Cut the red tape - Lefhoko tells LEA
RYDER GABATHUSE
Staff Writer
| Friday December 5, 2008 00:00
Speaking at the official launch of the northern branch of the Local Enterprise Authority (LEA) at Thapama Hotel, Lefhoko called on the Citizen Enterpreneurial Development Agency (CEDA) and other financial institutions 'to move faster in facilitating the financing of important to establishing new businesses and empowering existing ones'.
Lefhoko singled out First National Bank of Botswana (FNBB) for leveraging, saying the bank's managers must use the 'discretionary powers invested in them' to 'ensure that financing of needy local businesses is fast-tracked'.
'We (the government) are pursuing the very direction of cutting red tape because we want to deliver an excellent service that will (make) our country an investment destination of choice.'
In a light-hearted but illustrative moment, Lefhoko likened the anxiety of waiting for a response from banks to that of a suitor proposing to a woman, saying it is not only how the answer will be but when the answer will come that is important'.
He said he was moved by the testimony of one of the entrepreneurs, Carlos Sebina of Budget Car Rentals, who chronicled the arduous road he travelled before he was finally assisted to start his business.
'From this testimony, LEA should rethink its position (because) things move very fast in today's world,' the minister said.
Although the official opening of the LEA Regional Office - which is located in Daukom House across from Thapama Hotel - was only done on Tuesday, it has been doing business since April.
Lefhoko said LEA was established to be a focused one-stop-shop providing training, mentoring, credit facilitation, market access and technology support for product development in Small, Medium and Micro Entreprises (SMMEs).
LEA currently has 13 branches across the country and mobile services that branch staff take to nearby communities. Lefhoko said access to finance was a major problem SMMEs faced now.
Said the minister: 'LEA has seen it fruitful to work hand in hand with financial institutions and a total of P24, 442,651 worth of business plans were submitted to various financers. To-date, P7 million worth of business plans have been approved, while P17, 394,797 worth of business plans are still under consideration.'
Speaking at the same occasion, LEA Chief Executive Officer, Dr Tebogo Matome emphasised on the partnerships that LEA has built with its stakeholders to ensure that it delivers on its mandate.
Matome paid special tribute to SMMEs which he described as their main focus. 'Your coming to this occasion is a positive sign of continued good relations between LEA and the entrepreneurs,' he said.
Sarah Mbanga is the Manager of the branch which Lefhoko said 'has not been snoozing at the steering wheel'. Mbanga and her team, described as experts in various disciplines, were introduced.