Private Sector Development
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House of Commons International Development Committee Private Sector Development Fourth Report of Session 2005–06 Volume II Oral and written evidence Ordered by The House of Commons to be printed 17 July 2006 HC 921-II Published on 23 July 2006 by authority of the House of Commons London: The Stationery Office Limited £25.50 International Development Committee The International Development Committee is appointed by the House of Commons to examine the expenditure, administration, and policy of the Department for International Development and its associated public bodies. Current membership Malcolm Bruce MP (Liberal Democrat, Gordon) (Chairman) John Barrett MP (Liberal Democrat, Edinburgh West) John Battle MP (Labour, Leeds West) Hugh Bayley MP (Labour, City of York) John Bercow MP (Conservative, Buckingham) Richard Burden MP (Labour, Birmingham Northfield) Mr Quentin Davies MP (Conservative, Grantham and Stamford) Mr Jeremy Hunt MP (Conservative, South West Surrey) Ann McKechin MP (Labour, Glasgow North) Joan Ruddock MP (Labour, Lewisham Deptford) Mr Marsha Singh MP (Labour, Bradford West) Powers The Committee is one of the departmental select committees, the powers of which are set out in House of Commons Standing Orders, principally in SO No 152. These are available on the Internet via www.parliament.uk. Publications The Reports and evidence of the Committee are published by The Stationery Office by Order of the House. All publications of the Committee (including press notices) are on the Internet at www.parliament.uk/indcom Committee staff The staff of the Committee are Alistair Doherty (Clerk), Hannah Weston (Second Clerk), Anna Dickson (Committee Specialist), Chlöe Challender (Committee Specialist), Katie Phelan (Committee Assistant), Jennifer Steele (Secretary) and Louise Glen (Senior Office Clerk). Contacts All correspondence should be addressed to the Clerk of the International Development Committee, House of Commons, 7 Millbank, London SW1P 3JA. The telephone number for general enquiries is 020 7219 1223; the Committee’s email address is [email protected] Witnesses Tuesday 14 February 2006 Page Kurt Hoffman, Executive Director, Shell Foundation Ev 1 Professor Adrian Wood, Department of International Development, University of Oxford, and Sunil Sinha, Director, Emerging Market Economics Ev 7 Joe Matome, Company Secretary, Debswana Diamond Company Ev 13 Tuesday 21 March 2006 Sharon White, Director, Policy Division, William Kingsmill, Head, Growth and Investment Group, Gavin McGillivray, Head, International Financial Institutions Department, and Richard Boulter, Head of Profession, Enterprise Development, Department for International Development Ev 18 Richard Laing, CEO, CDC Group Ev 25 Tuesday 28 March 2006 Robert Annibale, Global Director, Citigroup Microfinance Group, and Jay Naidoo, Chairman, Development Bank of Southern Africa Ev 34 Peter Cameron, Fellow, Institution of Civil Engineers (ICE) and Chairman of ICE’s Appropriate Development Panel, and Petter Matthews, Executive Director, Engineers Against Poverty (EAP) Ev 46 Tuesday 25 April 2006 Lord Brett, Director, International Labour Organisation (ILO) London, Dan Rees, Director, Ethical Trading Initiative (ETI), and Albert Tucker, independent consultant and former Director of Twin Trading Ev 52 Dr Andrew Bennett, Executive Director, Syngenta Foundation for Sustainable Agriculture, Professor Keith Palmer, Chairman of Emerging Africa Infrastructure Fund and Infraco Ltd, and Michael Pragnell, Chief Executive, Syngenta Ev 62 Tuesday 9 May 2006 Bob Fitch, Project Director, Financial Deepening Challenge Fund, Enterplan, and Ann Grant, Vice-Chair, Standard Chartered Capital Markets Ltd Ev 71 Sue Clark, Corporate Affairs Director, SABMiller, and former Chair of Business Action for Africa, and Walter Gibson, Head, Global Health through Hygiene Programme, Unilever Ev 80 Tuesday 16 May 2006 Andrew Hollas, Head, Africa Markets, PricewaterhouseCoopers Ev 88 Stirling Smith, Co-operative College Ev 97 Tuesday 23 May 2006 Rt Hon Hilary Benn MP, Secretary of State for International Development, William Kingsmill, Head, Growth and Investment Group, Richard Boulter, Head of Profession, Enterprise Development, and Tony Venables, Chief Economist, Department for International Development Ev 102 Thursday 15 June 2006 Sumi Dhanarajan, Head of Private Sector team, Oxfam, Dominic Eagleton, Policy Officer, ActionAid, and Dr Claire Melamed, Trade and Private Sector Policy Manager, Christian Aid Ev 118 List of written evidence Page Written evidence submitted by witnesses who also gave oral evidence: 1 Department for International Development Ev 127; Ev 140; Ev 150 2 ActionAid UK Ev 151 3 Business Action for Africa Ev 156 4 CDC Group Ev 161 