26 Apr 2023

National Development Bank has disbursed P155 million out of P200 million allocated for tourism sector under the Industry Support Facility (ISF) Fund.

The bank communications and partnerships manager, Mr Kenneth Boikhutswane in an interview recently called on tourism operators to utilise the remaining funds.

Government introduced the fund in 2020 as a relief measure for COVID-19 pandemic, to sustain businesses, resuscitate the economy as well as protect employment. Mr Boikhutswane said NDB was allocated P600 million to assist different sectors as agriculture, tourism and general industry.

The funding, he said targeted operating businesses be it small, medium or large, with the intention to sustain them and protecting jobs. “Out of the P200 million for tourism, we are left with a balance of P45 million and I appeal to operators to come forth and utilise the balance,” he added

Mr Boikhutswane appreciated that many tourism operators in Ngamiland and Chobe regions took advantage of the fund because within four months of promoting the initiative in Maun, they disbursed more than P60 million, an indication that the fund was a much needed development in industry.

The disbursed P155 million, he said was utilised by 192 businesses mostly operated by Batswana in Chobe enclave and the Okavango Delta, however, Mr Boikhutswane noted that mobile safari operators did not benefit much as majority did not meet the requirements owing to record keeping challenges.

He said the industry was gradually bouncing back and believed things would change for the better.

Other sectors of the economy that also benefited from the fund, he said were doing well as some beneficiaries had started re-paying their loans.

The agriculture sector, he said was allocated P100 million which he announced that all the money was disbursed.

He said funds collected from all beneficiary sectors currently amounted to P20 million and expressed optimism that more would be collected.

The relief fund was in existence for two years and Mr Boikhutswane revealed that the loans had good repayment terms, were offered at prime rate and came with a grace period of six months.

Some of the conditions of the fund required that potential businesses should have been in existence for three years and that procurement be done locally.

Mr Boikhutswane also mentioned that applicants were ensure businesses remained afloat, support their workers as well as promote opportunities for economic diversification. ENDS