National Development Plan 11 Volume 1 April 2017

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National Development Plan 11

Volume 1

April 2017 – March 2023

ISBN: 978-99968-465-2-6

TABLE OF CONTENTS

TABLE OF CONTENTS ...... I LIST OF TABLES ...... V LIST OF CHARTS AND FIGURES ...... VI LIST OF MAPS ...... VII LIST OF ABBREVIATIONS AND ACRONYMS ...... VIII FOREWORD ...... XIII INTRODUCTION ...... XV CHAPTER 1 ...... 1 COUNTRY AND PEOPLE ...... 1 INTRODUCTION...... 1 CONSTITUTIONAL FRAMEWORK ...... 1 Judiciary ...... 2 The Executive ...... 2 GEOGRAPHY ...... 5 Physical Features ...... 5 Surface Hydrology ...... 6 Weather and Climate ...... 6 Soil and Vegetation ...... 7 Natural Resources ...... 8 Demographic Patterns ...... 9 Languages and Religion ...... 11 Membership of International Organisations ...... 11 CONCLUSION ...... 11 CHAPTER 2 ...... 13 POPULATION AND DEVELOPMENT ...... 13 INTRODUCTION...... 13 REVIEW OF THE IMPLEMENTATION OF THE POPULATION POLICY IN NDP 10 ...... 14 POPULATION SITUATION AND DEVELOPMENT PROSPECTS ...... 18 SUSTAINABLE DEVELOPMENT GOALS ...... 25 CONCLUSION ...... 28 CHAPTER 3 ...... 29 REVIEW OF ECONOMIC PERFORMANCE DURING NDP 10 ...... 29 INTRODUCTION...... 29 ECONOMIC PERFORMANCE DURING NDP 10 ...... 29 NDP 10 Economic Growth Strategic Thrust ...... 29 Gross Domestic Product (GDP) Growth Rates ...... 29 Government Budget ...... 38 Implementation Capacity during NDP 10 ...... 40 Export Diversification during NDP 10...... 47 EMPLOYMENT CREATION DURING NDP 10 ...... 49 POLICY ENVIRONMENT DURING NDP 10 ...... 52

i Macroeconomic Policy ...... 52 Fiscal Policy ...... 52 Monetary Policy ...... 53 Exchange Rate Policy ...... 53 Microeconomic Policy ...... 54 CONCLUSION ...... 56 CHAPTER 4 ...... 57 MACROECONOMIC STRATEGIES FOR NDP 11 ...... 57 INTRODUCTION...... 57 STRATEGIES FOR NDP 11 ...... 59 Developing Diversified Sources of Economic Growth ...... 59 Domestic Expenditure as a Source for Growth and Employment Creation ...... 62 Export-Led Growth Strategy ...... 63 Conducive Environment for the Private Sector to Grow the Economy and Employment Creation ...... 65 Regulatory Framework for Doing Business and Global Competitiveness ...... 65 Governance, Safety and Security ...... 66 Infrastructure ...... 66 Information and Communication Technology ...... 66 CONCLUSION ...... 67 CHAPTER 5 ...... 69 MACROECONOMIC PROJECTIONS FOR NDP 11 ...... 69 INTRODUCTION...... 69 SECTORAL STRATEGIES UNDERPINNING GDP PROJECTIONS ...... 69 Export-Led Growth Strategy ...... 69 Infrastructure Development ...... 70 Investment in Information and Communication Technology (ICT) ...... 70 Improved Quality of Education and Training ...... 70 Improvement of Productivity in the Economy ...... 71 Research, Innovation and Development ...... 71 PROJECTIONS UNDER BASE CASE SCENARIO ...... 71 GDP Projections ...... 71 Government Budget Projections ...... 74 Summary of Government Budget Projections ...... 79 PROPOSED FISCAL RULE FOR NDP 11 ...... 81 CONCLUSION ...... 82 CHAPTER 6 ...... 83 ECONOMY AND EMPLOYMENT ...... 83 INTRODUCTION...... 83 REVIEW OF THEMATICAREA ...... 84 PERFORMANCE DURING NDP 10 ...... 84 Doing Business ...... 84 Infrastructural Development ...... 96 Human Resources Development ...... 101 CHALLENGES FACED DURING NDP 10 ...... 105 Agriculture Sub Sector ...... 105 Transport Sub Sector ...... 106

ii Statistics Sub Sector ...... 106 Infrastructure Sub Sector ...... 106 Insufficient ICT Connectivity ...... 106 Education Sub Sector ...... 107 CROSS CUTTING CHALLENGES ...... 108 STRATEGIES FOR NDP 11 ...... 108 Developed Infrastructure ...... 108 Conducive Business Environment ...... 112 Diversified Industries ...... 114 Improved Quality and Relevance of Education and Training ...... 119 Productive Human Resource ...... 120 Domestic and Foreign Direct Investment ...... 123 National Entrepreneurial Policy and Strategy ...... 125 PROGRAMME SUMMARIES FOR NDP 11 ...... 125 Facilities Management ...... 126 Infrastructure Development ...... 126 Sectoral Development...... 128 CONCLUSION ...... 130 CHAPTER 7 ...... 132 SUSTAINABLE ENVIRONMENT ...... 132 INTRODUCTION ...... 132 REVIEW OF THE THEMATIC AREA ...... 133 PERFORMANCE DURING NDP 10 ...... 133 Environmental Protection Programme ...... 133 Natural Resources Management Programme ...... 136 EMERGING ISSUES FROM NDP 10 ...... 141 Infrastructure Development Impact to the Environment ...... 141 Behavioural Changes and Environmental Compliance ...... 141 Environmental Information Management for Decision Support ...... 141 Coordination and Governance of Environmental Management ...... 141 Un-Sustainable Agricultural Practices ...... 142 Land Management ...... 142 STRATEGIES FOR NDP 11 ...... 142 A Healthy Environment for a Healthy Population ...... 142 Sustainable Management of Natural and Cultural Resources ...... 142 Climate Change Adaptation and Mitigation ...... 143 Sustainable Human Settlements ...... 143 PROGRAMME SUMMARIES FOR NDP 11 ...... 144 Programmes for Environmental Protection ...... 144 Programmes for Management of Natural Resources ...... 145 CHAPTER 8 ...... 150 GOVERNANCE, SAFETY AND SECURITY ...... 150 INTRODUCTION...... 150

iii REVIEW OF THE THEMATIC AREA PERFORMANCE DURING NDP 10 ...... 150 Achievements under the Governance Sector ...... 150 Achievements under Safety and Security Sector ...... 157 CHALLENGES DURING NDP 10 ...... 163 Governance Sector Challenges ...... 163 Safety and Security Sector Challenges ...... 164 STRATEGIES FOR NDP 11 ...... 165 Governance Sector ...... 165 National Security and Safety Sector ...... 167 PROGRAMME SUMMARIES FOR NDP 11 ...... 171 Governance Sector Programmes ...... 171 Safety and Security Sector Programmes ...... 174 CONCLUSION ...... 176 CHAPTER 9 ...... 177 SOCIAL UPLIFTMENT ...... 177 INTRODUCTION...... 177 REVIEW OF THE THEMATIC AREA PERFORMANCE DURING NDP 10 ...... 177 Achievements under Social Development Focal Area ...... 177 CHALLENGES EXPERIENCED DURING NDP 10 ...... 184 Challenges in the Social Development Focal Area ...... 184 Challenges in the Health Focal Area ...... 185 STRATEGIES FOR NDP 11 ...... 185 Social Development Strategies ...... 185 Health Strategies ...... 187 PROGRAMME SUMMARIES FOR NDP 11 ...... 189 Social Protection Programmes ...... 189 Health Programmes ...... 190 CONCLUSION ...... 193 CHAPTER 10 ...... 195 MONITORING AND EVALUATION ...... 195 INTRODUCTION...... 195 REVIEW OF M&E DURING NDP 10...... 195 Achievements in establishing the NMES during NDP 10 ...... 197 Challenges during NDP 10 ...... 197 Lessons Learnt during NDP 10 ...... 198 MONITORING AND EVALUATION STRATEGIES DURING NDP 11 ...... 200 CONCLUSION ...... 204

iv LIST OF TABLES

Table 1.1: District/City/Town Councils, Sub-Districts and Population ...... 4 Table 1.2 Demographic Indicators: 1971 to 2011 ...... 10 Table 2.1: Population Policy Targets and their Status at the End of NDP 10 ...... 15 Table 2.2: Comparison of SDGs, NDP 11 and Vision 2036 Framework Priorities ...... 26 Table 3.1: NDP 10 Targets and Actual GDP Growth Rates (%) ...... 30 Table 3.2: Three Year Moving Averages for Real GDP Growth Rates (%) ...... 30 Table 3.3: GDP Growth Rates by Major Sectors (%) ...... 35 Table 3.4: Sectoral Growth rates and Contribution to GDP Growth (%) ...... 36 Table 3.5: NDP 10 Projected, Actual and Revised Government Budget (P billion, Constant Prices, 2008) ...... 38 Table 3.6: Government Net Financial Asset Position (P’ million) ...... 45 Table 3.7: Formal Sector Employment Growth Rates (%), 2009-2015 ...... 50 Table 3.8: Parastatal & Private Sector Contribution to Overall Formal Employment by sub-sector, (%) 2009-2015 ...... 51 Table 5.1: Real GDP Growth Rate Projections (%): 2017/18-2022/23 ...... 73 Table 5.2: NDP 11 Government revenues & Expenditure (P million) at Current Prices ...... 75 Table 5.3: NDP 11 Real GDP Growth Rates under the Different Scenarios (%) ...... 77 Table 5.4: NDP 11 Government Budget Summary by Various Scenarios (P million) ...... 80 Table 6.1: Performance of Tourism in the Context of the Overall Economy (P’ billion) ...... 88 Table 6.2: Primary Schools Net Enrolment Rate 2009 - 2014 ...... 101 Table 6.3: Transition Rates Junior to Senior – Actual against NDP 10 Target (including transition to Vocational Education) ...... 102 Table 8.1: Country Data Report for Botswana on Aggregate Indicators, 2009-2015 ...... 151 Table 8.2: Corruption Perception Ratings for Botswana: 2009 - 2015 ...... 155 Table 8.3: Violent and Serious Offences per Population: 2009 - 2015 ...... 158 Table 8.4: Motor Vehicle Road Accidents Trends and Rates: 2009 - 2015 ...... 159 Table 9.1: Social Protection Programmes ...... 178 Table 9.2: Destitute Housing in RADP Settlements ...... 179 Table 9.3: Country-Wide Destitute Housing ...... 179 Table 9.4: Country-Wide NDP 10 Social Housing Projects ...... 180 Table 9.5: Progress on the Achievement of Health Indicators ...... 182

v LIST OF CHARTS AND FIGURES

Chart 1.1: The Botswana Government Organisational Chart ...... 3 Figure 2.1: Population Sex and Age Structure (2011) ...... 19 Figure 3.1: Household Final Consumption Real Growth Rates, 2009-2015...... 31 Figure 3.2: Gross Fixed Capital Formation Growth Rates, 2009-2015 ...... 32 Figure 3.3: Government Final Consumption Growth Rates, 2009-2015 ...... 32 Figure 3.4: Net Merchandise Exports 2008-2015 ...... 33 Figure 3.5: Net Merchandise Exports and Net Services Exports (P million), 2008-2015 ...... 34 Figure 3.6: Contribution to Value Added (Current Prices) by the Four Key Sectors (%) ...... 37 Figure 3.7: Projected and Actual Total Government Spending (Pula Billion Constant prices, 2008) ...... 39 Figure 3.8: Ratio of Government Expenditure to Real GDP (%), 2009/10-2015/16 ...... 40 Figure 3.9: Actual Spending as a Percentage of the Original Budget, 2009/10-2015/16 ...... 41 Figure 3.10: Actual & Projected Crude Sustainability Index, 2009/10-2015/16 ...... 42 Figure 3.11: Government Debt as % of GDP, 2009/10-2015/16 ...... 43 Figure 3.12: Government Net Financial Position, 2009/10-2015/16 (P million) ...... 46 Figure 3.13: Positions of Different BoP Accounts, 2008-2015 ...... 47 Figure 3.14: Traditional and Non-Traditional Exports, 2008-2015 ...... 47 Figure 3.15: Composition of Traditional Exports, 2008-2015 ...... 48 Figure 3.16: Percentage Share of Merchandise & Service Exports, 2004-2014 ...... 49 Figure 3.17: Sectoral Contribution to Formal Employment (2009 – 2015) ...... 51 Figure 5.1: NDP 11 Projected Shares of Major Sources of Revenues (%) ...... 76 Figure 5.2: NDP 11 Non-Mining Private Sector Share of GDP ...... 78 Figure 6.1: Botswana’s Doing Business Rankings ...... 84 Figure 6.2: International Tourist Arrivals (1996 -2013) ...... 87 Figure 6.3 Employment Opportunities Created by the Tourism Sector (2012-2015) ...... 88 Figure 6.4: FDI Stocks 2010 - 2014 (P million)...... 90 Figure 6.5: Transition Rate from Junior to Senior Secondary (2009-2016) ...... 102 Figure 6.6: Tertiary Education Student Enrolment Trend from 2003/04 to 2014/15 ...... 103 Figure 6.7: Domestic Investment in Pula ...... 117 Figure 7.1: Trends of Poaching Incidents (2010 – 2015) ...... 137 Figure 7.2: Projected Energy Supply Mix ...... 148 Figure 9.1: Ipelegeng Employment ...... 178 Figure 9.2: Performance of the Youth Development Fund ...... 181 Figure 9.3: Number of Interns Offered Permanent Employment ...... 182 Figure 9.4: Maternal Mortality Rate Trends ...... 184

vi LIST OF MAPS

Map1.1: Location of Botswana in Southern Africa ...... 5 Map 1.2: Annual Rainfall Distribution ...... 6 Map 1.3: Vegetation of Botswana ...... 7 Map 1.4: National Parks and Game Reserves ...... 9

