BDC targets Nigeria, Ghana in expansion drive
Isaac Pinielo | Friday December 9, 2016 15:05
Among the countries targeted for investments are Nigeria, Ghana, Zambia and Kenya.
BDC managing director, Bashi Gaetsaloe told delegates at a stakeholder meeting this week that investing abroad will make the corporation more efficient, thereby enabling it to grow faster than it otherwise would.
He said the corporation will also partner with other financial services providers for mega projects both locally and regionally, adding that they are currently building up their team to best handle regional initiatives.
“It is still early for us to make any assumptions of how much we are willing to invest beyond our borders, but we will certainly update you if anything comes up,” he said.
He noted that the investment in foreign countries will be done through the same criteria that BDC uses locally, which is supporting the development of viable businesses that pioneer new industries, unlock value in existing industries, stimulate private sector growth and linkages, and create significant employment.
He said BDC will significantly streamline the process of applying for funding and other processes as it moves to be more customer-centric. BDC will also focus more strongly on viable projects and will continue to divest some of its assets.
In Botswana, the BDC has 17 subsidiaries and has invested in 10 associate companies. The corporation currently has significant investments in property: commercial, industrial and residential. It also has investments in manufacturing, tourism, agriculture and services, and will expand its footprint into industries such as energy and mining as well as investments in more advanced technologies for the agriculture sector.
Gaetsaloe explained that BDC has not invested as much as it should in agriculture or energy.
“Looking ahead, our focus is now on investing into new ventures to expand and solidify our portfolio, while in turn accelerating our contribution to Botswana’s economic development and diversification,” he said.
Throughout, Gaetsaloe said BDC intends to promote best practices in business, governance and environmental standards in the funds or companies they choose to invest in.
BDC is the country’s main agency for commercial and industrial development. Established in 1970, the organisation is 100% owned by the government.
Its primary mandate is to work towards assisting in the establishment and development of commercially viable businesses in Botswana.
BDC does this through a number of different platforms and channels. Amongst these is the provision of financial assistance to investors with commercially viable projects; supporting of projects that generate sustainable employment for Batswana and add to the skills of the local workforce; and encouraging citizen participation in business ventures.