45259 Enterprise Surveys Country Profile Gambia 2006 PUT COUNTRY MAP HERE Region: Africa Income Group: Low Income Population(2006): 1.6 million GNI per capita (2006): US$290 http://www.EnterpriseSurveys.org World Bank, 1818 H Street, N.W. Washington DC, 20433 Tel. (202) 458-4808 Fax (202) 522-2029 Email: rru@worldbank.org Introduction 3 Snapshot 4 Infrastructure 5 Finance 6 Labor Force 7 Corruption & Regulatory Burden 8 Courts & Crime 9 Innovations & Technology 10 Trade 11 Summary of Enterprise Survey Indicators 12 Introduction Enterprise Surveys The Enterprise Surveys focus on the many factors that shape the decisions of firms to invest. These factors can be accommodating or constraining and play an important role in whether a country will prosper or not. An accommodating business environment is one that encourages firms to operate efficiently. Such conditions strengthen incentives for firms to innovate and to increase productivity--key factors for sustainable development. A more productive private sector, in turn, expands employment and contributes taxes necessary for public investment in health, education, and other services. In contrast, a poor business environment increases the obstacles to conducting business activities and decreases a country's prospects for reaching its potential in terms of employment, production, and welfare. Enterprise Surveys are conducted by the World Bank and its partners across all geographic regions and cover small, medium, and large companies. The surveys are applied to a representative sample of firms in the non-agricultural economy. The sample is consistently defined in all countries and includes the entire manufacturing sector, the services sector, and the transportation and construction sectors. Public utilities, government services, health care, and financial services sectors are not included in the sample. Enterprise Surveys collect a wide array of qualitative and quantitative information through face-to-face interviews with firm managers and owners regarding the business environment in their countries and the productivity of their firms. The topics covered in Enterprise Surveys include the obstacles to doing business, infrastructure, finance, labor, corruption and regulation, law and order, innovation and technology, trade, and firm productivity. The qualitative and quantitative data collected through the surveys connect a country's business environment characteristics with firm productivity and performance. The Enterprise Survey database is intended to be useful for both policymakers and researchers. The surveys are to be repeated over time to track changes and benchmark the effects of reforms on firm performance. Country Profiles The Country Profiles produced by the Enterprise Analysis Unit (FPDEA) of the World Bank Group provide an overview of key business environment indicators in each country, benchmarking against their respective geographic region and group of countries with similar incomes. Breakdowns by firm size are presented in the Appendix of the document along with all statistics used to make the graphs. The same topics are covered for all countries with slight variations in indicators (subject to data availability). This format allows cross country comparisons. All indicators are based on the responses of firms. To learn more about the firms sampled for this country profile (tabulations for these and other indicators by industry, exports, and type of ownership) or to obtain profiles of other countries, please visit the web page http://www.enterprisesurveys.org. Currently available at the Enterprise Survey website are survey results on the business environment in over 97 countries, based on data from more than 61,000 firms. http://www.enterprisesurveys.org Country Profile: GAMBIA 3 Gambia The country profile for Gambia is based on data from the Enterprise Surveys conducted by the World Bank in 2006. The benchmarks include the averages for the group of countries in Africa and the Gambia income group. Below is a snapshot of the constraints to investment and doing business as perceived by firms. The first graph presents the top 10 constraints as identified by firms in Gambia benchmarked against the regional average. The second graph shows the top 3 constraints broken down by large medium, and small firms in Gambia. Snapshot of the Business Environment in Gambia Percent of Firms Identifying the Problem as the Main Obstacle 60 Africa 50 40 30 20 10 0 Electricity Access to Tax Rates Access to Land Anti- Customs and Crime, Theft Transportation Legal Political Financing Competitive or Trade and Disorder System/Conflict Instability (Availability and Informal Regulations Resolution