vii LIST OF ABBREVIATIONS AND ACRONYMS

ADB African Development Bank AGC Attorney General’s Chambers AGOA African Growth and Opportunity Act AIDI Agricultural Infrastructure Development Initiative ARC Architects Registration Council ARV Anti-Retroviral AU African Union BAIS III Botswana Aids Impact Survey III BAIS IV Botswana Aids Impact Survey IV BCP Botswana Congress Party BDP Botswana Democratic Party BFHS Botswana Family Health Surveys BIDPA Botswana Institute for Development Policy Analysis BIH Botswana Innovation Hub BITC Botswana Investment and Trade Centre BIUST Botswana International University of Science and Technology BOCODOL Botswana College of Open and Distance Learning BOCRA Botswana Communications Regulatory Authority BoFiNet Botswana Fibre Networks BOTC Botswana Trade Commission BPSC Botswana Public Service College BTCL Botswana Telecommunications Corporation Limited CBNRM Community Based Natural Resources Management CCTV Closed Circuit Television CDE Centre for Development of Enterprise CITF Construction Industry Trust Fund CMS Case Management System CPI Consumer Price Index CRB Constructors Registration Board CRMS Case Records Management System

viii CTO Central Transport Organisation DB Doing Business DCEC Directorate on Corruption and Economic Crime DES Dietary Energy Supply DOSET Department of Out of School Education and Training DPP Directorate of Public Prosecutions DPSM Directorate of Public Service Management DRM Disaster Risk Management DTC Diamond Trading Centre DTT Digital Terrestrial Transmission EASSy Eastern Africa Submarine Cable System ECCE Early Childhood Care and Education ECP Economic Partnership Agreement EDD Economic Diversification Drive ERB Engineers Registration Board ESOP Employee Share Ownership Plan ESP Economic Stimulus Programme ETSSP Education and Training Sector Strategic Plan EU European Union FDI Foreign Direct Investment FDI Foreign Direct Investment GDE Gross Domestic Expenditure GDN Government Data Network GDP Gross Domestic Product GEMVAS Government Employees Motor Vehicle & Housing Scheme GFCF Gross Fixed Capital Formation GICO Government Implementation Coordination Office GSS Governance, Safety and Security HR Human Resources ICC International Criminal Court ICPD Cairo International Conference on Population and Development ICT Information and Communication Technology

ix IDP Industrial Development Policy IEC Independent Electoral Commission IMF International Monetary Fund INSSP Integrated Nuclear Security Support Plan IPPs Independent Power Producers ITU International Telecommunications Union IWERM Integrated Water and Energy Resource Management JCM Judicial Case Management System JPCCs Joint Permanent Commission on Cooperations JPCDS Joint Permanent Commission on Defence and Security KPIs Key Performance Indicators LAB Legal Aid Botswana LED Local Economic Development M & E Monitoring and Evaluation MDG Millennium Development Goals MFED Ministry of Finance and Economic Development MTEF Medium Term Expenditure Framework MTFF Medium Term Fiscal Framework MTTC Madirelo Training and Testing Centre NCAF National Curriculum and Assessment Framework NCQF National Credit and Qualifications Framework NDP National Development Plan NEER Nominal Effective Exchange Rate NERs Net Enrolment Rates NES National Export Strategy NESC National Electricity Standard Cost NMES National Monitoring and Evaluation System NSO National Strategy Office NSS National Security Strategy NTB Non-Tax Barriers PDL Poverty Datum Line PEEPA Public Enterprise Evaluation & Privatisation Agency

x PICA Proceeds and Instruments of Crime Act PIMS Prison Information Management System PMO Programme Management Office POSCA Proceeds of Serious Crime Act PPP Purchasing Power Parity PPPs Public-Private Partnerships PSBC Public Service Bargaining Council PSDP Private Sector Development Programme PSDS Private Sector Development Strategy PSLE Primary School Leaving Examination PTC Primary Teacher Certificate QSRC Quantity Surveyors Registration Council REER Real Effective Exchange Rate RISDP Regional Indicative Strategic Development Plan RNPP Revised National Population Policy RPL Recognition of Prior Learning RSTI Research, Science, Technology and Innovation SACU Southern African Customs Union SADC Southern African Development Community SADC FTA Southern African Development Community Free Trade Area SDGs Sustainable Development Goals SEA Strategic Environmental Assessment SMME Small, Medium and Micro Enterprises SMS Short Message System SWOT Strengths, Weaknesses, Opportunities and Threats TDA Trade Disputes Act TDGVA Tourism Direct Gross Value Added TSA Tourism Satellite Account TVET Technical and Vocational Education and Training TWG Thematic Working Group UDC Umbrella for Democratic Change UN United Nations

xi UNCAC United Nations Convention Against Corruption UNDP United Nations Development Programme UNESCO United Nations Educational, Scientific and Cultural Organisation UNHCR United Nations High Commissioner for Refugees UNSC United Nations Statistical Commission UNWTO United Nations World Tourism Organisation UPU Universal Postal Union USO Universal Service Obligation WACS West Africa Cable System WAVES Wealth Accounting and Valuation of Ecosystem Services WTO World Trade Organisation

xii FOREWORD

The adoption of the eleventh National the series to implement Vision 2036. The theme Development Plan (NDP 11) in December 2016 for NDP 11 is “Inclusive Growth for the followed the country’s celebration of the fifty Realisation of Sustainable Employment years anniversary of Independence and the Creation and Poverty Eradication”. The theme launching of the Vision 2036 in September 2016. embraces critical areas that will have to be As a nation, we note with pride our country’s tackled during the implementation of the Plan. transition from one of the poorest countries at independence to an upper middle-income A review of the previous Plan - NDP 10, revealed country over the past 50 years. This success can that the country’s macroeconomic performance be attributed to the presence of strong democratic during the Plan period was better than initially institutions, prudent economic management, and projected, despite the continued weak recovery the sustainable use of proceeds from diamond of the global economy since the financial crisis production to build productive physical and of 2008/2009. Such an outcome was not given, human capital. but rather came as a result of a combination of prudent fiscal and monetary policies pursued by The Vision 2036, launched at the same time the Government in order to mitigate the impact when the country was celebrating its fifty years of the financial crisis on the domestic economy. anniversary of independence in September 2016, The Government of Botswana had to adopt an provided an opportunity for the country to define expansionary fiscal policy to support growth and its roadmap for the next twenty years. With an protect jobs in the country. Similarly, the Bank of all-encompassing theme of “Achieving Botswana maintained an accommodative Prosperity for All”, the Vision provides an monetary policy during NDP10, which supported inclusive development path to be achieved the recovery of the domestic economy. through the expansion of the domestic economy while empowering Batswana to meaningfully Despite our success on the macroeconomic front, participate in the development of their country. it is clear that our economy has reached a Achieving the goals and objectives of Vision crossroad as signified by slow and fluctuating 2036 will require a refocus of our current economic growth on one hand, and the need to development model towards an export-oriented, urgently address the development challenges on labour-intensive, and private sector driven the other. These required additional measures in model. This is necessary so as to further create the form of adoption of the Economic Stimulus sustainable job opportunities and diversify our Programme in 2016/2017 financial year. Other economic base. socio-economic development challenges observed during NDP 10 included: declining It is through proper planning that our economy social values; stiff competition for markets; weak has been resilient even in the most challenging commodity prices; volatility in the sources of times like the global financial crisis of domestic revenue and periodic severe droughts. 2008/2009. Hence, in line with our tradition of Collectively, these occurrences did not help the national planning, NDP 11 has been prepared to situation as they undermined Government’s guide the medium term economic development ability to address the development challenges path for the country, as well as being the first in facing the country during the Plan period.

xiii all those who will be charged with the To address some of these development implementation of the Plan at different levels to challenges, NDP 11 focuses on six broad-based ensure efficient and effective delivery of policies, national priorities of: Developing Diversified programmes and projects. Government’s recent Sources of Economic Growth; Human Capital decision to rationalise, rename and increase the Development; Social Development; number of line Ministries was motivated by the Sustainable Use of Natural Resources; need to focus more on key developmental issues Consolidation of Good Governance and as part of NDP 11, as well as aligning ourselves Strengthening of National Security; and with the requirements of an ever changing global Implementation of an Effective Monitoring economic environment. and Evaluation System. These priorities are aligned to Vision 2036 pillars of: Sustainable I wish to conclude by indicating that, national Economic Development; Human and Social development planning is not a linear process, but Development; Sustainable Environment; and that planning can only be achieved through a Governance, Peace and Security. I wish to multidimensional framework, where progress in implore fellow citizens to embrace these one area supports advances in others. For its part, priorities and pillars with a view to developing Government will continue to create a conducive practical solutions and methods of achieving the macroeconomic environment for private sector- best results in NDP 11. A number of policies, led growth while at the same time implementing strategies, and programmes have been identified specific social programmes targeted to the less under the respective chapters of the Plan privileged groups of our society to ensure a document to support the realisation of these dignified life for all our citizens. national priorities. Successful implementation of

NDP 11 will depend on the participation of all stakeholders, which should be possible, given the extensive consultation process that characterised the preparation of the Plan. A development plan formulated through such a process is an important pillar in building national unity, consensus, and cohesion. In this regard, I implore

xiv INTRODUCTION

The eleventh National Development Plan adverse effects of the global financial crisis, (NDP 11) is the first medium term plan towards due to the resilience of the non-mining sector. the implementation of the country’s second In the event, the domestic economy contracted vision - Vision 2036. The Plan will run from 1st by 3.0 percent in 2009/2010, compared to the April 2017 to 31st March 2023. Taking into potential decline of 16.5 percent had it not been account the development challenges facing the cushioned by the non-mining sector. country, and the need to align the focus of the Plan with global, continental and regional This underscores the crucial importance of initiatives such as; the UN’s Sustainable economic diversification to reduce the Development Goals, AU Agenda 2063, and the country’s heavy reliance on diamond Revised SADC Regional Indicative Strategic production. Another achievement during NDP Development Plan, NDP 11’s theme is 10 was that the reduction in the cumulative “Inclusive Growth for the Realisation of budget deficit from P31.9 billion projected in Sustainable Employment Creation and the Plan to P8.4 billion. Thus, the overall Poverty Eradication”. This theme will be budget balance outturn for NDP 10 was better realised through the implementation of six than projected, despite the global financial and national priorities, namely: developing economic crisis during the early part of the Plan diversified sources of economic growth; human period. capital development; social development; sustainable use of national resources; It is on the basis of the performance of NDP 10, consolidation of good governance and and taking into consideration the development strengthening of national security; and challenges facing the country that NDP 11 implementation of an effective monitoring and advocates for various policies and strategies to evaluation system. promote growth and create employment opportunities in the economy. Among the As part of the preparation of NDP 11, a review broad strategies to be pursued during NDP 11 of the performance of the domestic economy are: (i) developing diversified sources of during NDP 10 was undertaken. The review economic growth through initiatives such as showed that the actual average rate of growth beneficiation, cluster development, special for the NDP 10 was 3.9 percent per annum. economic zones, economic diversification While this growth rate is slightly above the drive, and local economic development; (ii) the NDP 10 target of 3.3 percent, it is substantially use of domestic expenditure as a source of below the Vision 2016 average target of 7.5 growth and employment creation by ensuring percent. This lower growth was mainly the that domestic aggregate demand, including result of low performance of the mining sector, Government expenditure, is employed to stemming from global uncertainties and low support growth and employment creation; and commodity prices, faced during NDP 10 (iii) pursuing an export-led growth strategy period. On the positive side, the review showed given the limited size of the domestic that the domestic economy withstood the economy. The export-led growth strategy will

xv draw from the cluster model, where the initial Government, as well as their proposed focus will be on diamonds, tourism, finance allocations between the recurrent and and mining, among others. development budgets. Under the Base Case scenario, total revenues and grants are The implementation of these strategies and estimated at P365.08 billion for the NDP 11 other sub-strategies is expected to promote period; of which, 34.2 percent will be Mineral domestic and foreign direct investment to grow revenue, and 26.1 percent will be Customs and the economy and create employment Excise. This means that over 60 percent of the opportunities. This is because increased projected revenues during the Plan will come aggregate demand generates business from mineral and customs and excise, which confidence to invest more in productive are volatile and susceptible to regional and activities. In addition, Government will global economic trends. It is therefore continue to reform the country’s regulatory imperative that, efforts to diversify the sources environment with a view to easing doing of Government revenues through the expansion business and fostering global competitiveness of the domestic revenue base should be for local businesses. intensified during the course of NDP 11. The projected total expenditure for NDP 11 on the However, the efficacy of these strategies other hand amounts to P364.03 billion, during NDP 11 will require a stable comprising P262.40 billion, or 72.0 percent as macroeconomic environment, whose main recurrent budget, while P101.42 billion or 27.9 elements will include low inflation, sustainable percent is earmarked for development budget balance, supportive monetary policy, expenditure. and competitive exchange rate. In addition to ensuring macroeconomic stability during the Given the estimated total revenues and Plan period, the country will also continue to projected expenditures for the NDP 11 period, work on improving the microeconomic budget deficits are projected for the first half of environment. In this regard, Government will the Plan period, while modest surpluses are ensure that programmes aimed at eradicating expected for the second half, resulting in a poverty, and promoting sustainable livelihoods small cumulative surplus of P1.05 billion. of the poor and people living with disabilities However, this modest surplus will only be will be implemented during the Plan. realised, provided that the anticipated global, Furthermore, the Small Medium Micro regional and domestic economic environment Enterprises and Informal Sector models, as does not turn out to be worse than expected. well as Local Economic Development This, therefore, calls for continued vigilance approach will remain an essential part of NDP and prudence in spending, as the revenue 11 strategy for promoting inclusiveness. Social outturn may turn out to be lower than expected protection programmes, especially the during NDP 11, due to continued uncertainties provision of social safety nets and other in the performance of the global economy. poverty related measures, will be strengthened to complement existing productive activities. Finally, I wish to extend my gratitude to all the stakeholders, especially the Thematic Working The Plan also gives the estimated financial Groups (TWGs), who assisted the Ministry of resources that are likely to be available to Finance and Economic Development to

xvi accomplish this important task of developing a espoused in Vision 2036. I therefore implore medium term plan. As the first instalment in the all stakeholders, both public and private, to implementation of the Vision 2036, the NDP ensure an efficient and effective 11 provides an opportunity for the country to implementation of the NDP 11. operationalise the aspirations of the citizens, as

Ontefetse Kenneth Matambo Minister of Finance and Economic Development

xvii CHAPTER 1

COUNTRY AND PEOPLE

INTRODUCTION

1.1 This Chapter provides background parties contested for the 57 constituencies; information on the political system and namely, the Botswana Democratic Party physical features of the country for (BDP), Botswana Congress Party (BCP), purposes of readers unfamiliar with and the Umbrella for Democratic Change Botswana. Among the potential users of (UDC), and there were 29 independent this summary information are; candidates. development planners, economic researchers, students, tourists, and 1.5 Prior to the elections, all parties journalists, just to mention a few. who wish to participate in the national elections nominate their Presidential CONSTITUTIONAL FRAMEWORK candidate, and their names are submitted to the Chief Justice, who is the returning 1.2 Botswana is a constitutional officer for the election of a President. democracy. The Constitution provides for After the elections, the candidate of the three (3) arms of Government, namely the party with a majority of directly elected Legislature, Judiciary and Executive. The members becomes the President of the Constitution also includes a Bill of Rights, Republic, and may serve for a period of up which guarantees certain fundamental to five (5) years, at the end of which, rights and freedoms and it affords all he/she must dissolve Parliament and allow persons equal protection of the law. for the holding of general elections.

