17 Feb 2015

Botswana Telecommunications Corporation (BTC) managing director, Mr Paul Taylor says he does not think privatisation will result with job losses.

Speaking in an interview, Mr Taylor said, although job safety was not guaranteed, he hoped all employees would be absorbed by the new entity.

BTC is to be the first parastatal to be privatised with 49 per cent of its shares to be listed in the Botswana Stock Exchange and it would offer services in fixed mobiles, internet services through Botsnet and mobile services through be Mobile.

Mr Taylor explained that five per cent of the 49 per cent was reserved for employees, saying Initial Public Offering (IPO) was planned last year but had to be postponed as investors had requested more time.

Presenting the 2015/16 nationa budget recently, the Minister of Finance and Development Planning, Mr Kenneth Matambo said the IPO is expected in the first half of 2015 after a prospectus covering share pricing details is issued.

He said the process will ensure that BTCL shares are offered to citizens, which should empower them through the dividend payments, as they become part owners of an important national asset.

Talking about the performance of the corporation, Mr Matambo said the corporation recorded a net profit of P273.6 million in 2013, compared with a net profit of P236.9 million.

Mr Taylor said according to the regulator, Botswana Communications Regulatory Authority (BOCRA), BTC had a mobile share market of 15 per cent, adding they managed to register good results as they were buoyed by strong growth in mobile and broadband services.

He said they have been able to offer more sophisticated product services to meet the needs.

On how they have been able to keep abreast with the ever evolving sector, he said they meet every quarter to look at product roadmap and analyse their wholesale and retail businesses. 


Mr Taylor said they introduced a high quality IDSL and their prices and currently, be mobile is the least expensive network provider in SADC, according to a research done as prices have been reduced systematically over three years.

The reduction in prices has been brought by introduction of the WACS and EASSY optic fibre cables and competitiveness in Southern Africa.

Since BTC is a big organisation offering different services, Mr Taylor said the company will never be separated, adding by combining their services they are able to offer attractive packages. He said customers see them as a single entity.

Mr Taylor said they injected 9 million Euros to improve 3G technology and have recently applied for a 4G license.BOPA