Cost) Practices AMÉRICA LATINA Y EL CARIBE 2006 Percent of Firms Identifying the Problem as the Main Obstacle Small firms Medium firms Large firms 70 (1-19 employees) (20-99 employees) (100 employees or more) 60 50 40 30 20 10 0 Electricity Access to Tax Rates Electricity Access to Access to Tax Rates Customs and Anti- Financing Financing Land Trade Competitive (Availability (Availability Regulations or Informal and Cost) and Cost) Practices http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 4 Infrastructure Infrastructure as a Constraint 90 80 A strong infrastructure enhances the 70 competitiveness of an economy and improves the quality of life of the 60 Firms population. Good infrastructure connects of 50 firms to their customers and suppliers, and 40 enables the use of modern production Percent30 technologies. 20 10 Conversely, deficiencies in infrastructure create barriers to productive opportunities 0 and increase costs for all firms, from micro- % of Firms Identifying % of Firms Identifying Electricity Transportation as a Major as a Major Constraint enterprises to large multinational Constraint corporations. Gambia Africa Low Income Enterprise Surveys capture the dual challenge of providing strong infrastructure: Quality of Infrastructure the physical construction of roads, power 30 14 lines, water systems, etc., and the development of institutions that effectively 25 12 provide and maintain public services. Month 10 20 The first set of indicators shows the extent 8 to which firms perceive two components of Typicala 15 Percent 6 infrastructure as constraints: transportation in 10 and electricity. Inadequate transportation 4 and problems with electricity increase costs, 5 Incidents 2 disrupt production, and lower revenue. 0 0 Incidents/Typical Incidents/Year % of Sales Lost to Power The second set of indicators measures the Month of Powerof Insufficient Outages quality of infrastructure: the number of Outages Water Supply* power outages and insufficiencies in water supply per month and losses due to power Gambia Africa Low Income outages. * Manufacturing Sector The third set of indicators evaluates the Service Delays efficiency of infrastructure services by 70 quantifying the delays in obtaining electricity, water, and telephone 60 connections. Service delays impose 50 additional costs on firms and may act as barriers to entry and investment. 40 Days 30 20 10 0 Delays in Obtaining Delays in Obtaining Delays in Obtaining Electricity Connections Water Connections Telephone (Days) (Days)* Connections (Days) Gambia Africa Low Income * Manufacturing Sector http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 5 Finance Access to Finance as a Constraint 60 Developed financial markets provide 50 payment services, mobilize deposits, and ease investment financing. Efficient 40 financial markets reduce the reliance on Firmsfo internal funds and money from informal 30 sources such as family and friends by Percent connecting firms to a broad range of 20 lenders and investors. 10 Enterprise Surveys provide indicators of 0 how firms perceive their financial % of Firms Identifying % of Firms Using Banks to environment and finance their operations. Access/Cost of Finance as a Major Finance Investments or Expenses Constraint The first set of indicators measures the Gambia Africa Low Income extent to which firms perceive access to finance as a constraint to investment and How Firms Finance Investment provides a measure of access. Inadequate financing possibilities create difficulties in meeting short-term payments for labor and Gambia supplies as well as longer-term investment. The use of banks to finance investments or working capital is an initial indicator of Africa access to credit. The second set of indicators compares the Low Income relative use of various sources for financing investment. Excessive reliance on internal funds is a likely sign of inefficient financial 0 20 40 60 80 100 intermediation. % of Investments Financed by Internal Funds % of Investments Financed by Banks % of Investments Financed by Trade Credits The third set of indicators focuses on the % of Investments Financed by Equity use of bank loans and overdraft facilities, % of Investments Financed by Other Sources and quantifies the burden imposed by loan requirements, measured by collateral levels Access to Finance Value of Collateral relative to the value of the loans. Excessive loan collateral requirements are likely to 16 180 constrain investment opportunities. 