Legislature 1.6 In addition to the National Assembly, there is Ntlo ya Dikgosi, which 1.3 The National Assembly makes is part of the unicameral legislature; and it laws for the peace, order and good is currently made up of 35 traditional governance of Botswana. There are 57 leaders. The House acts as a purely members of the National Assembly who advisory body to the Parliament, and has are directly elected from the no legislative or veto powers. However, Constituencies, and six (6) specially all Bills affecting tribal affairs, customary elected members, bringing the total to 63. law, and the administration of customary

courts go through the House before being 1.4 The first national elections were discussed in the National Assembly. The held in 1965, which was one year before House must also be consulted when the the attainment of Independence in 1966. Constitution of the country is being Since then, elections have been held every reviewed or amended. five years since 1969, all of which were won by the Botswana Democratic Party (BDP). The most recent general election was held in October 2014. Three political

1 Judiciary Judicial appointments, although made by 1.7 The Judiciary is established under His Excellency the President, can only be the Constitution of the Republic as an made on the recommendation of the independent arm of Government. The Commission, except the appointment of main function of the Judiciary is to the Chief Justice and the President of the interpret the law and to resolve disputes. Court of Appeal. The Judiciary must also ensure that the other arms of Government act according The Executive to the Constitution, through a review 1.10 The President is the head of the process of their decisions. The Court of Executive arm of Government and Appeal is the highest and final Court in the presides over Cabinet. The Vice President country. The High Court, on the other is nominated by the President, for hand, is a superior court of record and has approval and endorsement by Members of unlimited jurisdiction to hear all criminal Parliament. The President selects and civil cases that occur in Botswana. Ministers from among the Members of the National Assembly, who become heads of 1.8 Magistrates Courts exercise Ministries. On the administrative side, the jurisdiction as prescribed in the Permanent Secretary to the President is the Magistrates Act (CAP 04-04). There is head of the Civil Service, whilst the also an Industrial Court, which was administrative heads of Ministries are established in 1992, to settle trade disputes Permanent Secretaries. and to maintain good industrial relations. Some cases are heard by local chiefs and 1.11 There is also the Directorate of headmen, or their representatives, and Public Service Management (DPSM), decided upon in accordance with whose mandate is to develop human customary law. These customary courts resource strategies, policies and practices handle about 80.0 percent of cases in the that facilitate effective management of country, mainly because of their employment and employee capabilities accessibility, simple procedures and lower and relationships. A related institution to costs. DPSM is the Public Service Commission, whose main function is to attend to 1.9 The Constitution also provides for appeals relating to dismissals and a Judicial Service Commission. The surcharges of public officers. The Commission’s responsibility is the organisational chart of the Government of assessment and recommendation of Botswana is depicted in Chart 1.1. officers to be appointed for judicial posts.

2 Chart 1.1: The Botswana Government Organisational Chart

CONSTITUTION PRESIDENT JUDICIARY

EXECUTIVE

JUDICIAL LEGISLATURE SERVICE COMMISSION VICE PRESIDENT

COURT OF APPEAL NATIONAL ASSEMBLY CABINET

CABINET MINISTERS NTLO YA DIKGOSI HIGH COURTS (HOUSE OF CHIEFS) MINISTRIES

PUBLIC MAGISTRATES SERVICE COMMISSION PERMANENT SECRETARIES

CUSTOMARY COURTS MINISTRIES INDEPENDENT DEPARTMENTS Presidential Affairs, Auditor General Governance & Attorney General Public Botswana Defence Force Administration Botswana Police Service Finance & Directorate of Public Service Economic Management Development Ombudsman Infrastructure, & Directorate on Corruption & Housing Economic Crime Development Independent Electoral Health & Wellness Commission Basic Education Administration of Justice Tertiary Education, Directorate on Intelligence and Research, Science Security & Technology National Strategy Office Labour Productivity Government Implementation & Skills Coordination Office Development Transport & Communications Agricultural Development & Food Security Investment, Trade & LOCAL AUTHORITIES Industry International Affairs & Cooperation Environment, DISTRICT COUNCIL Natural Resources, TRIBAL ADMINSTRATION Conservation & Tourism Land Management, Water & Sanitation MAYORS /COUNCIL CHAIRPERSON Services CHIEFS/CUSTOMARY Local Government COURT PRESIDENTS and Rural Development Mineral Resources, CITY/TOWN CLERKS/SECRETARIES Green Technology & Energy Security Youth Source: Directorate of Public Service Management & Empowerment, Ministry of Finance & Economic Development Sport & Culture Development Defence, Justice and Security Nationality, Immigration & 3 Gender

3 1.12 Botswana is divided into 15 1.13 The Local Authorities are multi- administrative districts: 9 rural districts and 6 functional in nature, as they carry out delegated urban districts. These are administered by Local responsibilities from various sectors to achieve Authorities (District Councils, City and Town efficient service delivery through the Councils). The rural districts have sub-districts as decentralisation approach. Their mandates shown in Table 1.1. As regards governance, City include rural development; tribal administration; and Town Councils are headed at a political level community development; fire services; local by non-executive City /Town Mayors, whilst economic development; physical planning; District Councils are headed by Council development planning; development of primary Chairpersons. Administratively, a Town/City infrastructure; and provision of social services. Council is headed by a Town/City Clerk, whilst This arm of Government drives the national a District Council is headed by a Council aspiration to uplift the standard of living of the Secretary. The District Administration, which populace through strengthening of local decision represents Central Government, is headed by a making to ensure provision of quality services. District Commissioner, who reports to the Office of the President.

Table 1.1: District/City/Town Councils, Sub-Districts and Population District/City/Town Councils Sub-Districts Population Gaborone City Council N/A 231 592 Francistown City Council N/A 98 961 Lobatse Town Council N/A 29 007 Selibe-Phikwe N/A 49 411 Jwaneng Town Council N/A 18 008 Orapa NA 9 531 Sowa Township Authority N/A 3 598 Southern District Council Kanye, Goodhope, Moshupa and Mabutsane 197 767 South East District Ramotswa, and Tlokweng 85 014 Kweneng District Council Letlhakeng, Molepolole and Mogoditshane 304 549 Kgatleng District Council Mochudi 91 660 Central District Council Bobirwa, Boteti, Mahalapye, Serowe/Palapye, Tutume, 576 064 and Tonota North East District Council N/A 60 264 North West/Ngamiland District Maun and Okavango 152 284 Ghanzi Ghanzi and Charleshill 43 355 Kgalagadi Hukuntsi and Tshabong 50 492 Chobe District N/A 23 347 Sources: Ministry of Local Government and Rural Development and 2011 Population and Housing Census

4 GEOGRAPHY

Physical Features 1.14 Botswana is a landlocked country eastern parts of the country where arable farming covering an area of 582 000 square kilometres, is feasible on account of better and more with a population of 2 024 904 people according favourable climatic and soil conditions. In terms to the 2011 Population and Housing Census. of location, Botswana shares borders with Drought is a recurrent phenomenon, and most Zimbabwe, South Africa, Namibia and Zambia rivers are seasonal; hence, water is a very scarce (see Map 1.1). resource. The population is concentrated in the

Map 1.1: Location of Botswana in Southern Africa

Source: Department of Surveys and Mapping

5 Surface Hydrology Weather and Climate 1.15 All rivers in the country are seasonal, 1.16 The climate is semi-arid, with seasonal with the exception of the Okavango and rainfall from November to March. Due to the Linyanti/Chobe rivers in the northern part of the country’s location, rainfall is low, unreliable, country. These rivers have their sources outside unevenly distributed, and highly variable from the country, and as such, the utilisation of their year to year (see Map 1.2) and the seasonal waters is subject to the agreement of the other ranges of temperatures are high. The highest riparian states. There are six drainage basins or mean monthly temperatures range from between catchments, which assist in the design of water 32°C to 35°C, and are generally recorded in the resource projects such as dams. The basins differ months of October and January. The lowest in catchment areas and flow systems, with the monthly temperatures are between 1°C and 5°C, Okavango Delta basin being approximately 12 over the southern and eastern parts of the 000 square kilometres. The Makgadikgadi Pans country, and 5°C and 7°C in the northern parts of represent the inland drainage basins into which the country. some rivers, such as the Mosetse, Nata and Boteti, flow during the wet seasons.

Map 1.2: Annual Rainfall Distribution

Source: Department of Surveys and Mapping

6 Soil and Vegetation

1.17 Soil and vegetation varieties create plantations. Vegetation resources play an geographical differences in plant and animal life important role in livestock farming and wildlife due to climate. In terms of major soil groups, industries, thus contribute to the national about two thirds of the country is covered by economy and the wellbeing of its citizens. That sandy soils which are infertile. These are the red is why sustainable land use practices are and grey desert soils on the Kalahari Desert. necessary to avoid, amongst others, land Various types of vegetation cover much of the degradation, over-grazing, loss of biodiversity country. These include grassland, natural and the degradation of the environmental woodland, forestland, savannah types, bush land, resource base. aquatic (See Map 1.3) and man-made

Map 1.3: Vegetation of Botswana

Source: Department of Surveys and Mapping 7

7 Natural Resources Precisely, the Bamangwato Concession 1.18 Botswana is well endowed with Limited (BCL), the company that mined at mineral resources and these include Selebi-Phikwe and Tati was placed under diamonds, gold, copper, nickel, uranium, provisional liquidation in October 2016. iron and coal. The country also has large Other potentially exploitable copper numbers of wildlife which are found in resources are known to exist in different national parks, game reserves, and wildlife parts of the country. management areas which are outside the parks (see Map 1.4). High concentrations of 1.20 The Mupane gold mine is the only large game are found in the Chobe National one in the country, and it produces limited Park and the Okavango Delta. The Delta amounts of gold. Botswana coal reserves was declared the 1 000th UNESCO World are estimated at around 212 billion tonnes. Heritage Site in June, 2014. Places where substantial deposits exist include; Morupule, Mmamabula, 1.19 A lot of mineral exploration has Mmamantswe, Sese and Mabesekwa. The been undertaken in recent years, and much Morupule mine has been expanded in order continues to be discovered about to supply coal to the Morupule coal fired Botswana’s mineral resources. The thick power stations. Mining of coal is expected sand covering much of the country obscures to grow over the coming years to supply the underlying geology, although the power generation plants, whose power will eastern part of the country is relatively well be used locally and for export. The latter mapped geologically. Diamond mines at will however depend on the prices of coal Orapa, Letlhakane, Jwaneng, Lerala, and which are currently (2016) depressed. the “B/K pipes” near Orapa and Damtshaa continue to be the main source of revenue 1.21 There are also unlimited resources for the economy. Copper-nickel is mined at of salt and soda ash at Sua Pan, which are Toteng, Matsitama, Mowana, Tati and mined on a limited scale by Botswana Ash. Selebi-Phikwe. However, due to the slump The main constraint is the availability of in copper prices, operations at all these markets. places were frozen in 2015 and 2016.

8 Map 1.4: National Parks and Game Reserves

Source: Department of Surveys and Mapping Demographic Patterns

Main Population Characteristics 1.22 Population characteristics presented Population and Housing Census, whose in this section are based on the 2011 details are contained in Table 1.2

9 Table 1.2 Demographic Indicators: 1971 to 2011 Population Characteristics Census Census Census Census Census 1971 1981 1991 2001 2011 Enumerated Population 574 094 941 027 1 326 796 1 680 863 2 024 904 Male 262 121 443 104 634 400 813 583 989 128 Female 311 973 497 923 692 396 867 280 1 035 776 Non-Batswana 10 861 15 677 29 557 60 716 111 846 Botswana Nationals Abroad 45 735 42 069 38 606 28 210 23 032 of which: Male (000's) 36.7 32.6 27.9 16.8 11.8 of which: Female (000's) 9.1 9.4 10.7 11.4 11.2 Population Distribution (%) 0-4 17.6 18.8 14.6 11.6 11.7 5-14 29.9 28.8 28.6 25.0 20.9 15-64 46.9 47.6 51.8 58.2 62.4 15-49 39.4 40.8 45.5 52.0 54.6 65+ 5.6 5.1 4.9 5.0 5.0 Percentage of Females aged 15-49 42.8 42.9 46.5 52.4 54.4 (out of total females) Dependency Ratio (per 100) 113 110 93 72 60.2 Child-woman Ratio (per 1000) 759 819 602 430.1 421.2 Sex Ratio (Males per 100 Females) 84.0 89.0 92.0 93.8 95.5 Percentage Urban 9.0 17.7 45.7 54.2 64.1 Population Density (per km) 1.0 1.6 2.3 2.9 3.5 Birth, death and fertility rates Crude Birth Rate (per 1000) 45.3 47.7 39.3 28.9 25.7 Crude Death Rate (per 1000) 13.7 13.9 11.5 12.4 6.25 Natural Rate of Increase (% per annum) 3.1 3.4 2.7 1.7 1.9 General Fertility Rate (per 1000 women aged 15-49) 189 210 161 107 92.2 Mean age at childbearing 30.5 30.6 30.0 30.3 20 Total Fertility Rate (births per woman) 6.5 6.6 4.2 3.3 2.8 Infant Mortality Rate per 1000 97 71 48 56 17 Child Mortality Rate per 1000 56 35 16 19 11 Under 5 Mortality per 1000 152 105 63 74 28.1

Life Expectancy at Birth (years) 55.5 56.5 65.3 55.7 68.0 Males 52.5 52.3 63.3 52.0 66.0 Females 58.6 59.7 67.1 57.4 70.0 Mean Age (years) 23.4 22.7 23.0 24.8 26.2 Males 22.6 22.0 22.4 24.2 25.2 Females 24.1 23.4 23.5 25.3 26.8 Median Age (Years) 15.0 15.3 16.8 20.1 23.0 Males 13.5 15.0 16.0 19.4 22.0 Females 16.7 16.5 17.4 20.8 24.0 Source: Statistics Botswana, 1971, 1981, 2001 and 2011 Population and Housing Census.

