FINANCIAL RESTRUCTURING
The banking sector has been restructured to respond more positively to the needs of the productive sector. Incentive packages have also been introduced to enable these sectors of the economy to increase production, while public investment strategies have helped to rehabilitate the physical infrastructure on a large scale. The industrial production growth rate is positive and the mining sector is booming, an indication that confidence has been restored in commerce and other tertiary activities. In spite of these significant improvements, the earlier period of economic stagnation has left its mark. Per capita income remains low, at about US$400 (1992), while the country’s population of over 18.4 million is growing at approximately 2.6 percent per annum.

GOVERNMENT INITIATIVES
Over the past few years, the Government has initiated specific policies to lay a firmer foundation for private sector development. Policies initiated to achieve this include the following

• the program of divestiture of state-owned enterprises;
• application of stronger discipline to the remaining state-owned enterprises, through establishment of corporate plans and performance agreements with the Government;
• introduction of monetary and banking sector reforms; the Financial Sector Adjustment Program (1990) aimed at improving the private sector's access to capital by transferring non-performing assets of some state-owned banks to the Non-Performing Assets Recovery Trust to enable banks to recapitalise;
• reduction of corporate taxes for most business activities from 45 percent to 35 percent; and
• rehabilitation of roads, ports and the telecommunications system. The policies implemented under the ERP and other reform programs have brought about significant improvements in the country's economic position in general and in private sector growth in particular.