14 160 140 12 120 10 Firmsfo tn 100 8 rce Pe 80 6 Percent 60 4 40 2 20 0 0 % of Firms with Bank Value of Collateral (% of Loans/Line of Credit Loan Value) Gambia Africa Low Income http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 6 Labor Labor Regulations and Labor Force Education as a Constraint 18 Jobs are the main source of income for 16 people--and the main pathway out of 14 poverty for the poor. A sound investment climate contributes to the creation of 12 employment opportunities, investment in Firms of 10 the workforce, increases in wages, and, 8 ultimately, a more productive and prosperous society. Percent 6 4 Enterprise Surveys collect information on 2 the labor market constraints faced by firms and also on the characteristics of workers in 0 % of Firms Identifying Labor % of Firms Identifying Labor Skill the firms surveyed. Regulations as a Major Constraint Level as a Major Constraint The first set of indicators measures the Gambia Africa Low Income extent to which firms perceive labor regulations and labor skill level as Invesment in the Working Force constraints. 70 The second set of indicators highlights firm 60 investment in the skills and capabilities of their workforce. Incidence and intensity of 50 training is measured by the percent of 40 manufacturing firms that offer formal Percent30 training and the share of workers receiving training. The quality of labor is measured 20 by the share of skilled workers in the 10 manufacturing industry. 0 The third set of indicators presents the % of Firms Offering % of Workers % of Skilled Formal Training Offered Formal Production Workers composition of the firms' workforce by type Training of contract and gender. Labor regulations have a direct effect on the type of Gambia Africa Low Income employment and may have a differentiated impact by gender. The first two indicators Labor Force Composition Percent of Temporary present the composition of the workforce Female Workers 30 broken down by permanent and temporary 20 workers. The following indicator reflects the participation of women in temporary employment. rserkoWfo 20 mber10 Percent Nu erage 10 Av 0 Permanent Full Temporary 0 Time Workers Workers Gambia Africa Low Income Gambia Africa Low Income http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 7 Corruption and Corruption Regulatory Burden 25 65 60 55 20 50 45 The regulatory environment plays a Firms 15 Firms 40 significant role in shaping investment of of 35 decisions and how firms do business. 30 10 Effective regulations address market failures Percent Percent 25 20 that inhibit productive investment and 15 reconcile private and public interests. 5 10 5 Conversely, inefficient regulations present 0 0 major administrative and financial burdens % of Firms Identifying % Firms Making Unofficial Corruption as Major Payments to Get Things on firms. In some environments, Constraint Done regulations present opportunities for soliciting bribes when firms are required to Gambia Africa Low Income make "unofficial" payments to public officials to get things done. Bribe Tax 35 Enterprise Surveys provide qualitative and quantitative measures of corruption and 30 regulatory burdens. 25 Firms 20 The first set of indicators focuses on the of perception of firms regarding corruption and 15 the share of firms making unofficial Percent 10 payments, i.e., paying the "bribe tax". 5 The second set of indicators identifies the 0 extent to which specific regulatory and % of Firms Expected % of Firms Expected % of Firms Expected administrative officials require bribe to Give Gifts in to Give Gifts to to Give Gifts to payments with tax payments or to obtain a Meetings with Tax Obtain Operating Obtain Import Inspectors Licenses Licenses license. Gambia Africa Low Income The third set of indicators captures the "time tax" imposed by regulation. The first Regulation Time Tax indicator measures the time spent by senior 10 4.5 management in meetings with public 9 4 officials in order to comply with government 8 3.5 Meeti regulations and the second measures the Time 7 3 average number of tax inspections or of 6 ngs 2.5 meetings with tax inspectors. 5 /Year 2 4 Percent 3 1.5 2 1 1 0.5 0 0 Gambia Africa Low Income % Senior Management Time Dealing with Government Regulations Time Spent in Tax Inspection Meetings (Meetings/Year) http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 8 Courts and Crime Courts and Crime as a Constraint 25 Commercial disputes between firms and their clients occur regularly in the course 20 of doing business. Resolving these disputes can be challenging when legal Firms 15 of institutions are weak or non-existent. 