10 1.23 Botswana’s population has Languages and Religion increased over the years, from 574 094 in 1.26 Setswana is the National Language, 1971 to 2 024 904 in 2011. The rapid while English is the official language used growth from 1971 to 1991 was the result of in business in most Government affairs. the country’s high birth rate and declining There are over 20 other languages which mortality rates, which were due to the are mostly spoken by the non-Setswana improved health of the population. speaking ethnic groups. Christianity is the However, since 1991, the rate of population main religion, and there are a number of growth has been declining, growing only by indigenous religions throughout the 2.4 percent per annum over the decade to country. 2001, and 1.9 percent to 2011. Membership of International

1.24 The contributory factors for the Organisations decline of the population growth rate 1.27 Botswana, as a member of the include HIV/AIDS, declining fertility rates, international community, has to work increased female participation in economic closely with other countries, international activities, increased literacy rates, and organisations and international financial access to better healthcare. Life expectancy institutions, with a view to advancing peace at birth, which had increased from 55.5 and stability, prosperity, democracy, human years in 1971 to 65.3 years in 1991, rights and good governance. To this end, decreased to 55.6 years in 2001 as a result the country is an active member of various of HIV/AIDS. It then rose to 68.0 years in international organisations such as the 2011 on account of the Government’s United Nations, the World Bank, the successful strategies of fighting the International Monetary Fund (IMF), the HIV/AIDS scourge, which included the African Development Bank (ADB), the universal provision of Anti-Retroviral World Trade Organisation (WTO), the drugs (ARVs). Total fertility rate, on the Commonwealth, the African, Caribbean other hand, declined from 6.5 in 1971 to 2.8 and Pacific Group, the African Union (AU) in 2011. The adult literacy rate increased and regional bodies, such as the Southern from 81.0 percent in 1981 to 88.7 percent in African Customs Union (SACU) and the 2014, while 84.0 percent of the population Southern African Development lived within 5 kilometres of a health facility Community (SADC). The Headquarters of in 2015. SADC are in Gaborone.

1.25 Despite the continuing decline in CONCLUSION the population growth rate and the total fertility rate, the population of Botswana 1.28 Botswana is a landlocked country will continue to grow for some years to situated in Southern Africa with a size of come, largely due to the built-in momentum 582 000sq km and population of 2 024 904 of growth arising from high fertility of the in 2011. The country’s climate is semi-arid past years and the youthfulness of the with varied and uneven rainfall, extreme population. The population aged below 15 temperatures, and forestland and savannah years was 32.6 percent in 2011, down from types. Botswana is also well endowed with 36.6 percent in 2001 and 43.2 percent in natural resources, especially diamonds, 1991. which have been the mainstay of the economy’s source of revenue for decades. 11 1.29 The country has a multi-party among people, institutions and companies. democracy, with a constitution that It also ensures that other arms of provides for three arms of Government, Government act according to the namely; Legislature, Executive and Constitution. This arm of Government Judiciary. Under the Legislature, there is a comprises of the Magistrate Court, High National Assembly made up of 63 elected Court and Court of Appeal. Members of Parliament and Ntlo ya Dikgosi. The latter is made up of 35 1.31 The third arm of Government is the traditional leaders who act as advisor to the Executive, headed by the President who Members of National Assembly. Ntlo ya presides over Cabinet and has authority to Dikgosi is responsible for making laws in select the vice President At the local level, the country. there are nine Districts) and six Town Councils are respectively headed by 1.30 The Judiciary, which is the second Council Chairpersons and Mayors on the arm of Government, acts independently and political side and Councils Secretaries and it is charged with the responsibility of Clerks, on administrative side. interpreting law and resolving disputes

12 CHAPTER 2

POPULATION AND DEVELOPMENT

INTRODUCTION

2.1 Botswana produced its first has evolved since 1997, with the Revised National Population Policy in 1997, three National Population Policy (RNPP) (3) years after the 1994 Cairo International objectives and targets, focusing on: Conference on Population and improving the general health of the Development (ICPD). The conference population alongside the fight against programme of action, amongst others, HIV/AIDS; up-scaling the quality of promoted individual choices including education, raising completion rates and sexual and reproductive health, and re- reducing school dropouts; tackling extreme affirmed the right of couples and poverty, income inequality and individuals to decide on the number and unemployment; managing growing timing of children to have during their life urbanisation and migration; and providing time. adequate and affordable quality housing and related services. 2.2 The goal of the 1997 policy of ‘Improved Quality of Life and Standard of 2.5 Botswana generally experienced Living of All People in Botswana’ was to be changes in fertility and reproductive health achieved through the reduction of over the years. Data from the Botswana population growth; lowering fertility, Family Health Surveys (BFHS) and morbidity and mortality; and balancing Population and Housing Censuses reflected population distribution. The policy was a rapid pattern of fertility decline since the therefore guided by the principle of 1990s, as well as the associated fertility balancing population growth and promote differentials. The RNPP therefore, calls for economic growth to improve service close monitoring of fertility decline in order delivery and reduce population pressure on to keep it above the replacement level. the fragile eco-system. Indications are that fertility also differs by age, with the number of teenagers giving 2.3 The National Population Policy was birth having declined over the years. This is reviewed in 2010 to take into account a good sign as teenagers face a high risk of changes in the demographics, the economy pregnancy complications, premature births and the institutional developments. In and unsafe abortions. particular, the policy managing population growth became outmoded in light of, 2.6 Furthermore, the policy seeks to amongst others, the decline in fertility. The ensure gender equality and equity in the goal of ‘Improved Quality of Life and socio-cultural, political, economic and legal Standard of living of all people in spheres; promoting the institution of Botswana’ was retained in 2010, with marriage and strengthening the role of the particular focus on improving the quality of family in providing protection and social life to correspond with the levels of Gross support. Domestic Product (GDP) by the 2030 target date.

2.4 The demographic and socioeconomic situation of the population 13 REVIEW OF THE IMPLEMENTATION OF THE POPULATION POLICY IN NDP 10

2.7 The determination of the success or 2.8 The target year for the achievement otherwise of achieving the policy’s of the various targets is 2030, unless objectives is measured using broad target otherwise stated. The review is based on the areas, namely: demographic targets; sexual achievement of targets as per Table 2.1, and reproductive health targets; progress achieved under the broad headings HIV/AIDS, malaria and TB targets; of Population Structure and Development housing targets; water and energy targets; Prospects, and Achievement of the food security targets; and other targets. Millennium Development Goals.

Table 2.1: Population Policy Targets and their Status at the End of NDP 10 Demographic Targets Status Increase life expectancy at birth for both sexes from 55.6 years in 2001 to at This target has been achieved, as the rate was 68 years in 2011. least 67.7 years by 2030. Males – 66 years. Females - 70 years. Reduce infant mortality from 46.5 in 2007 to less than 23 per 1000 live births This target has been achieved, as the rate was 17 in 2011. by 2020. Reduce under-five mortality from 68 per 1000 by 2007 to less than 29 per This target has been achieved, as the rate was 28.1 per 1000 in 2011. 1000 in 2020.

Reduce the crude death rate from 14.1 in 2007 to 9 per 1000 persons by 2020. This target has been achieved, as the rate was 6.25 per 1000 in 2011. Reduce maternal mortality to less than 50 per 100, 000 live births by 2030. The rate was 151.6 per 100 000 in 2014. More efforts are required to reduce this high rate. Monitor the pace of fertility decline and introduce appropriate measures to The total fertility rate was 2.8 children per woman in 2011. maintain the total fertility rate at 3 children per woman. Sexual and Reproductive Health Targets Maintain the current high percentage (99 percent) of births attended by trained 99.1 percent of births were attended by trained personnel in 2011. health personnel. Achieve full coverage of pregnant women attending antenatal care, with at least The coverage was 94 percent in 2007 (BFHS) 4 follow up visits. Half the current rate (12.5 percent) of protein energy malnutrition among under- The rate was 3.5 percent by 2013. five children by the 2016 and further by 2030. Achieve full immunisation coverage of new born babies and children, and The situation in 2015 was as follows: maintain full immunization to year 2030. Bacillus Camette Guerin, 89 percent; Oral Polio Vaccine, 85 percent; Measles 87 percent;

Hepatitis B, 87 percent; Pentavalent 91 percent; Pneumococcal 81 percent; Rota Virus, 80 percent; and Inactivated Polio Vaccine, 55 percent. Increase the contraceptive prevalence rate from 44 percent to 80 percent by The rate was 52 percent in 2011. 2030. HIV/AIDS, Malaria and TB Targets Reduce HIV national prevalence from 17.1 percent to 10 percent by 2016, and 18.5 percent in 2013 (BAIS IV): of which 20.8 percent was females, while further to 2 percent by 2025. 15.6 percent was males. Reduce HIV prevalence among youth aged 15 -24 years to 6 percent by 2016. 7.9% in 2013 Reduce TB incidence from 602 per 100 000 persons in 2005 to 202 per 100 000 The rate was 329 per 100 000 persons in 2012. by 2015.

Reduce HIV prevalence in adult incident TB cases from 70 in 2007 to 35 by TB & HIV co-infection rate was 63 percent in 2011. 2016, and further to 10 by 2020. Eliminate malaria in the country by 2015. Confirmed cases declined from 8 056 in 2000 to 193 in 2012 (97.6 percent decline). Reduce HIV/AIDS transmission from mother to child from the prevailing 40 Reduced from between 30-40 percent in the 1990s to only 3.3 percent in percent to 20 percent. 2012. Achieve 75 percent reduction of HIV prevalence among adolescents aged 15 to 10 percent was achieved for the 15-19 years in 2011, from 28.6 percent in 19 years, and reduce the under 2 percent prevalence amongst those aged 10 to 1999. 14 years.

Housing Targets Increase population access to quality housing to 90 percent by 2016. 86.9% in 2011

Ensure that not more than 5 percent of the houses are constructed of non- 10.4% in 2011 durable materials. Water and Energy Targets Increase access to safe drinking piped water from 86.9 percent in 2003 to 95 The rate was 97 percent in 2013. percent by 2009. Half by 2020 the percentage of households (46 percent) who use wood as the 41.1 percent of households used wood for cooking in 2011, down from 45.7 main source of fuel. percent in 2001. Reduce the rural households who use wood fuel for cooking from 81 percent 77 percent of rural households used wood fuel in 2011. in 2003 to 30 percent by 2020. Half by 2020 the number of households who use paraffin for lighting by 2020 30 percent of households used paraffin for lighting in 2011. (decline from 53.2 percent to 26.6 percent). Double by 2020 the access to electricity for lighting (26.8 percent in 2003 to 53 percent of households used electricity for lighting in 2011. 53.6 percent). Food Security Targets Reduce under nourishment from 32 percent in 2002-04 to 8 percent by 2016. 3.8 percent in 2014/15 Reduce the underweight children from 13 percent to 4 percent by 2016. The target has been met as the percentage of underweight children was 3.5 percent in 2013. Other Targets Reduce the number of people living under the poverty line by 50 percent; from Proportion of population below $1.25 per day reduced to 6.4 percent in 23.4 percent in 2007 to 11.8 percent in 2020. 2010. Eliminate gender based violence and children abuse by the year 2016. Not met. GBV at 67% Increase the means of sanitary disposal to 95 percent in urban areas and to 85 70 percent in Urban areas in 2011 percent in rural areas by the year 2016. 44 percent in Rural areas in 2011 Source: Revised National Population Policy -2010 and BIAS IV

POPULATION SITUATION AND DEVELOPMENT PROSPECTS

Population Size and Growth attributable partly to the Government’s 2.9 Botswana population increased successful strategies of fighting the from 1 680 863 in 2001 to 2 024 904 in HIV/AIDS scourge, including the universal 2011. The rate of growth between these provision of Anti-Retroviral drugs. census periods was 1.9 percent, lower than the 2.4 percent recorded between 1991 and Marital Status 2001. The decline is mainly attributable to: 2.12 According to the 2011 Population declining fertility associated with socio- and Housing Census, the institution of economic factors; increasing female marriage is declining in Botswana, as literacy and their participation in reflected in the percentage of married professional occupations; and successful persons. In 1991, the percentage of married family planning programmes. However, the males and females were 29 and 27.2, which population continues to grow in absolute then dropped to 17.1 and 17.9 in 2001, numbers in response to the population respectively. The proportion of married momentum attributed to past high fertility men increased slightly to 18.8 percent in rates and the youthful population structures. 2011, while the proportion of married females remained constant at 17.9 percent. Fertility The percentages of males and females never married were 51.7 and 46.5, 2.10 The total fertility rate (i.e., the respectively in 2001 and increased to 58.1 average number of children born to a and 53.4, respectively, in 2011. On the woman over her lifetime) declined from 3.3 other hand, the percentages of males and children per woman in 2001 to 2.8 in 2011, females cohabiting (staying together) thereby surpassing the population policy increased from 16.8 and 17.1 in 2001 to target of 3.4 by 2011. 20.6 and 20.8 in 2011, respectively.

Mortality Rates Population Age Structure and Momentum for Growth 2.11 Infant (under one year old) 2.13 Botswana has a relatively young mortality per 1000 live births decreased population, with 32.6 percent of the from 56 in 2001 to 17 in 2011, whilst the population aged below 15, while those 65 under-five mortality rate decreased from 74 years and older constituted 5.1 percent of per 1000 in 2001 to 28 per 1000 in 2011. the population in 2011, as indicated in The Crude Death Rate, (the number of Figure 2.1. Almost one-third (30.3 percent) deaths occurring among the population of the population was aged between 10-24 during a given year) has also declined years in 2011, while the median age of the drastically between the two inter-census population was 26 years, having increased periods from 12.4 per 1000 in 2001 to 6.25 from 23 years in 1991 and 24.8 years in per 1000 in 2011. The decrease in mortality 2001. While this demographic situation rates has had a positive impact on life presents an opportunity to accelerate socio- expectancy at birth, which increased from economic development, it also calls for 55.7 years in 2001 to 68 years in 2011. The measures to address youth issues, such as improvement in life expectancy is unemployment.

