The government formulates policies which aim at attaining economic development. The government creates good conditions for all sectors of the economy. For instance, in agriculture, the government provides storage facilities for crops produced in rural areas.
1. The government encourages the farmers on modern methods of production and how to look after their harvests. It also provides subsidized pesticides, fertilizers and equipment such as sprayers, hoes and power tillers in rural areas. The government encourages farmers to join cooperative societies and gives them loans.
2. The government encourages society to have a culture of saving and investing. The culture and habit of saving and investing generates wealth for individuals, households, communities and the nation, in the same vein, a culture of wealth creation and accumulation for development must also be reinforced by a culture of maintenance to prevent unnecessary loss of capital stock.
3. The government promotes a broad human development strategy; it encourages the society to upgrade itself and improve its productivity. The government creates an incentive system that encourages and rewards individuals, groups, and firms to embrace initiative, creativity, innovation and excellence. This transformation is reflected in the education system, training institutions, and recruitment and promotion process.
4. The government provides a good environment for actors to effectively harness domestic resources in order to attain competitiveness in their diverse economic activities. Competence and competitiveness, as driving forces, are realized through sound macroeconomic policies, adequate and reliable infrastructural development, quality education, effective utilization of domestic resources, higher productivity and strengthening of the capacity to effectively anticipate and respond to external changes. The government also has a duty of providing security and favourable environment for investors in the country.