10 Often, the only recourse for firms to Percent 5 resolve commercial disputes is the court system. However, not only are outcomes 0 uncertain, but also this process can be % of Firms Identifying Legal % of Firms Identifying Crime, lengthy and expensive. Similarly, crime System/Conflict Resolution as a Theft and Disorder as a Major imposes costs on firms when they are Major Constraint Constraint forced to divert resources from productive uses to cover security costs. Gambia Africa Low Income Enterprise Surveys capture key Contract Enforcement dimensions of contract enforcement problems and the effect of crime on firm 80 revenue. 70 60 The first set of indicators shows the share of firms that identify the performance of firms 50 courts of justice and crime as major of 40 constraints to their operations. 30 Percent The second set of indicators first includes 20 two perceptions regarding the quality of 10 the service offered by courts. The third 0 indicator shows the share of firms % Firms Believe Court % Firms Believe Court % of Firms Resolving resolving third-party disputes through System is Able to Enforce System is Disputes Through Court court action. its Decisions Fair/Impartial/Uncorrupted Action Gambia Africa Low Income The third set of indicators measures the direct costs of security incurred by firms and losses due to crime. These resources Cost of Crime represent an opportunity cost since they 10 could have been invested in productive 9 activities. 8 7 Sales 6 of 5 4 Percent 3 2 1 0 Costs of Security (% of Sales) Losses Due to Crime (% of Sales) Gambia Africa Low Income http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 9 Innovation and Innovative Capability of the Manufacturing Sector Technology 25 90 80 20 70 In order to survive and prosper in a 60 Firms competitive marketplace, firms must Firms 15 of 50 innovate and increase their of 40 productivity. A sound investment 10 30 Percent climate encourages firms to experiment Percent 20 and learn; it rewards success and 5 10 punishes failure. 0 0 % of Firms Undertaking % of Firms With an Innovation Enterprise Surveys provide indicators Internationally-Recognized that describe several dimensions of Quality Certification technological efficiency and innovation. Gambia Africa Low Income The first set of indicators measures the extent to which manufacturing firms External Competition as Driver of Efficiency invest in industry-recognized level of quality as well as the share of firms 80 undertaking innovation. In this context, 70 innovation encompasses the 60 development or upgrade of product lines and the introduction of new Firms 50 of production technologies. 40 30 The second set of indicators quantifies Percent 20 the effect of foreign and domestic 10 competition in lowering production 0 costs for manufacturing firms. % of Firms Identifying Foreign % of Firms Identifying Domestic Competition as Important Competition as Important The third set of indicators demonstrates Influence in Lowering Production Influence in Lowering Production the use of information and Costs Costs communications technologies (ICT) in Gambia Africa Low Income business transactions. ICT, such as the Internet, are important tools for all firms because they provide even the Use of Internet smallest of enterprises with the ability 50 to reach national and international markets at low cost. 40 Firms 30 20 Percentof 10 0 % of Firms Using E-mail to % of Firms Using Website to Interact with Interact with Buyers/Suppliers/Customers Buyers/Suppliers/Customers Gambia Africa Low Income http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 10 Trade Customs and Trade Regulations as a Constraint 18 Open markets allow firms to expand, 16 force greater efficiencies on exporters, and enable the import of lower-cost 14 supplies. However, trading also forces 12 Firms firms to deal with customs services and of 10 trade regulations, obtain export and 8 import licenses, and in some cases, face Percent additional costs due to losses during 6 transport. 4 2 Enterprise Surveys collect information on 0 the constraints faced by exporters and % of Firms That Trade % of Firms That Trade importers and also capture the trade Identifying Customs & Trade activity of firms. Regulations as a Major Constraint Gambia Africa Low Income The first set of indicators shows the extent to which firms that trade directly, Inefficiencies in Customs i.e. those that export or import without 12 going through a distributor, consider customs and trade regulations to be a 10 constraint. 8 The second set of indicators measures 6 the average number of days to clear Days customs for imports and exports. The 4 delay in clearing customs for imports or exports creates additional costs to the 2 firm and can interrupt production, 0 interfere with sales, and result in Days on Average to Claim Imports Days on Average to Clear Customs damaged supplies or merchandise. From Customs* for Exports The third set of indicators shows the Gambia Africa Low Income percent value of exports lost during * Manufacturing Sector transport due to theft or merchandise breakage or spoilage, reflecting the Exports Activity transport risks that firms must cover 6 during the export process. 