Figure 2.1: Population Sex and Age Structure (2011)

Source: Statistics Botswana

2.14 The proportion of the child Dividend, (i.e., economic benefit that arises dependents (0-14 years) declined and the from a significant increase in the ratio of old age dependents (65+ years) remained working-age adults relative to young relatively stable at an average rate of 5 dependents that results from rapid fertility percent between 1971 and 2011. However, decline if this change is accompanied by the economically active sub-population or sustained investments in education and the working age population (those aged 15- skills development, health, job creation and 64) grew from 46.9 percent in 2001 to 64.9 good governance), is open for Botswana. percent in 2011. Correspondingly, the Botswana needs to maintain the social dependency ratio (the ratio to those aged 0- infrastructural initiatives necessary to 14 and 65+ to those aged 15-64) has been extend the already existing favourable dropping to lessen the burden for the demographic transition, and explore this economically active population. The opportunity for potential economic dependency ratio declined from 113 in benefits. 1971, before declining further to 60.2 in 2011. 2.17 Deliberate and strategic investments and empowerment should be 2.15 However, the rate of job creation in on young people and women, as well as the economy has been sluggish, resulting in expanding the potential returns on high unemployment rate of around 20 education and health sectors. Botswana’s percent in 2013. According to the 2011 youthful population structure will remain Population and Housing Census, the for some decades to come. Sustained employment rates for the youth of both investment in young people would, sexes were as follows: 15- 19 years (10.36 therefore, be imperative in order to percent); 20-24 years (29.93 percent); and facilitate meaningful social and economic 25-29 years (24.76) percent. benefits at macro and micro levels, thus earning a demographic dividend. It is for 2.16 Consequently, having attained some this reason that the creation of substantial remarkable level of the demographic and sustainable job opportunities is one of transition (relatively low and falling the top priorities of this Plan. fertility and mortality trends) and with low dependency ratios, the window of opportunity to harness the Demographic 19

Migration, Population Distribution and However, in recent years, there has been an Urbanisation influx of migrants into the country for 2.18 An urban area is any locality with various economic and political reasons. 5,000 or more inhabitants, with at least 75 These immigrants, who can either be legal percent of its workforce engaged in non- or illegal, pose some security risks and can agricultural activities. The proportion of the be a source of problems, such as increased population living in urban areas grew from crime, terrorism activities, labour market 45.7 percent in 1991 to 54.2 percent in 2001 saturation and increased competition with and 64.1 percent in 2011. As a result of this the local populace for social amenities. This growth, the country has to deploy resources can create conflict with the local populace, to confront urbanisation challenges, such which could lead to social discord and as: pollution and traffic congestion; high instability. To address this migration unemployment rates, especially amongst challenge, Government will work with the youth; increased rates of various crimes; relevant stakeholders to develop a high cost of living; pressure on basic comprehensive migration policy during services such as water and sanitation; NDP 11 to deal with this issue before it inadequate housing; and shortage of degenerates into a more complex situation. serviced land. Despite these challenges, well planned and developed major villages, Population and Water Resources towns and cities offer the citizenry a 2.21 During NDP 10, severe water number of advantages which include: better shortages and droughts were experienced employment opportunities and high paying throughout the country. As a result, the jobs; access to high quality health, Gaborone Dam dried up, and water education and leisure facilities; use of restrictions were imposed. Although the modern transport and communications Dikgatlhong Dam was completed, the water systems; and proximity to a whole range of could not be transferred to the greater services. Gaborone area because the North South Carrier II pipeline had not been constructed, 2.19 Although regional planning was due to financial constraints. This pipeline is introduced through the National Settlement now expected to be completed during the Policy (NSP), development activities first half of NDP 11. The policy of continue to put pressure on the combining the use of groundwater and environment, which manifests in land surface water will be continued, and there degradation, land use conflicts, loss of will also be a push for the implementation biodiversity, pollution and unsustainable of waste-water re-cycling and use. extraction of natural resources. It is therefore imperative that the regional 2.22 As part of efforts to address the planning approach is maintained and the scarcity of water, Government will legal authority that has been provided by implement an Integrated Water and Energy the revised Town and Country Planning Act Resource Management (IWERM) strategy, is used to ensure that regional plans guide which promotes efficient and optimal planning and development of human utilisation of energy and water resources. settlements within their regions. One of the IWERM entails, amongst others: efficiency expected benefits is reduced migration from in the allocation of water and energy rural to urban areas. supply; conservation and demand management; and utilisation of 2.20 The country has benefitted from alternative/renewable sources. immigrants over the years who worked for: the Government; the private sector; NGOs; and those who ran their own businesses. 20

Health referral to private hospitals and 2.23 Major strides were made towards improved access to specialist services the achievement of health-related MDGs at local health facilities. during NDP 10, as reflected in the section on the progress towards achieving the Population and Employment MDGs. Other noteworthy achievements 2.24 The growth of employment from the include the following: beginning of NDP 10 in 2009 up to 2015 Policies and strategies for disease was sluggish. Available data show that total prevention and clinical excellence formal employment figures (excluding were developed and implemented, Ipelegeng) increased from 317 827 in 2009 including the National Health Policy, to 341 115 in 2015, representing a growth Integrated Health Service Plan and rate of 1.2 percent per annum. As a result of Essential Health Service Package, the slow growth of employment National Strategic Plan towards opportunities, the unemployment rate is Accelerated Child Survival and currently estimated at around 20 percent, Development, and Maternal Health, and the youth and women are the most among others; affected. According to the 2011 Population Growth in the national interest on and Housing Census, the employment rates addressing social determinants of for the youth of both sexes were as follows: health and strengthening the policies, 15-19 years (10.36 percent); 20-24 years products and services aimed at disease (29.93 percent); and 25-29 years (24.76 prevention and wellbeing, such as percent). The Government has put in place increased uptake of sports and physical youth empowerment programmes in an activity/wellness programmes and effort to address youth unemployment and combating alcohol and substance these include the Youth Development abuse; Fund, the National Service Programme, and Integration of health services in the Internship Programme. In terms of priority areas and community-based progress, close to 4 000 businesses that health care, particularly on palliative were financed by the Youth Development care, maternal and child health, Fund from the beginning of NDP 10 up to rehabilitation services and mental 2015/2016 were operational and 4 500 health, were started; interns were offered permanent New prevention strategies, notably the employment during the same period. These introduction of safe male circumcision programmes will be continued and and a decrease of the CD4 cell count to strengthened during NDP 11. 350 for treatment initiation were introduced; 2.25 In order to effectively deal with the More than 85 percent availability of high unemployment rate, Government will, vital and essential medical supplies at inter alia, continue to put in place measures health facilities (hospitals and clinics), aimed at improving the investment climate thus improving access to affordable for both local and foreign investors. This quality health services; will facilitate the fast growth of the private Improvement of the quality of sector, which, in turn, is expected to result laboratory services through in the creation of sustainable jobs. accreditation by International Quality Assurance Organisations; and Population and Poverty Introduction of specialist clinical 2.26 According to the Botswana Core services at district and referral Welfare Indicators Survey (2009/2010), the hospitals which reduced the costs of proportion of individuals who were living below Botswana’s Poverty Datum Line 21

(PDL) decreased from 30.6 percent in development, with more than 25 percent of 2002/2003 to 19.3 percent in 2009/2010. the total government’s annual budgets The proportion of those living in abject being allocated to the education sector over poverty or below US$1.25 per day the past two decades. These investments decreased from 23.4 percent in 2002/2003 were made in order to, amongst others, to 6.4 percent during the same period. improve the human capital development in Whilst these statistics show good progress, the country; achieve sustainable these levels are still relatively high, and improvements in the quality of education; they need to be reduced substantially. increase the pool of skills in areas that have been identified as critical to improve the 2.27 The Government took a bold policy performance of the economy; and to ensure decision during NDP 10 to shift from that all population groups in the country poverty reduction to poverty eradication. benefit from an inclusive education and To this end, an Eradication Programme training system. was developed, aimed at improving the livelihoods of Batswana by addressing all 2.30 A lot of progress has been achieved aspects of poverty, including; the policy in terms of output indicators, such as rising environment, the institutional framework, primary and secondary enrolments, as and the establishment of sustainable reflected in the statistics in the section economic empowerment projects. The below under the MDGs. Despite this Programme is expected to assist in the progress, there are still a number of attainment of food and economic security, challenges that need to be addressed. The and sustainable livelihoods amongst World Bank’s Botswana Poverty disadvantaged individuals and/or families. Assessment Report has identified three challenges: inequities in educational 2.28 The central thrust of Botswana’s outcomes; variable enrolment rates, as well overall strategy for eradication of poverty as relatively low quality in tertiary during NDP 11 and beyond will be to education; and inefficiency in the use of provide opportunities for the poor to have resources allocated to education. In order to sustainable livelihoods. This will be get value for the substantial resources that achieved by expanding employment are spent on education and training, NDP opportunities on the one hand, and 11 will have to address these challenges and strengthening human development of the others that have been identified in the poor on the other. In order to generate Education and Training Sector Strategic opportunities for the poor to be able to help Plan. themselves through their own efforts, there will be accelerated job creation through PROGRESS TOWARDS THE economic diversification and broad based ACHIEVEMENT OF MILLENNIUM growth. In addition, concerted efforts will DEVELOPMENT GOALS (MDGS) be made to improve health and education, and to enhance skills development. The 2.31 In 2000, 189 countries, including strategy for the eradication of poverty will Botswana, signed the Millennium be harmonised with the broader strategies Declaration. It committed governments to of economic growth and employment achieve eight development goals by 2015. creation in order to enhance its These were: eradicating extreme poverty effectiveness. and hunger; achieving universal primary

education; promoting gender equality and Population and Education empowering women; reducing child

2.29 The country has invested mortality; improving maternal health; significantly in education and skills 22 combating HIV/AIDS, malaria and other programmes as well as processes, is diseases; ensuring environmental increasingly being recognised as a vital sustainability; and developing global development planning approach. NDP 11 partnerships for development. Progress provides an opportunity for all sectors to made towards achieving the MDGs as at the articulate gender issues that they will end of NDP 10 is as reported in Table 2.2. address in the execution of their respective The Government of Botswana made the mandates, as well as identify key indicators goals part of the national agenda to alleviate of performance and provide regular updates extreme poverty and its related socio- on gender issues. economic problems. 2.35 There is evidence of continued Eradicate Extreme Poverty and Hunger improvement on several measures of 2.32 This objective of eradicating gender equality and female empowerment. absolute poverty has almost been achieved In 2011, women constituted 33.8 percent of as the proportion of individuals living in managers/administrators. Furthermore, Net abject poverty or below $1.25 per day Enrolment Rates (NERs) are higher for decreased from 24.5 percent in 2002/2003 females than males at both the primary and to 6.4 percent in 2009/2010. This drop of secondary levels. In 2014, adult literacy abject poverty by 73.9 percent means that rates (age group 15 to 60) were 89.6 percent Botswana has surpassed the Millennium for females and 87.5 percent for males. In Development Goal of reducing extreme 2011, females constituted 43.3 percent of poverty by half in 2015. Furthermore, the the employed, whilst males stood at 56.7 proportion of people below national percent. poverty datum line of $1.25 declined from 30.6 percent to 19.3 percent during the 2.36 During NDP 11, gender analysis same period. The prevalence of and gender equality centred planning will underweight children under five years of be promoted to inform gender-responsive age declined from 7.1 per 1000 in 2003 to and rights-based policies. This will 4.6 per 1000 in 2011. facilitate, amongst others, fairness of treatment, including in the distribution of Universal Primary Education development resources and opportunities 2.33 The Primary School Net Enrolment between women and men. Implementation Rate increased from 89 percent in 2009 to of gender mainstreaming as a strategy for 93.2 percent in 2014. Achieving 100 sustainable development will be intensified percent is not likely since education is not across sectors to ensure equal and compulsory. This was, however, below the meaningful opportunities for women and NDP 10 target of 97 percent. The dropout men to participate in and benefit from rate at primary school level decreased from socio-economic, cultural and political 1.0 percent in 2009/2010 to 0.6 percent in development initiatives of the country. 2012/2013, compared to the 0.7 percent target for that period. Reduction of Infant and Child Mortality 2.37 Infant mortality rate reduced from Promotion of Gender Equality and the 56 per 1 000 in 2007 to 17 per 1 000 in Empowerment of Women 2011, under five mortality rate decreased 2.34 Equal access and opportunity for from 76 per 1 000 in 2001 to 28 per 1 000 women and men is cardinal to the in the same period. On the other hand, the development process in all aspects of proportion of 1 year old children development and in all spheres of life. immunised against measles increased from Mainstreaming a gender perspective into all 90 percent to 94.5 percent in 2011. development initiatives, including policies, 23