5 Christian Aid Ev 165 6 Co-operative College Ev 169 7 Debswana Ev 171 8 Global Alliance for Improved Nutrition (GAIN) Ev 174 9 Institution of Civil Engineers Ev 175 10 Professor Keith Palmer Ev 187 11 PricewaterhouseCoopers Ev 197 12 Standard Chartered Capital Markets Ltd Ev 200 13 Syngenta AG Ev 200 14 Syngenta Foundation for Sustainable Agriculture Ev 203 15 Unilever Ev 205 Other written evidence: 16 Africa Recruit Ev 210; Ev 214 17 Amnesty International Ev 216 18 Anglo American plc Ev 219 19 Professor Andrew Atherton, University of Lincoln Ev 223 20 Co-operative for Assistance and Relief Everywhere (CARE) and Credit and Savings for Household Enterprise (CASHE) Ev 226 21 Ian Houston, Clydebuilt International USA Ev 228 22 ComMark Trust, South Africa Ev 230 23 James Copestake and Susan Johnson, University of Bath Ev 234 24 Dr Valerie Curtis, London School of Hygiene and Tropical Medicine Ev 237 25 De Beers Group Ev 240 26 Donetsk Chamber of Commerce, Ukraine Ev 243 27 Alaric Fairbanks, Durham Business School, University of Durham Ev 248 28 FinMark Trust Ev 251 29 Foundation for Innovative New Diagnostics Ev 255 30 Fund Their Future Ev 256 31 George Institute for International Health Ev 257 32 Alan Gibson, The Springfield Centre Ev 264 33 Barbara Vitoria, ICC Zimbabwe Ev 267 34 International Institute for Environment and Development Ev 268 35 Professor Calestous Juma, University of Harvard Ev 272 36 Valentine Chitalu, Lomax Investments Ltd Ev 276 37 Marks & Spencer Ev 279 38 Jonathan Mitchell, Dirk Willem te Velde and Michael Warner, ODI Ev 282 39 Mung’omba Associates Ev 287 40 Natural Resources Institute, University of Greenwich Ev 289 41 Plan B Ev 297 42 Publish What You Pay coalition Ev 301 43 SBP Ev 303 44 Tearfund Ev 307 45 Professor James Tooley, University of Newcastle upon Tyne Ev 311 46 UK Money Transmitters Association Ev 313 47 UK Social Investment Forum Ev 318 48 UNDP Ev 320 49 WaterAid Ev 325 50 World Business Council for Sustainable Development Ev 326 51 World Development Movement Ev 329 52 WWF Ev 336 List of unprinted written evidence and papers Additional papers have been received from the following and have been reported to the House but to save printing costs they have not been printed and copies have been placed in the House of Commons Library where they may be inspected by Members. Other copies are in the Record Office, House of Lords and are available to the public for inspection. Requests for inspection should be addressed to the Record Office, House of Lords, London SW1. (Tel 020 7219 3074). Hours of inspection are from 9:30am to 5:00pm on Mondays to Fridays. Unprinted memoranda - International Council on Mining and Metals - Practical Action - UK Anti-Corruption Forum, including an Anti-Corruption Action Statement Other background papers Submitted by DFID: - Letter from the Secretary of State for International Development to John Bercow MP, 24 February 2006, enclosing an assessment of Hernando de Soto’s work Submitted by James Copestake and Susan Johnson, University of Bath: - Imp-Act (2005) Cost-effective social performance management: Meeting the social and financial goals of microfinance. Policy Note 1. - Imp-Act (2005) Working with formal financial institutions: Expanding access and achieving social performance. Policy Note 2. - Imp-Act (2005) Social performance management in microfinance: Guidelines. (Brighton: IDS Publications with the Microfinance Centre, Warsaw. - Copestake, J. G., M. Greeley, S. Johnson, N. Kabeer, A. Simanowitz (2005a). Money with a mission. Microfinance and poverty reduction. (ITDG Publications). - Copestake, J. G., P. Dawson, J-P. Fanning, A. McKay & K. Wright-Revolledo (2005b). Monitoring the diversity of poverty outreach and impact of microfinance: A comparison of methods using data from Peru. Development Policy Review, 23(6), 703- 23. - Copestake, J.G. (2006) Mainstreaming microfinance: social performance management or mission drift? - Copestake, J. G. (2002). Inequality and the polarising impact of microcredit: evidence from Zambia's Copperbelt, Journal of International Development 14. - Copestake, J.G., Bhalotra, S., & Johnson, S., (2001) Assessing the impact of microcredit: A Zambian case study. Journal of Development Studies 37(4). - Johnson, S. (2005). Gender relations, empowerment and microcredit: moving forward from a lost decade. European Journal of Development Research, 17(2), 224-248. - Copestake, J.G. (2004). Social performance assessment of microfinance: cost-effective or costly indulgence? Small Enteprise Development, 15(3). - Johnson, S., Malkamaki, M., & Wanjau, K., (2006) Tackling the ‘frontiers’ of microfinance in Kenya: the role for decentralized services. Forthcoming in Small Enterprise Development. - Johnson, S., (2004) Gender norms in financial markets: evidence from Kenya,