities to start new business however small or insignificant the investment is.

However, law continuously amended, new legislature is drafted and passed, if it does not reached the awareness of ordinary people, government officers will continue to use the obsolete legislature and continue to misuse law for their own benefit. Meanwhile, it would be easier for the corrupt officers to fool the people and keep making money. On the other hand, Law is for the protection of both the consumers and businesses but it is not implemented. There are many rights and obligations that even the enforcement does not know about. The business community does not know their rights and obligations as well.

The following problems were also pointed out:

1. The government plays insignificant role in encouraging and promoting SMEs.

2. The participants emphasized the weak capacity of government officials especially their in-ability in understanding and interpretation of law, procedures, and regulations that leads to corruption.

3. Government support policies for start-ups are limited, lengthy process and take a lot of bribe to achieve such support.

4. Most of the university graduates, hope to find jobs; however, by trainings them, they could be potential employers. They should be given the resources and motivation to start businesses. Which will meanwhile mitigate the problem of brain drain from Afghanistan the sole reason of which is unemployment.

5. Luck of finance and credit has hampered the growth of SMEs and start-ups in the country, unavailability of specific banks and mutual funds such as Industrial bank, agriculture bank, and export bank is a prominent problem.

6. As Keynes has pointed out economic policies should be reshaped to work in condition of crisis. Policies should be shaped in a manner that can be effective given the insecurity and corruption in the government.

   Addressing the Problems

   Some of the participants mentioned policies that has to be developed by the government of Afghanistan in order to increase domestic production, create more job opportunities, decrease the level of dependence on imports, encourage start-ups, and working in Afghanistan to build Afghanistan. Policies such as import substitution, export promotion, easy credit availability, legal support to SMEs, and development of domestic markets were among the most prominent.

   Firms in Ningarhar and Herat were pointed out as example of luck of government support for domestic producers. These firm had to face tough competition and damping from neighboring countries on their own. Since the business were small in size and inexperienced they could not sustain and tolerate the tough and dumping competition from abroad and had to close down. Therefore, government should have clear policies of import substitution and support of domestic industries from tough competition of other countries. Meanwhile, tariffs on the import of machineries and raw material should be decreased to zero.

7. The participants agreed that the role of government in promoting SMEs should dramatically increase.

8. Vocational trainings should be the main focus of education system of the country so that youth can create jobs, rather than be employees. Fresh graduates should be encouraged to develop their own designs and products and later promote them in exhibitions that are facilitated by the government or private sector.

9. The curriculum of students especially those studying business/economics should be developed so that it includes encouraging the students of last semesters to start their own businesses. For example, students should be encouraged to create new products and market them in exhibitions conducted by the universities or out of universities.

10. Electricity, Land, and transportation are still prominent challenges. Land reform is needed. Government should start distribution of land for all purposes specifically for civil purposes, because the excessive demand for houses has increased the prices of land for business as well.

11. Some of the most important and daily needed laws and regulations should be included in the syllabus of schools and universities, such as: Consumer Protection Act, Tax Law, Labor Law, Commerce Law and many more. Meanwhile, the terms used in law is difficult to understand specifically for ordinary people, thus simpler versions of law should be available.

12. Businessmen and women who apply for licenses should provide certificates of completion of the most essential laws, to confirm they already know their right and obligations.

13. The government should work on changing the bad culture of people. Some of the people take specific start-ups as shame and indignity. Most of the graduate, hope to find jobs; however, by trainings them, they could be potential employers. They should be given the resources and courage to start business. This will also mitigate the problem of brain drain from Afghanistan the sole reason of which is unemployment.

14. Specific banks and mutual funds such as the Industrial bank, agriculture bank, and export bank should be created to support SMEs who require finance; finance of SMEs is a prominent problem.

15. Policies should be shaped in a manner that can be effective given the insecurity and corruption in the government.

16. Job creating opportunities such as job fairs, internships and part time jobs should be promoted by universities.

    Conclusion

    Roundtable debates were essential in identifying the effectiveness of trainings for legal awareness, law enforcement, and rule of law. It has been concluded that there is still a fierce need for legal awareness not only among the students, but also, among the government officials, private sector activists and ordinary people.

    Unemployment that constitutes the most prominent challenge leading to immigration of youth from Afghanistan, could be addressed through supporting SMEs, drafting policies to support domestic production and investment opportunities in the country.

    Slow growth of women entrepreneurship in the country is a cultural and traditional problem in the country, to boost the growth of such business, public awareness is needed.

Read the report carefully, and write an Executive Summary in 300 words for the report.