- Tsaone Segaetsho
Privatisation took centre stage at the recent National Business Conference, with delegates emphasising its crucial role in driving economic growth.
Dr. Lucy Newman, CEO of the Africa Private Sector Summit, passionately advocated for the transfer of government-owned businesses into private hands, arguing that privatisation allows these enterprises to flourish independently.
“When businesses are privatised, they gain the ability to generate revenue, create jobs, and attract investment,” she told The Executive Botswana.
Dr. Newman, a leading figure from Ghana, was invited by the Botswana Institute for Development Policy Analysis and the conference’s organiser, Business Botswana. She presented strategies on how Botswana could harness privatisation to boost business growth. According to her, government relinquishing control allows companies to operate more effectively and competitively.
PEEPA, the Public Enterprise Evaluation and Privatisation Agency, plays a pivotal role in this process. Acting CEO Ishamel Joseph explained that PEEPA advises the government on which enterprises to privatise, ensuring a smooth transition. Since its inception over two decades ago, PEEPA has overseen the privatisation of numerous state-owned enterprises (SOEs).
One notable success story is the Botswana Telecommunication Corporation, now listed on the Botswana Stock Exchange (BSE). BSE’s Acting CEO, Kopano Bolokwe, highlighted the significance of SOEs listing on the stock exchange, noting that BSE itself was privatised in 2018.
“We are demonstrating how SOE listings can drive economic transformation and private sector growth,” Bolokwe stated.
Minister of Trade and Industry, Mmusi Kgafela, added that government-led commercialisation is a colonial legacy that needs to be shed. He urged the private sector to take the lead in industrial development and focus on exports rather than relying on government contracts. Kgafela emphasised that Botswana’s future lies in becoming an export-driven economy.
As the discussions at the conference clarified, privatisation is not just about transferring ownership but about creating a vibrant, self-sustaining private sector capable of propelling Botswana’s economy forward.