Improvement of Maternal Mortality in urban settlements which are rapidly Rates growing, intensifying the demand for the 2.38 The maternal mortality rate per 100 goods and services and resultant pollution. 000 live births declined from 188.9 in 2011 Botswana’s environmental assets will be to 151.6 in 2014. Despite this reduction, crucial to the future social and economic this figure is very high compared to other development of the country. There is need middle income countries, and also taking to strengthen the environmental dimension into account the substantial resources that of development through institutional are allocated to the health sector. More strengthening, research and development to concerted efforts will be made in order to also establish the differential impact of reduce it substantially during NDP 11. climate change. In order to address these challenges, four strategies have been Combatting HIV/AIDS, Malaria and identified in Sustainable Environment Other Diseases Thematic Chapter for implementation 2.39 HIV incidence rate was reduced during NDP 11 namely: sustainable from 1.45 percent in 2008 (BAIS III) to management and use of natural and cultural 1.35 percent in 2013 (BAIS IV). On the resources; climate change mitigation and other hand, BIAS IV estimated an adaptation; integrated planning for HIV/AIDS national prevalence of 18.5 sustainable human settlements; and a percent compared to 17.6 percent registered healthy environment for a healthy during BIAS III. It should be noted that population. more than 94 percent of those in need of Anti-Retroviral Therapy (ARVs) are on Develop Global Partnership for treatment. Despite the progress achieved to- Development. date, a lot still needs to be done to reduce 2.41 Government, in partnership with the the socio-economic effects of HIV/AIDS private sector, has put in place the requisite and strengthen gender responsive infrastructure in order to open export routes prevention of HIV. TB notification rate per to the seas. For example, there are plans to 100 000 population has declined from 511 transport coal and other bulk commodities in 2006 to 329 in 2012. Confirmed malaria to outside markets in Asia and Europe cases dropped from 8 056 to 193 cases, through the proposed Trans-Kalahari representing a 97.6 percent decline during Railway that will provide a link to the same period. Namibian ports and the other railway to Mozambican ports. The input of other Ensure Environmental Sustainability countries can be through investing in the 2.40 Per capita consumption of resources projects or facilitating transit rights. increased over time as people became more Furthermore, Botswana continues to benefit affluent. This, in turn, put pressure on the from reductions in the prices of essential environment. For instance, forest area drugs, and programmes aimed at fighting (percentage of total land) has decreased the HIV/AIDS scourge. These are from 24.0 percent in 1990 to 19.1 percent in supported by, amongst others, the Bill and 2011. GDP per unit energy use (constant Melinda Gates Foundation and the United 2005 Purchasing Power Parity, US dollar States President’s Emergency Plan for per kg of oil equivalent) increased from 7.3 AIDS Relief. percent in 1990 to 11.7 percent in 2007. In addition, the development challenges 2.42 Over the years, the Government imposed by the likely impacts of climate also invested heavily in the development of change also compound the issues. These ICT backbone infrastructure, such as issues are experienced in rural areas where connection to the East and West Africa most of the resources are located and also Cable Systems and the rollout of fibre-optic 24 cables across the country. This facilitated and priorities. This is a departure from the the development of e-Services, Broadband MDGs, which mainly focused on connectivity, as well as implementation of developing countries. e-Government projects. Equitable and affordable access to broadband 2.44 The transition from the MDGs to connectivity and services fuels creativity the SDGs is timely for Botswana as it and enables innovation among businesses coincides with the processes of preparing and individuals. Broadband connects key national development frameworks, businesses, individuals and communities, namely; the National Development Plan 11 giving them the ability to harness resources and the National Vision 2036. Therefore, a and capabilities across geographic areas. unique opportunity arises for Botswana to align its medium to long-term national SUSTAINABLE DEVELOPMENT goals and priorities to those of the SDGs. GOALS Future NDPs will incrementally need to continue the effort. 2.43 Botswana is a signatory of the new global framework, termed “the 2030 2.45 Table 2.2 compares the SDGs with Agenda for Sustainable Development,” the National Development Plan 11 and adopted by the UN member States in Vision 2036 priorities as the basis for September 2015. The newly conceived mainstreaming the SDGs. For the SDGs to seventeen (17) Sustainable Development be realised, the projects to deliver Goals (SDGs) and 169 targets are geared Botswana’s new Vision and the national towards addressing the unfinished business priorities set out in NDP 11 will be of the MDGs. The new goals are much designed in a way which delivers the targets broader in scope as they seek to ‘leave no under each goal to the extent possible. one behind.’ The new agenda still perceives Once, the Key Performance Indicators poverty eradication as its overarching goal (KPIs) of Vision 2036 are available, they captured through the five “Ps” of; People, will be compared against the SDGs. The Planet, Prosperity, Peace, and impetus will be to help build national Partnership, which in essence represent resilience through greater employment and an integration of economic, social and livelihoods, more equitable access to environmental dimensions of sustainable resources, better protection against development. These SDGs are action economic and environmental shocks, and a oriented, global in nature and universally much stronger ability to prepare for, and applicable and take into account different deal with the consequences of natural national realities, capacities and levels of disasters, especially as they are exacerbated development and respect national policies by climate change.

Table 2.2: Comparison of SDGs, NDP 11 and Vision 2036 Framework Priorities SUSTAINABLE VISION 2036 PILLARS NDP 11 PRIORITIES DEVELOPMENT GOALS Goal 1 End poverty in all its Sustainable Economic Developing Diversified forms Development Sources of Economic Growth

Human and Social Social development Development Goal 7 Ensure access to Sustainable Economic Developing Diversified affordable, Development Sources of Economic Growth reliable, sustainable, and modern energy for all Human Capital Development Goal 8 Ensure access to Sustainable Economic Developing Diversified affordable, reliable, Development Sources of Economic Growth sustainable economic growth, full and productive employment and decent work Human Capital Development for all Goal 9 Build resilient Sustainable Economic Developing Diversified infrastructure, promote inclusive Development Sources of Economic Growth and sustainable industrialisation and foster innovation Human Capital Development

Goal 10 Reduce inequality Sustainable Economic Developing Diversified within and among countries Development Sources of Economic Growth

Human Capital Development Goal 11 Make cities and Sustainable Economic Developing Diversified human settlements inclusive, Development Sources of Economic Growth safe, resilient and sustainable Human Capital Development Goal 2 End hunger, achieve Human and Social food security and improved Development nutrition and promote Social development sustainable agriculture Goal 3 Ensure healthy lives and Human and Social promote Development Social development well-being for all

Goal 4 Ensure inclusive and Human and Social equitable quality education and Development Social development promote lifelong learning opportunities for all Human Capital Development Goal 5 Achieve gender equality Human and Social Social development and empower all women Development and girls Human Capital Development Goal 6 Ensure availability and Human and Social Social development sustainable management of Development water and sanitation for all Goal 12 Ensure sustainable Human and Social Social development consumption Development and production patterns Goal 13 Take urgent action to Sustainable Environment Sustainable Use of Natural combat climate Resources change and its impacts Goal 14 Conserve and Sustainable Environment Sustainable Use of Natural sustainably use the oceans, seas, Resources and marine resources for sustainable development Goal 15 Protect, restore and Sustainable Environment Sustainable Use of Natural promote sustainable Resources use of terrestrial ecosystems, sustainably manage forests, combat desertification, and halt land degradation and halt biodiversity loss Goal 16 Promote peaceful and Governance, Peace and Consolidation of Good inclusive societies Security Governance and for sustainable development, Strengthening of National provide access to justice for all, Security and build effective, accountable and inclusive institutions at all levels Goal 17 Strengthen the means of implementation Implementation of an effective and revitalise the global monitoring and evaluation partnership for system sustainable development Source: United Nations Sustainable Development Goals- 2015, and Vision 2036

CONCLUSION

2.46 The implementation of the Revised expand employment opportunities through National Population Policy will end in 2030, thus economic diversification and broad based covering the period up to the beginning of NDP growth; strengthen human development of the 13. Therefore, the strategies that are detailed in poor through investments in health and the Policy will continue to be implemented education; and to enhance their skills during NDP 11. development.

2.47 The total fertility rate declined from 3.3 2.51 The country’s age structure has changed children per woman in 2001 to 2.8 in 2011. The over time resulting in the decline of the national latter rate is lower than the estimated replacement dependency ratio. This change provides level of 3 children per woman. As a result of the opportunities and challenges which necessitate lower fertility rate, it is necessary to focus on relevant policy solutions. For instance, the rising maintaining fertility at a level above the share of the working age population provides an population replacement level. opportunity for increased production, thus economic development. On the other hand, the 2.48 Significant progress has been made in declines in the proportion of children (0-14 the achievement of the MDGs, especially the years) lead to falling dependency ratio. This health related ones. The main exception is the scenario provides the country with a window of maternal mortality rate, which is still quite high opportunity to achieve and/or harness the as it stood at 151.6 per 100 000 in 2014. By way demographic dividend; but, in turn, this requires of comparison, the NDP 10 target was 46 per 100 relevant responsive measures in the form of 000. Despite the progress made, more still needs policies. to be done to reduce the effects of HIV/AIDS. 2.52 Botswana made progress in the 2.49 As a result of the slow growth of implementation of the MDGs, with an impressive employment opportunities over the years, the 9 out of 12 targets achieved. The unfinished unemployment rate is high at around 20 percent, business of the MDGs will be tackled as part of the and the youth and women are the most affected. In implementation of the SDGs. The transition from order to effectively deal with this problem, a the MDGs to the SDGs is timely for Botswana as number of measures will be used which include; these were adopted when the country was improving the investment climate for both local developing her development frameworks, namely; and foreign investors; developing and the National Development Plan 11 and the implementing an employment strategy with clear National Vision 2036. goals and targets to address labour-absorptive capacity and skills requirements of the economy; and putting in place measures to improve productivity across the economy.

2.50 Whilst the statistics on poverty show that appreciable progress has been realised, the poverty levels are still unacceptably high, and they need to be addressed aggressively. To this end, the central thrust of Botswana’s overall strategy for eradication of extreme poverty during NDP 11 will be to provide opportunities for the poor to have sustainable livelihoods; 28

CHAPTER 3

REVIEW OF ECONOMIC PERFORMANCE DURING NDP 10

INTRODUCTION 3.1 While the Botswana economy NDP 10. The strategy for NDP 10, initially experienced impressive economic therefore, centred on reducing the growth, its growth rates now seem to be economy’s heavy dependence on waning. For the period 1975/1976- Government spending, which is itself 1995/1996, the GDP rate of growth heavily dependent on diamond revenues. averaged 9.2 percent in real terms and for the period up to 2007/2008, it averaged 8.7 3.4 NDP 10’s main objective was to percent. However, the economy only grew promote inclusive growth and build at 3.5 percent in constant prices during economic resilience through economic NDP 7, which later rebounded to 7.1 diversification, and employment creation. percent during NDP 8. It later fell to 3.3 The private sector was to be the main percent during NDP 9. NDP 10 sets its GDP vehicle through which these objectives growth rate target at 3.1 percent. These would be achieved. As a landlocked trends suggest that the economy’s growth economy, with limited human skills, the rates have significantly decreased over Plan sought to achieve economic growth time. through the production of low-transport- intensive export merchandise and less-skill- 3.2 In view of the major changes that intensive export services. This section, were expected to occur in the diamond therefore, seeks to establish the extent to sector, NDP 10’s main objective was to which this stated strategy, and the general reduce the role of Government expenditure NDP 10 economic objectives were in the growth of the economy and to make achieved. the private sector the main source of growth. That way, the ratio of Government Gross Domestic Product (GDP) Growth spending to GDP was expected to decrease, Rates and the private sector contribution to GDP 3.5 It should be noted that NDP 10 was expected to increase. This chapter, macroeconomic projections were up to therefore, reviews the extent to which these March 2016, while the review period objectives, among others, have been actually runs up to March 2017. This means achieved during NDP 10 implementation. that, while policy inferences can be made

for the period April 2016 to March 2017, no specific targets are available for the period ECONOMIC PERFORMANCE as they are not stated in the NDP 10 blue DURING NDP 10 print. For that reason, most of the data for analysis was only done up to March 2016, NDP 10 Economic Growth Strategic with policy inferences extended to March Thrust 2017. 3.3 The envisaged decrease in diamond mining profitability underpinned by the 3.6 Economic growth targets were set possibility of more expensive underground for NDP 10 (Table 3.1), and the mining and an overall decline in diamond achievement or non-achievement of these production, informed the strategic thrust of targets guided the NDP 11 strategies.

Suffice to note that, NDP 10 was drawn up growth were better than projected. The at the onset of the global financial and average actual growth rate for the period up economic crisis of 2008/2009 and this, to a to 2014/2015 is 4.9 percent compared to 3.4 great extent, influenced the Plan’s GDP percent as per the NDP 10 projections. The projections. average growth for the entire Plan period, which includes projected growth rate for 3.7 Table 3.1 shows that, for the first 2015/2016 is 3.9 percent against the 3.3 two years of the Plan, the actual rates of percent for the NDP 10.

Table 3.1: NDP 10 Targets and Actual GDP Growth Rates (%) Average Average up to up to Year 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2014/15 2015/16 NDP 10 Target -16.5 3.2 9.7 11.1 5.1 7.9 2.6 3.4 3.3 growth (%)

Actual growth -3.0 7.3 6.3 5.2 9.6 4.0 -2.0 4.9 3.9 (%)

Source: NDP 10 and MFED Actuals & Projections 3.8 From these averages, it may be contract by 16.5 percent in the first year of concluded that, overall, the economy the Plan, on account of the global financial performed better than what was projected and economic crisis. In the event, it for NDP 10. However, it should be noted contracted moderately, resulting in better that the NDP 10 projected average growth than expected overall economic rate was heavily influenced by the initial performance over the Plan period. assumption that the economy was going to

Table 3.2: Three Year Moving Averages for Real GDP Growth Rates (%) NDP 10 Growth Rates Targets Actual Growth rates

2009/10 – 2011/12 -1.2 3.6 2010 /11 - 2012/13 8.0 6.3 2011/12 – 2013/14 8.6 6.5 2012/13 – 2014/15 8.0 5.9 Plan (moving) Average 5.9 5.6 Source: NDP 10 and MFED Actuals & Projections

3.9 In Table 3.2, a three-year-moving growth rates. The projected average for the average approach was used to remove the Plan was 5.9 percent, while the actual three heavy effect of the 2009/2010 projected year moving average is 5.6 percent. Using growth rate figure (-16.5 percent). With this this approach, the actual economic growth modification, for all years, save for during NDP 10 was more or less the same 2009/2010, the actual growth rates become as the projected average growth rate. much lower than the projected NDP 10 However, this was still lower than the 30

Vision 2016 compounded average target 3.11 GDP data shows that GDE is mainly growth rate of 7.5 percent. A full dominated by Household Final understanding of why the economy under- Consumption Expenditure. During the Plan performed its annual NDP 10 targets period, this component of GDP contributed immensely benefited the crafting of the 48.5 percent of GDE, on average. Gross growth strategies for NDP 11. An analysis Fixed Capital Formation (GFCF) is the of the sectoral performance during NDP 10 second dominant component of GDE, with further guides the design of strategies in an average contribution of 31.7 percent, order to enhance their performance during during the same period. Government Final NDP 11. Consumption expenditure comes third with an average of 18.1 percent contribution. A 3.10 To understand the causes of growth, review of how each one of these GDP was unpacked to establish how its components grew during the Plan period different components behaved during NDP follows below. 10 implementation. GDP can be split into Gross Domestic Expenditure (GDE) and 3.12 Figure 3.1 shows subdued growth the External Balance. GDE constitutes in Household Final Consumption household final consumption, Government Expenditure, with the trend line actually final consumption, changes in inventories capturing a declining growth of this and gross fixed capital formation (GFCF). component. Clearly, as the dominant The external balance is simply total exports component of GDE, the decrease in minus imports. A review of how these three Household Final Consumption Expenditure components individually behaved during growth significantly contributed to the low NDP 10 implementation assisted in economic growth that occurred during the identifying the causes of the slow growth. Plan period.

