Decentralisation will spur economic development � Matambo
Isaac Pinielo | Thursday February 9, 2017 11:59
Delivering the 2017/18 Budget Speech this week, the minister of Finance and Economic Development, Kenneth Matambo indicated that one way of curbing this migration is through the promotion of developments in rural and peri-urban areas. According to the minister, lack of employment opportunities in rural areas results in migration to urban areas.
“The Local Economic Development programme, which started in 2015, will be intensified with a view to creating sustainable employment using resources available within local communities,” Matambo said. In addition, he said, a pilot project to extend property rates to rural areas in order to generate revenues for local authorities is ongoing, and that the Ministry of Local Government and Rural Development is drafting regulations on extending property rates to rural areas, and these are expected to be implemented during the 2017/2018 financial year. Furthermore, following the provisional closure of the BCL Mine in October last year, Matambo noted that the government has developed a strategy to revitalise the Selebi-Phikwe region. The main elements of the strategy include agricultural production and related value chains, tourism and related services, and establishing the region as a Special Economic Zone (SEZ), focusing on renewable energy generation, green technology, and information and communications technology (ICT). Meanwhile, Matambo said short-term interventions have been put in place that are already being implemented, which include the establishment of a SPEDU land bank for potential investors.
“To this end, efforts are being made through the Ministry of Investment, Trade and Industry to attract new investors into Selebi-Phikwe,” he said. The concentration of local and foreign investment in urban areas is said to be making cities and towns a magnet for hundreds of thousands of young Batswana who leave rural areas annually to seek employment elsewhere.
The migration is alarmingly rapid, taking into consideration the fact that a majority of the rural residents live below the poverty line, compared with those in urban areas. About 61% of the country’s population has urbanised, and the current urbanisation rate is 2.3%. More than 10% of the population lives in the capital Gaborone with a population of 232,000. The majority of the population in Botswana lives within 100 kilometres of Gaborone.