5 4 3 Percent 2 1 0 % Value of Exports Lost Due to % Value of Exports Lost Due to Theft Breakage or Spoilage Gambia Africa Low Income http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 11 Summary of Enterprise Survey Indicators Small Medium Gambia (1-19 (20-99 Large (100+ Africa Low Income employees) employees) employees) Percent of Firms Identifying the Problem as the Main Obstacle Electricity 54.9 58.6 50.8 15.3 37.2 48.7 Transportation 2.4 1.7 4.5 0.0 4.0 4.6 Access to Land 5.4 5.0 7.1 0.0 3.6 3.2 Tax Rates 6.7 5.1 4.4 52.1 10.6 9.5 Tax Administration 1.7 0.8 4.4 0.0 1.5 1.8 Customs and Trade Regulations 2.4 2.6 0.0 16.3 2.5 2.5 Labor Regulations 0.0 0.0 0.0 0.0 0.6 0.0 Skills and Education of Available Workers 1.8 1.7 2.3 0.0 2.9 1.3 Business Licensing and Operating Permits 1.2 1.7 0.0 0.0 2.2 0.9 Access to Financing (Availability and Cost) 11.9 11.1 15.5 0.0 14.5 14.0 Political Instability 2.1 1.4 4.3 0.0 2.6 3.5 Corruption 0.6 0.9 0.0 0.0 3.9 2.1 Crime, Theft and Disorder 2.4 2.6 2.3 0.0 5.0 1.4 Anti-Competitive or Informal Practices 4.2 4.3 2.2 16.3 8.3 5.7 Legal System/Conflict Resolution 2.4 2.5 2.3 0.0 0.7 0.6 Infrastructure Indicators % of Firms Identifying Transportation as a Major Constraint 11.1 7.6 19.7 14.6 22.4 24.3 % of Firms Identifying Electricity as a Major Constraint 78.1 74.9 84.7 89.6 55.3 70.5 Incidents/Typical Month of Power Outages 25.7 23.6 30.7 24.6 12.5 15.8 Incidents/Year of Insufficient Water Supply 8.4 8.5 8.1 0.0 8.0 9.5 % of Sales Lost to Power Outages 12.8 13.1 12.9 3.9 7.2 9.0 Delays in Obtaining Electricity Connections (Days) 63.9 42.7 107.8 20.0 28.7 31.3 Delays in Obtaining Water Connections (Days) 20.8 31.0 10.5 0.0 44.1 31.7 Delays in Obtaining Telephone Connections (Days) 24.8 23.9 27.9 9.0 29.1 32.2 Finance Indicators % of Firms Identifying Access/Cost of Finance as a Major Constraint 40.3 40.7 41.0 29.2 45.4 50.0 % of Firms Using Banks to Finance Investments or Expenses 17.2 8.3 38.5 29.3 17.4 15.5 % of Investments Financed by Internal Funds 78.7 82.9 74.2 25.1 78.0 80.1 % of Investments Financed by Banks 9.8 5.0 15.8 62.5 10.3 8.5 % of Investments Financed by Trade Credits 2.9 4.4 0.0 0.0 2.5 2.3 % of Investments Financed by Equity 0.2 0.0 0.7 0.0 0.1 0.1 % of Investments Financed by Other Sources 8.3 7.7 9.3 12.5 7.7 9.0 % of Firms with Bank Loans/Line of Credit 15.0 5.8 32.8 54.3 11.1 10.8 Value of Collateral (% of Loan Value) 158.0 135.8 172.7 146.1 130.3 142.9 http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 12 Summary of Enterprise Survey Indicators Small Medium Gambia (1-19 (20-99 Large (100+ Africa Low Income employees) employees) employees) Labor Force Indicators % of Firms Identifying Labor Regulations as a Major Constraint 3.4 3.3 2.2 14.6 6.9 3.8 % of Firms Identifying Labor Skill Level as a Major Constraint 11.7 5.9 19.6 61.3 17.1 13.9 % of Firms Offering Formal Training 25.6 22.6 18.8 100.0 29.5 24.1 % of Workers Offered Formal Training 57.8 43.1 70.1 61.4 52.6 51.6 % of Skilled Production Workers 64.9 72.8 59.2 59.5 45.0 44.8 Number of Permanent Full Time Workers 19.0 7.9 38.8 123.6 18.2 17.1 Total Number of Temporary Workers 6.3 1.7 9.0 67.4 9.2 11.9 Percent of Temporary Workers - Female 18.6 18.8 19.1 15.0 27.8 23.7 Regulatory Burden and Corruption Indicators % of Firms Identifying Corruption as Major Constraint 9.8 9.9 10.8 0.0 23.4 22.9 % Firms Making Unofficial Payments to Get Things Done 52.1 51.5 51.0 74.5 48.1 60.1 % of Firms Expected to Give Gifts in Meetings with Tax Inspectors 13.6 18.0 3.0 0.0 21.2 29.2 % of Firms Expected to Give Gifts to Obtain Operating Licenses 23.4 26.6 18.7 0.0 20.6 29.8 % of Firms Expected to Give Gifts to Obtain Import Licenses 29.0 38.4 8.6 31.9 21.2 27.9 % Senior Management Time Dealing with Government Regulations 8.9 9.2 7.9 9.6 6.7 6.2 Time Spent in Tax Inspection Meetings (Meetings/Year) 3.1 2.7 3.6 7.5 3.2 3.9 Courts and Crime Indicators % of Firms Identifying Legal System/Conflict Resolution as a Major Constraint 4.6 4.2 4.3 14.6 9.4 8.5 % of Firms Identifying Crime, Theft and Disorder as a Major Constraint 12.3 12.7 10.9 14.6 22.6 16.7 % Firms Believe Court System is Able to Enforce its Decisions 71.6 70.0 79.0 53.3 57.6 56.4 % Firms Believe Court System is Fair/Impartial/Uncorrupted 62.8 64.3 62.6 39.6 45.4 40.8 % of Firms Resolving Disputes Through Court Action 43.0 39.4 66.7 0.0 59.4 58.9 Costs of