Figure 3.1: Household Final Consumption Real Growth Rates, 2009-2015 12.0

10.0

8.0

6.0 HFC

4.0 Linear (HFC) % growth rate 2.0

0.0 2009 2010 2011 2012 2013 2014 2015 -2.0 Source: Statistics Botswana, National Accounts, 2016

3.13 While Gross Fixed Capital the completion of some major NDP 9 Formation trended upwards by growing at a infrastructure projects, such as the rate above 9.0 percent in the first four years construction of the three major dams of the Plan, it declined drastically to 2.0 (Lotsane, Thune and Dikgatlhong). The percent in 2013 and 1.5 percent in 2014 completion of these projects resulted in a (Figure 3.2). This decline coincided with

31 decrease of machinery and equipment and up to 2011. In 2013, the Government Final transport related expenditures. Consumption Expenditure growth rate decreased to 14.4 percent, and by 2014, the 3.14 Government Final Consumption economy actually experienced an absolute Expenditure displayed an upward trend increase in real terms from P16.2 billion to during the first three years of the Plan, P17.9 billion, which was about 2.5 percent. averaging around 4 percent, for the period

Figure 3.2: Gross Fixed Capital Formation Growth Rates, 2009-2015 16.0

14.0

12.0

10.0

8.0 GFCF Linear (GFCF) 6.0 % growth rate 4.0

2.0

0.0 2009 2010 2011 2012 2013 2014 2015 Source: Statistics Botswana, National Accounts, 2016

3.15 Overall, Figure 3.3 shows that Expenditure has generally trended upwards Government Final Consumption during NDP 10.

Figure 3.3: Government Final Consumption Growth Rates, 2009-2015 16.0 14.0 12.0 10.0 8.0 GFC 6.0 Linear (GFC)

% growth rate 4.0 2.0 0.0 2009 2010 2011 2012 2013 2014 2015

Source: Statistics Botswana, National Accounts, 2016

3.16 In summary, the decreasing growth economy. Furthermore, the decline that rate of Household Final Consumption occurred in Gross Fixed Capital Formation Expenditure, during the period up to 2014, also contributed to the low GDP growth had a dampening effect on the growth of the rates experienced during NDP 10.

3.17 Figure 3.4 shows the net exports of 2014, the net export balance was position during NDP 10; with the exception negative during the Plan period. 32

Figure 3.4: Net Merchandise Exports 2008-2015

100 000 10 000 80 000 5 000 60 000 40 000 0 20 000 0 -5 000 -20 000 -10 000 -40 000 -60 000 -15 000 -80 000 -100 000 -20 000 2008 2009 2010 2011 2012 2013 2014 2015

Exports Imports Net Merchandise Exports (RHS)

Source: Botswana Financial Statistics, Bank of Botswana, December - 2016 3.18 Identifying the causes of these of the external balance originates solely negative net exports assisted the from the merchandise account and not from formulation of NDP 11 strategies for the service account. Furthermore, the net economic growth. A solution to an external merchandise exports are negative as a result balance deficit caused by a collapse in of a rapid increase in merchandise imports, exports would be different from one caused than a decrease in merchandise exports. The by a sharp increase in imports. Similarly, a growth in both merchandise exports and solution to a deficit emanating from the imports increased, but with that of imports merchandise accounts would be different increasing faster than exports. from one caused by the services external account. 3.20 It can be concluded from the foregoing analysis that, to address 3.19 Figure 3.5 shows that the trade economic growth problems arising from the balance was negative for the period up to external balance part of the economy, 2013, while net service exports were particular attention must be paid to the positive during the same period. It can, growth of merchandise exports, while thus, be concluded that the deficit position managing that of imports.

Figure 3.5: Net Merchandise Exports and Net Services Exports (P million), 2008-2015 10000

5000

0 2008 2009 2010 2011 2012 2013 2014 2015 -5000

-10000

-15000

-20000

Net Merchandise Exports Net Services Exports

Source: Botswana Financial Statistics, Bank of Botswana, December - 2016

3.21 A situation where high negative net This might have been the case during NDP export levels were associated with low 10. It is generally expected that increased economic growth during NDP 10 has a imports of capital goods into high quality number of policy implications for NDP 11. investment projects should generate more A high import bill on consumer goods economic growth. In order to achieve suggests, amongst others, that the economic growth from imported inputs, Economic Diversification Drive (EDD) only projects with high social and economic programme and its associated import benefits derived from these imports will be substitution efforts did not significantly selected for implementation. reduce the import bill, particularly on consumer goods during NDP 10. The high 3.23 The effect of the diamond import bill of consumer goods would aggregation process and the diamond further suggest the existence of scope for beneficiation programme on import figures generating economic growth and could be another cause for high employment creation through efficiency merchandise import figures. If most of the based import substitution during NDP 11. diamonds that are used for beneficiation are mainly imported, the merchandise import 3.22 Imports are not necessarily bad for bill will naturally increase. The relationship economic growth, especially when they are between the beneficiated export diamonds used as inputs into mega investment and diamond aggregation figures might also projects. Imported capital inputs can, provide an explanation for the negative net however, be associated with low economic exports. This is an issue that will be sorted growth, if they are used in low quality out in NDP 11. projects and/or are inefficiently executed.

A Review of Sectoral Growth Rates 3.24 An analysis of how different sectors emerging from Table 3.3 shows the critical of the economy have contributed or caused role that the non-mining sectors have the slow growth in GDP has assisted in the played in the economy during NDP 10. drawing up of NDP 11 strategies. Table 3.3 shows that the average GDP growth rate for 3.26 When the Mining sector contracted the entire Plan period (including one year by 25.0 percent in 2009/2010 (Table 3.3), extension), will be 3.9 percent per annum. the Non-Mining sectors cushioned this diverse effect, resulting in the contraction 3.25 The mining sector will experience of the whole economy by only 3.0 percent. an average decrease of 3.5 percent for the Performance of the Non-Mining sectors entire period, while the Government sector during NDP 10 underscores the importance will have grown at an average of 4.1 percent of economic diversification and the by the end of NDP 10. On the other hand, importance of growing and strengthening the Non-Mining sectors will have grown the private sector. faster than both the Mining and General Government sectors at an average of 5.6 percent for the Plan period. The picture

Table 3.3: GDP Growth Rates by Major Sectors (%) 2009/ 2010/ 2011/ 2012/ 2013/ 2014/ 2015/ 2016 Average 10 11 12 13 14 15 16 /17 Mining -25.0 7.5 -6.2 -3.8 23.8 -0.1 -21.3 -2.5 -3.5 Non-mining 3.7 7.3 9.1 7.0 5.2 5.4 2.8 4.4 5.6 sector Of which 2.0 5.5 9.7 1.9 2.9 7.2 1.7 1.9 General 4.1 Government GDP Growth -3.0 7.3 6.4 5.3 7.9 4.5 -1.1 3.6 3.9 Actual & Projected Source: Statistics Botswana & MFED Actuals & Projections

3.27 It is important to further establish percent of the total value added growth that which of the non-mining sector entities occurred during NDP 10, followed by Trade, provided the growth momentum within the Hotels and Restaurants at 24.6 percent. subsector during NDP 10. This will assist in General Government and Banks, Insurance the identification of potential future sources & Business sectors contributed 22.5 percent of growth and in the design of appropriate and 21.2 percent, respectively. It is strategies that will harness this momentum. significant to note that 71.5 percent of the Such knowledge was important in the total growth that occurred during NDP 10 selection and drawing up of programmes and came from these four sectors. How these four projects for the next Plan. Using sectoral (4) sectors can be further harnessed to bring weights in the total value added, a about more growth during NDP 11 is a major determination of the origination of the policy question which will depend on the growth that occurred during the Plan was efficacy of the proposed Plan strategies. It made. Table 3.4 reveals that the Mining can further be read from Table 3.3 that the sector is the highest contributor, at 30.2 contraction of the Mining and Water and

Electricity sectors prevented the economy sectors are still major sources of growth for from achieving higher growth rates. the economy. Social and Personal Services comes fifth at 8.9 percent, followed by 3.28 General Government and Banks, Manufacturing at 8.8, and Transport & Insurance & Business are in third and fourth Communications at 8.3 percent. The Water position (in terms of contribution to growth and Electricity sector contracted by 0.2 that occurred) and this suggests that these percent.

Table 3.4: Sectoral Growth rates and Contribution to GDP Growth (%) Sectoral share of growth Average Value Added Growth during NDP 10 Rate during NDP 10 Trade, Hotels and Restaurants 24.6 7.9 Banks, Insurance & Business 21.2 6.2 General Government 22.5 4.4 Construction 9.5 9.1 Social and Personal Services 8.9 7.2 Transport & Communications 8.3 8.4 Mining 30.2 -3.6 Manufacturing 8.8 4.3 Agriculture 3.6 -0.1 Water & Electricity -0.2 -5.3 Source: Statistics Botswana & MFED

3.29 Regarding the rate of growth, the increased from 14.1 percent to 22.5 percent Construction sector grew fastest at an between the two Plans. Trade, Hotels and average annual rate of 8.4 percent. Trade, Restaurants increased from 11.8 percent to Hotels and Restaurants, together with 24.6 percent, while Banks, Insurance and Transport and Communications, were Business Services also increased from 12 second and third at 7.8 percent and 7.6 percent to 24.6 percent. percent, respectively. To the extent that this momentum will endure, these sectors have 3.31 These performances have policy a potential to provide growth during NDP implications going forward into NDP 11. 11. First, is whether this transformation is only temporary due to problems faced by the 3.30 Figure 3.6 shows that there was a diamond sector during the global financial structural transformation during NDP 10. and economic crisis, or whether it will Comparing the average contribution to the remain a permanent feature. Second, the economy’s total value added by the four General Government sector remained the major sectors during NDP 9 and NDP 10 second major contributor to value added and, reveals the following; while the Mining although only marginally so, it increased its sector still remains the most dominant contribution to GDP value added. The sector in terms of contribution to value question is whether this dominance will added, its dominance has been reduced continue at this level in NDP 11, given that from contributing 28.4 percent during NDP this increase came at a time when this sector 9 to 30.2 percent during NDP 10. This was supposed to be hiving-off some of its reduction is mainly attributable to the economic activities to the private sector. If global financial and economic crisis and its this hiving-off is to be achieved, more efforts effects on this sector. For General will have to be made to address this situation Government, the share significantly during NDP 11. 36

Figure 3.6: Contribution to Value Added (Current Prices) by the Four Key Sectors (%)

35.0 30.2 28.4 30.0 24.6 22.5 25.0 21.2

20.0 NDP 9 14.1 15.0 12.0 11.8 NDP 10

10.0

5.0

0.0 Mining Gen. Govt Banks, Ins & Trade, Hotels & Business Rest. Source: Statistics Botswana and MFED

3.32 Overall, there was some marginal significant as the third most important structural transformation of the Botswana source of economic growth. If the economy in conformity with the NDP 10 private sector is to become the engine objective of having a private sector led of growth for the economy, deliberate economy. This momentum will be carried policy measures need to be continued forward into NDP 11 through the proposed in order to hive-off some of the growth strategies discussed in Chapter 4. Government economic activities to the private sector. 3.33 The main conclusions of this section can be summarised as follows: 3.34 It can be concluded from the i) Given the significant contribution of foregoing analysis that NDP 10 has the Construction sector to GDP, its achieved the objective of growing the growth momentum should be economy through the Non-Mining and harnessed to grow the economy Parastatal sectors. The leading sectors that further; contributed to this structural change of the ii) The Trade, Hotels and Restaurants economy were the Trade, Hotels and sector has been one of the fastest Restaurants and the Finance, Insurance and growing sectors and has significantly Business Services sectors. The extent to increased its share of contribution to which the growth of these two sectors total value added in the economy. depends on Government spending Therefore, improving the policy moderated during the Plan period. Figure environment to support this sector will 3.7 shows that, in real terms, Government provide NDP 11 with a strong growth spending decreased at the same time that pole; these sectors were growing. This could be iii) While the Mining sector still remains suggesting that the growth of these sectors the lead contributor to GDP, whether can be sustained without a concomitant this is only temporary or permanent growth of government spending. will become clearer during NDP 11;

and iv) The General Government sector’s contribution to growth has remained

Government Budget 3.35 Table 3.5 shows that NDP 10 gradually decreased with the envisaged projected that the Government budget (in recovery of the markets reaching P0.3 constant 2008 prices) would be in a deficit billion in 2011/2012, after which moderate position during the first four years of the surpluses were recorded until 2014/2015, Plan, and would be in balance on the fifth before recording a deficit in the last year of year and go into surplus in the last two the Plan. Overall, the budget outcome was years. Due to the global financial and a cumulative deficit of P9.2 billion, which economic crisis, the deficit was the highest was better than the projected cumulative at the onset of the Plan at P8.9 billion and deficit of P31.9 billion for the Plan.

Table 3.5: NDP 10 Projected, Actual and Revised Government Budget (P billion, Constant Prices, 2008) 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 NDP 10 Projections Total Revenues 22.7 24.1 26.7 29.9 35.4 37.8 37.2 and Grants Total Exp. & Net 35.6 35.3 34.9 34.9 34.9 34.9 34.9 Lending Surplus/Deficit -12.9 -11.2 -8.2 -5 0.5 2.9 2.3 Cumulative -12.9 -24.1 -32.3 -37.3 -36.8 -33.9 -31.9 Deficit Actual and Revised Budget Estimates Total Revenues 30.0 31.9 38.5 41.7 49.0 55.9 47.4 &Grants Total Exp. & Net 38.9 38.4 38.7 40.7 41.7 50.6 54.4 Lending Surplus/Deficit -8.9 -6.5 -0.3 0.9 7.2 5.3 -7.0 Cumulative -8.9 -15.4 -15.7 -14.7 -7.5 -2.2 -9.2 Deficit Outturn Variance 32.3 32.4 44.1 39.3 38.3 47.9 27.5 from Projected Revenues (%) Source: NDP 10 & MFED

Government Revenue Trends during NDP 10

3.36 On the revenue front, NDP 10 target percent per annum, projected over the same revenues were less than outturn revenues, period. as indicated in Table 3.5. The variance was the highest during 2014/2015 at 47.9 level. 3.37 A close examination of the data in In terms of revenue growth trends, total Table 3.5, however, reveals that the total revenues outturn started at P30.0 billion at revenue outturn figure (P30.0 billion) for the commencement of the Plan and reached 2009/2010 is 32.3 percent above the P47.4 billion by 2015/2016, yielding an projected one (P22.7 billion). This suggests average increase 6.8 percent, per annum. that the initial impact of the global financial This is compared to the average of 8.8 and economic crisis on total Government revenues was less severe than initially 38 envisaged. A significant positive variance public sector. Allocating more resources to in total revenues and grants recorded during the less efficient sector makes it difficult for the Plan period contributed to better than the economy to reach its maximum projected cumulative budget deficits of production potential. P9.2 billion by the end of the Plan, instead of P31.9 billion initially projected in NDP 3.39 As the commencement of NDP 10 10. It should, however, be noted that coincided with the global financial and inadequate implementation capacity in the economic crisis that affected the economy’s economy also contributed to the lower main revenue earner, namely diamonds; deficits recorded during the Plan period. Government had to run budget deficits in the first years of the Plan as part of an Government Expenditure Trends during expansionary fiscal policy that was adopted NDP 10 to cushion the effects of the recession. However, to avoid plunging the country

