13 Jul 2016

The Minister of Transport and Communications Mr Tshenolo Mabeo says the Botswana Savings Bank (BSB) profits from 2011 to 2015 have increased from P4 million to P20 million.

Minister Mabeo told Parliament on Tuesday that BSB  revenues increased by  64 per cent from P52 million to P 85 million.

“At the same time, BSB has more than doubled its asset book from P606 million to P1.57 billion,” he said.

He said as part of BSB and Botswana Post merger, BSB has developed an overarching strategy that defines a transformation phase taking into consideration new value proposition for customers.

Mr Mabeo said the bank successfully completed restructuring project in 2014 to align human resource planning to the current operational model and the bank launched three new products namely Debit card, express and Lecha loans.

He further said the bank  will implement a multi-channel network that embraces other self–service options like Point of Sale (POS), Auto Teller Machines (ATMs) and co-branded branches  within selected post offices.

In addition, Mr Mabeo said  the aim is to turn the business around to drive the financial inclusion agenda with the intention to provide customer-centric financial services at affordable costs to disadvantaged and low income segments of the society.

“I  confirm that BSB has not obtained a commercial banking license yet, but I can confidently assure this house that plans are at an advanced stage to submit an application to Bank of Botswana for consideration before the end of this year,” he said.

He said among its various initiatives to increase its channels, BSB has recently  rolled out ATMs on its network of branches for faster and easier access to financial services adding that the project will be officially launched at the end of July.

The MP for Gaborone Central Dr Phenyo Butale had asked the minister to brief Parliament on the performance of the Botswana Savings Bank for the last five years and to state the initiatives that have been undertaken to improve the performance of the banking institution.

He also asked why the bank is not introducing services such as ATMs since they have a full banking license. ENDS