Restrictions may hamper FDI growth � Jefferis

Jefferis
Jefferis

The recent restriction of foreign participation in the Botswana Telecommunications Corporation Limited (BTCL) initial public offering (IPO) is likely to hamper the growth of foreign direct investment (FDI) in the country, a prominent economist has said.

Managing Director of Econsult Botswana, Keith Jefferis noted in an economic review for the first quarter of 2016 that the way in which the privatisation of BTCL was conducted was in conflict with the official privatisation policy.

“We note that the partial privatisation restricted participation to citizens, citizen-owned companies and local asset managers,” he said.

Editor's Comment
Botswana at a critical juncture

While the political shift brings hope for change, it also places immense pressure on the new administration to deliver on its election promises in the face of serious economic challenges.On another level, newly appointed Finance Minister Ndaba Gaolathe’s grim assessment of the country’s finances adds urgency to the moment. The budget deficit, expected to be P8.7 billion, is now anticipated to be even higher due to underperforming diamond...

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