10 Nov 2020

President Dr Mokgweetsi Masisi has reiterated government’s commitment to employment creation and economic diversification through different programmes. 

Delivering the 2020 State-of-the-Nation Address on Monday, Dr Masisi said various programmes from Youth Development Fund, Citizen Entrepreneurial Development Agency (CEDA), Local Enterprises Authority and Botswana Development Corporation (BDC) had embarked on strategies aimed at investment promotion and employment creation. 

He said the launching of Letlhabile product by CEDA to resuscitate the informal sector which was affected by COVID -19 had to date assisted 3 873 micro businesses valued at P17.6 million and protected 4 066 jobs. 

The CEDA COVID-19 relief Fund has also assisted 62 businesses at a cost of P35 million. 

Furthermore, Dr Masisi said during 2019/20 financial year, 975 youth owned businesses were financed at a tune of P94 671 778, creating 1 918 jobs. 

Dr Masisi said, ‘government also funded 24 Non-Governmental Organisations to implement character building and life skills development programs with focus on unemployed youth without formal training.” 

He said 160 962 youth were trained from April 2020 to date and that P125 000 was allocated for skills development in Gaborone, Francistown, Kgatleng, Ghanzi and Selebi Phikwe. 

The President pointed out that 16 326 youths have enrolled in volunteer programmes while 8 457 youths have been absorbed as interns. 

President Masisi said 1 954 jobs had been created through the Youth Development Fund (YDF). 

Meanwhile, during 2019/20 financial year, CEDA funded 2 127 businesses valued at P451 million. 

President Masisi said in addition, the agency financed 1 442 businesses owned by women at a value of P134 million and 568 youth owned businesses at P27 million. 

He said the services sector received most funding at 55 per cent, followed by agriculture at 28 per cent, property at 10 per cent and manufacturing at 7 per cent. 

A total of 3 883 jobs were created during the 2019/20 financial year, he added.

“The revised CEDA guidelines will play a facilitative role in the realisation of broad-based citizen economic empowerment. 

These guidelines offer concessionary lending terms and longer repayment periods,” said President Masisi.

He said government had identified agro-processing, construction, technology and innovation, energy, manufacturing, agriculture, tourism and mining, as well as the Creative Industry as priority sectors. 

Dr Masisi highlighted that the BDC had invested P1 039 billion in the services, property and tourism sectors during the 2019/20 financial year. 

He said total Foreign Direct Investment (FDI) stood at P533.6 million while Domestic Investment was valued at P506.3 million. 

President Masisi said this comprised new domestic investment valued at P328.5 million while expansions were valued at P177.8 million. 

BDC has established the Francistown Academic Hospital with a 75 bed capacity which offers medical training facilities and has created 270 jobs. 

President Masisi said the Botswana Investment and Trade Centre (BITC) continued to implement a robust export promotion programme in line with the new National Export Strategy. 

He noted that companies which benefited from the BITC services realised P2.8 billion of export earnings between April 2019 and June 2020. 

BITC, he said, had also realised FDI inflows amounting to P3 079 billion against a target of P2 450 billion. 

Between April 2019 and June 2020, he said, BITC promotion drive resulted in the creation of 4 382 jobs, with the services sector being the highest performer, followed by manufacturing, agriculture and agro-processing sectors. 

On Selebi Phikwe Economic Diversification Unit (SPEDU), President Masisi stated that the construction of Industrial and Urban Agriculture Land Servicing project was expected to be completed by June 2023. 

“The project is expected to create 3 500 jobs with an investment value of P1.2 billion,” he said. 

President Masisi noted that the Special Economic Zones Authority (SEZA) currently has 15 potential investors with an estimated investment value exceeding P10 billion.  

He said the design and land servicing of the Sir Seretse Khama International Airport SEZ Phase 1 had commenced and planned to be completed in May next year.

Talking about LEA, he said ‘it currently supports 1 078 SMMEs across the country, with 51 of them accommodated in incubators and factory shells.’ 

The President said government remained committed also to promotion of decent work as demonstrated through the signing of the Botswana Decent work Country Programme for 2020 to 2024 by government, employers’ and workers’ representatives as well as the International Labour Organisation (ILO) in February 2020. 

The programme is anchored on three pillars; creation of sustainable and decent employment, enhanced social protection and conditions of work as well as strong labour market governance institutions, he added. Dr Masisi said tripartite consultations on the review of some labour laws would be finalised this financial year, paving way for the drafting of the Bills on the proposed changes to the laws, aligning them with relevant international instruments. Ends