An Investigation of the Extent of Accessibility of Common Market for Eastern and Southern Africa Trade Facilitation Instruments by SMES in Zambia
DOI:
https://doi.org/10.59413/ajocs/v6.i3.19Keywords:
Trade Facilitation Instruments (TFI), Common Market for Eastern and Southern Africa (COMESA)Abstract
Background: The aim of the study was to investigate the extent of the accessibility of Common market for Eastern and Southern Africa trade facilitation instruments by SMEs in Zambia. The objectives of the study were to establish the extent of TFIs Utilization by SMEs in Zambia, to determine the barriers to utilization of COMESA TFIs by SMES in Zambia and to develop a Framework for Zambian SMEs to capitalize on COMESA TFIs.
Methodology: The study used a Questionnaire and an interview guide as key data collection instruments. There were 130 questionnaires that were distributed to respondents and 5 key informants. The results of the study revealed that 91.5% of the respondent said that they had never accessed Trade facilitation Instrument of COMESA while 8.5 % ever accessed TFIs.
Findings: The findings also reveal another research objectives results and one key objective was to do with extent of utilization of TFIs. The findings demonstrate many reasons views of respondents on use of TFI. As observed most respondents do not use TFI, reasons behind that are Lack of Adequate finance by SMEs (14.6%), SMEs do not understand and know role of COMESA (23.1%), Policy Implementation being poor (43.1%), and inadequate procedures and Logistics (14.6%). However, most SMEs are not still not aware of the Programmes of COMESA and lot of them lack connectivity and internet skills (10%), Lack of digital financial capacity by SMEs (43.1%), Lack of communication and information (31.5%), Lack of inclusiveness/biasness (11.5%). The findings also revealed study highlighted challenges they are faced with in respect to COMESA trade facilitation instruments. These are limited access to technology (14.6%), unfavourable business environment (20. %), Lack of Finance and Knowledge on COMESA Procedures (33.1%), Slow Digital Economic Integration (18.5%), Laws on customs and Trade Facilitations (13.1%).
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