Security (% of Sales) 6.6 7.8 4.9 3.3 2.6 2.7 Losses Due to Crime (% of Sales) 8.8 10.0 5.6 0.3 4.9 5.8 Innovation and Technology Indicators % of Firms With an Internationally-Recognized Quality Certification 22.2 0.2 0.4 0.5 11.8 10.4 % of Firms Undertaking Innovation 82.4 73.6 87.5 100.0 63.2 60.4 % of Firms Identifying Foreign Competition as Important Influence in Lowering Production Costs 32.0 26.4 32.8 62.5 40.9 34.6 % of Firms Identifying Domestic Competition as Important Influence in Lowering Production Costs 56.9 66.1 56.3 0.0 59.4 56.5 % of Firms Using E-mail to Interact with Buyers/Suppliers/Customers 42.6 32.8 59.5 100.0 37.4 33.9 % of Firms Using Website to Interact with Buyers/Suppliers/Customers 13.6 7.6 24.3 46.6 13.9 11.5 http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 13 Summary of Enterprise Survey Indicators Small Medium Gambia (1-19 (20-99 Large (100+ Africa Low Income employees) employees) employees) Trade Indicators % of Firms That Trade 8.6 4.0 19.1 17.4 7.4 7.8 % of Firms That Trade Identifying Customs & Trade Regulations as a Major Constraint 12.8 9.3 21.6 14.6 17.0 16.4 Days on Average to Claim Imports From Customs* 3.0 3.1 2.7 3.6 9.7 9.9 Days on Average to Clear Customs for Exports 5.0 3.9 6.2 3.0 5.3 4.6 % Value of Exports Lost Due to Theft 3.6 9.3 0.4 2.0 1.7 1.5 % Value of Exports Lost Due to Breakage or Spoilage 5.4 5.4 6.4 0.0 3.0 2.3 Notes: 1- Country-level indicators denoting percentage of firms use as denominators the number of firms for which data for the respective question is available. Country-level indicators denoting quantities (i.e., number of days, percentage of sales, percentage of loan value, etc.) represent the average of responding firms that are not considered to be outliers. Outliers are defined as firms with values greater than the mean plus 3 times the standard deviation or lower than the mean minus 3 times the standard deviation for that particular indicator. Regional and income group indicators are calculated as the averages of country-level indicators in the respective region and income groups. 2- Indicators for Africa, the low middle income group, the lower middle income group, and the upper middle income group were calculated using country data available at the time of publication. a. Africa : Africa: Angola, Botswana, Burundi, Capeverde, Democratic Republic of Congo, Gambia, Guinea, Guinea Bissau, Mauritania, Namibia, Rwanda, Swaziland, Tanzania, Uganda. b. Low income group: Burundi, Democartic Republic of Congo, Gambia, Guinea, Guinea Bissau, Mauritania, Rwanda, Tanzania, Uganda. c. Lower middle income group: Angola, Cape Verde, Namibia, Swaziland. d. Upper middle income group : Botswana * Manufacturing sector only 3. The sample for each country is stratified by industry, firm size, and geographic region. For stratification by industry the main manufacturing sectors in each country in terms of value added, number of firms, and contribution to employment are selected. The retail trade sector is also included in all countries as a representative of the services sector, and depending on the size of the economy, the information technology (IT) sector is included. The rest of the universe is included in a residual stratum. Stratification by size follows the three levels presented in the text: small, medium, and large. Regional stratification includes the main economic regions in each country. Through this methodology estimates for the different stratification levels can be calculated on a separate basis while at the same time inferences can be made for the economy as a whole, weighting individual observations by corresponding sample weights. Sample sizes for each stratification level are defined ensuring a minimum precision level of 7.5% with 95% confidence intervals for estimates with population proportions (for more technical details on the sampling strategy, please review the Sampling Note available at www.enterprisesurveys.org). 4. In Gambia included cities were: 2 Selected manufacturing industries Manufacturing sector 33 Retail 48 Other sectors 93 Total 174 http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 14 © June 2007 International Bank of Reconstruction and Development The World Bank 1818 H Street, NW Washington, DC 20433 USA Enterprise Analysis Unit (FPDEA) MSN-F4P-400 Fax: 001 202-522-2029 The findings, interpretations, and conclusions presented herein are those of the authors and do not necessarily reflect the views of the Board of Executive Directors of the World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of the World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. http://www.enterprisesurveys.org Enterprise Surveys: GAMBIA 15