3.38 While Government expenditure into excessive debt, Government set itself usually stimulates economic growth, it can the objective of restoring balanced budgets also limit growth when it is excessive, as it in the medium to long-term. crowds out the private sector. The channel by which Government spending increases 3.40 Figure 3.7 compares the planned growth is by boosting consumption expenditure levels for NDP 10 to the actual spending, which, in turn, enables the private outturn. The same figure captures a sector to increase its output. The second situation where actual real Government channel is when Government spending is expenditure was below NDP 10 targets for on physical infrastructural developments. most of the years. However, in the last year This facilitates and reduces private sector of the Plan; the outturn over-performed the operational costs. In general, the private target of NDP 10 by 53.1 percent. sector is considered more efficient than the

Figure 3.7: Projected and Actual Total Government Spending (Pula Billion Constant prices, 2008) 60 180.0 153.1 160.0 50 140.0 40 120.0 100.0 93.6 ) 89.6 100.0 30 72.4 76.5 67.4 billion 66.1 80.0 20 60.0 40.0 10 20.0 target of % Outturn as NDP 10 target, NDP 10 outturn outturn (BWP, target, NDP 10NDP 10 0 0.0 2008/9 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

Target Outturn Outturn as % Target

Source: NDP 10 & MFED Actuals & Projections

3.41 The divergence between targets and Plan, when the outturn achieved only 66.1 outturn is highest in the first year of the percent of the target. It is, however,

39 significant to note that towards the end of from 37.5 percent, as was the case during the Plan, the outturn converges to the NDP NDP 9, to 30.0 percent has not been 10 projections, before exceeding the target achieved according to Figure 3.8. This ratio in the last year of the Plan. The observed actually shot to 51.6 percent at the divergence between the two scenarios is beginning of NDP 10, in part due to the both a result of judicious management of adoption of an expansionary fiscal policy the budget, as well as implementation that was meant to address the contraction of capacity challenges that the economy faced. GDP, arising from the financial and These are two issues that will be relevant economic crisis. It also increased due to the for the implementation of NDP 11 contraction of GDP, while Government economic growth strategies. pursued a counter-cyclical fiscal policy. The ratio then decreased to 36.7 percent in 3.42 The NDP 10 objective of reducing 2015/2016, which is still above the 30.0 the Government spending to GDP ratio percent target for NDP 10.

Figure 3.8: Ratio of Government Expenditure to Real GDP (%), 2009/10-2015/16

60.0

50.0 51.6

40.0 41.9 36.3 36.7 35.6 34.2 30.0 31.8

20.0 Percentage (%)

10.0

0.0 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

Source: MFED Implementation Capacity during NDP 10 3.43 The decline of this ratio is indicative 3.44 One of the major issues concerning of the fact that there exists the possibility of Government spending and growth relates to reducing dominance of Government sector inadequate implementation capacity in the value added in the GDP. Therefore, with economy. Failure to implement the planned more concerted effort, in NDP 11, the budgets can also lead to slow growth, objective of hiving-off part of economic through the effect of Government spending activity to the private sector can be on other sectors of the economy. To assess achieved. It should, however, be noted that the situation that prevailed during NDP 10, a significant part of this private sector the actual spending figures for each year economic activity includes the parastatals, were divided by the original budget figures some of which are dependent on for both recurrent and development Government funding. expenditure. The results are as captured in

Figure 3.9.

Figure 3.9: Actual Spending as a Percentage of the Original Budget, 2009/10-2015/16 140 120 100 80 Reccurent 60 Dev. 40

Actual as % of budget of as % Actual 20 0 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

Source: MFED: Financial Statement, Tables & Estimates of the Consolidated & Development Funds Revenues 2016/17

3.45 This figure shows that, during the Government recurrent expenditures to non- first five years of the Plan, save for the year mineral revenues. A ratio of one (1) and 2009/2010, both budgets were under-spent below would represent budget or below 100 percent of the original figures. sustainability, while a value above one (1) The underspending is more pronounced in would imply an unsustainable situation. the development budget than in the The underlying principle behind the budget recurrent budget. For the development sustainability ratio is that, a country which budget, in some years, underspending was is dependent on revenues from non- as high as 20 percent. This underspending renewable resources such diamonds in the is indicative of low implementation case of Botswana, should aim to fund its capacity, and this partly explains the slow recurrent budget from non-mineral economic growth that occurred during NDP revenues. This is to ensure future fiscal 10. Suffice to note however that the last two sustainability, long after the exhaustible years experienced over-expenditure in the resources are depleted. recurrent and development budget during 2014/2015 and in the recurrent budget in 3.48 To the extent that expenditures on 2015/2016. health and education are considered to be investment, even though recurrent in 3.46 A good part of the development nature, the calculation of the sustainability budget is spent on construction projects. ratio in the case of Botswana included them The underspending, therefore, reflects as part of investment. Dividing total problems of delayed project completion by recurrent expenditure net of Health and contractors, which will need to improve, as Education sectors’ recurrent expenditure, part of NDP 11 strategies for growth by non-mineral revenues for each year of promotion. This problem is expected to be the Plan yields the picture in Figure 3.12. reduced somewhat through the utilisation of The figure shows that there was a Public Private Partnerships (PPPs), the significant jump in the ratio in the second Public Services Outsourcing Programme year of the Plan, which was followed by a and privatisation in general. more pronounced decrease during the three subsequent years. A slight increase was Budget Sustainability experienced in the last three years of the 3.47 One measure of budget Plan. A decrease in the ratio is good for the sustainability is the ratio of total country as it denotes increased

41 sustainability, which implies that an purposes. This is because, over time, a increased part of the recurrent expenditure number of programmes, which are is being covered by non-mineral revenues, recurrent in nature such as Ipelegeng and and that the economy is not using any maintenance of infrastructure, have been mineral revenues on consumptive funded under the development budget. The expenditure items. The fact that the ratio is implication of including recurrent items less than unity is even more beneficial to the under the development budget is an country, as it shows that recurrent underestimation of the recurrent budget, expenditure is wholly covered by non- resulting in a more favourable budget mineral revenues. sustainability ratio. Notwithstanding this limitation, the intention of Government 3.49 Despite the positive performance of during NDP 11 is to ensure that this ratio this measure of budget sustainability during remains at unity or below, which means NDP 10, there is a need to be cautious about reversing the upward expenditure trend in the use of this ratio for policy making the last three years of NDP 10.

Figure 3.10: Actual & Projected Crude Sustainability Index, 2009/10-2015/16 0.90 0.80 0.70 0.60 0.50 0.40 0.30 0.20 sustainability Index 0.10 0.00

2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Source: NDP 10 & MFED have a specific fund reserved for future 3.50 The Botswana Government has generations. The exhaustible nature of always recognised that its heavy diamonds requires that if future generations dependence on diamond revenues is not are to benefit from this resource, some sustainable, and that it exposes the savings need to be set aside for them now in economy to risks such as failure to meet a well-defined fund. Despite the fact that future funding obligations. In that regard, as the sustainability index captured in Figure far back as 1994, Government took the 3.10 is acceptable, there is no guarantee that decision that diamond revenues should be sometime in the future, economic spent on expanding the economy’s conditions may suggest the need for productive capacity through investments in mineral resources to be increasingly utilised both physical and human capital. To the to fund recurrent expenditures. As a extent possible, care was taken to avoid consequence, fewer resources will be using these revenues for consumptive available for the fund for future purposes. generations. Therefore, going forward, there is need to come up with a fiscal rule 3.51 Although the current construction that should specify the percentage of of infrastructure and capital development mineral revenues that should be spent on expenditures will benefit future capital formation and the percentage that generations, Botswana presently does not will be saved for future generations. In that 42 regard, the non-capital expenditure decrease in this ratio to 26.2 percent in component of development spending 2012/2013 and further to 23.9 percent in should also be financed from non-mineral 2013/2014. It was projected to reach 23.1 revenues. percent in 2014/2015 and 16.3 percent in 2015/2016. Figure 3.13 depicts Government Borrowing developments in the Government’s total 3.52 The decrease in diamond revenues debt position during NDP 10, both external during the Plan period forced the and domestic debts. Whereas the ratio of Government to increase its borrowing domestic debt to GDP remained relatively substantially, particularly from external steady during NDP 10, the external debt sources. In this regard, the total debt to trended upwards over the period up to GDP ratio increased from 22.1 percent in 2012/2013. It is important to note that, in 2009/2010 to 27.5 percent during the 2012/2013, the external debt level almost 2011/2012 financial year. However, the reached its statutory upper limit of 20 Botswana Government’s prudence in the percent. management of its budget resulted in a

Figure 3.11: Government Debt as % of GDP, 2009/10-2015/16 30 25 20 Total Debt / GDP 15 External Debt/GDP 10 Internal Debt / GDP AxiPercentage 5 0 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16

Source: NDP 10 & MFED

3.53 It is important to understand the development of the domestic capital effect of the debt position on the markets. These choices are all not mutually Government net financial position. For exclusive. example, the effect of the situation captured in Figure 3.11 on the net financial position 3.54 The Botswana Government has, in of Government should be understood as this the past, aimed at minimising the cost of has a bearing on the debt financing options debt and risks involved in borrowing. It has that Government has. With respect to the also endeavoured to support the domestic choice between external and domestic debt, all types of debt instruments such as development of capital markets. However, treasury bills, loans, bonds, and with increased exposure to global economic Government guaranteed debt including turbulences, there is a need to strengthen Public Private Partnerships, are all pertinent debt management systems. Specifically, to the link between Government debt and borrowing decisions will have to the financing options. The choice adopted increasingly take issues pertaining to the will depend on a number of objectives, which include the need to minimise debt Government balance sheet into costs, minimise risk, or support the consideration. The implication of such

43 borrowing on monetary and fiscal policies Public Services Outsourcing Programme and vice versa will have to be deliberately 3.57 During NDP 10, the Government considered. Furthermore, with the adopted a Public Services Outsourcing Programme, which provides an important Government budget becoming increasingly opportunity for involving the private sector tight, there will be need to increase in undertaking certain services that are borrowing. Consequently, there will be currently being provided by the need to limit the cost of borrowing as well Government, with a view to achieving as managing exposure to the risks that come improved service delivery, cost savings and with increased borrowing. All these have right sizing of the public service. This resulted in the development of a Medium programme started with a focus on mandatory outsourcing of grounds Term Debt Management Strategy. maintenance, and security guarding and cleaning services. In addition to Budget Policy Reform Related Issues outsourcing, the Public Enterprises Evaluation and Privatisation Agency Progress with Privatisation (PEEPA) will lead the implementation of

3.55 There has been very little progress commercialisation programmes, which in the privatisation of parastatals during involves bringing certain activities of NDP 10. Instead, a number of parastatals Government departments, local authorities were created such as: Competition and other public bodies to the market place Authority; Gambling Authority; Botswana and managing them like any other business Trade Commission; Botswana Geoscience enterprise. Potential candidates for the Institute; Botswana Tourism Organisation; commercialisation programme include: and Special Economic Zones Authority. road transport and safety services; printing The exception has been the privatisation of and publishing services; communications Botswana Telecommunications and media services; central transport Corporation Limited (BTCL), which has organisation; and central medical stores. now been completed. The Second Privatisation Master Plan that covers the years 2015-2020 was approved 3.56 The shares of the company were by Cabinet in September 2015. It is priced at P1.00 and were sold with effect expected to infuse momentum into the from 11th January, 2016 through an Initial privatisation drive, by, amongst others, Public Offering. The employees of BTCL addressing the main challenges that were were eligible to procure 5 percent of the faced during the implementation of the shares through an Employee Share Option Master Plan of 2005. Plan. The share offer was closed on the 4th March 2016. A total of 50 301 qualifying Public-Private Partnerships (PPPs) applications were received, this translated 3.58 The process of establishing the PPP into an offer for 776 333 400 shares, well in delivery mechanism in Government was excess of the 462 000 000 shares that were ongoing at the end of NDP 10. This is available to the public. This represented a intended to assist Government in project 1.68 times over-subscription. The company implementation by involving the private was listed on the Botswana Stock Exchange sector in the financing and implementation on 8th April 2016, and the share price on of various projects. This will augment the that opening day was P1.30, which was an resources for undertaking projects in the appreciation of 30 percent. country and minimise the risks to Government associated with the implementation of such projects.

3.59 As an interim measure, a PPP External Sector Development Appraisal Committee has been established and its mandate is to select, prioritise, Balance of Payments appraise and evaluate potential PPP 3.61 Among the strategies for growth in projects submitted by the line Ministries to NDP 10 was the promotion of trade in the Ministry of Finance and Economic goods and services. The success of an Development. In terms of progress external sector oriented growth strategy can achieved so far, the PPP Strategy in land be gauged through the economy’s overall servicing was approved in April 2015 by balance of its international payment Cabinet and is being implemented. In accounts, particularly its current accounts. addition, the PPP delivery mechanism was A positive net balance of payments can also used in the execution of the rural be associated with domestic employment telecommunications development creation, especially in the case where, the programme. The head of the PPP unit domestic enterprises producing for export started work towards the end of 2016, and markets employ labour intensive the unit is expected to be fully operational production methods. In other words, a during the first half of NDP 11. positive net external sector balance may be achieved without a significant impact on 3.60 In terms of financing the private employment creation, as has been the case sector, funding can be sourced from, in this country with diamond mining. amongst others, the Botswana Stock 3.62 Furthermore, a positive net balance Exchange through the issuance of shares of payments can contribute to the net and bonds. Funding can also be sourced foreign financial assets position of the from local development finance institutions country. In terms of net financial assets of such as the Botswana Development the country, which is measured by Corporation and the National Development difference between the Government Bank, Citizen Entrepreneurial balances at the Bank of Botswana and net Development Agency (CEDA), as well as debt, the performance was mixed during the commercial banks. In addition, funding NDP 10 as shown in Table 3.6. from the private sector windows of the African Development Bank and the World Bank can be accessed.

Table 3.6: Government Net Financial Asset Position (P’ million) Internal Govt & Total Debt Loans by Net Financial Balance External Debt & Govt Net Financial Year @ BOB Debt Guarantees Guarantees Outstanding Debt Assets (6)=(4)- (7)=(1)- (1) (2) (3) (4)=(2)+(3) (5) (5) (6) 2009/10 22,136 13,775 2,318 16,093 1,485 14,608 7,528 2010/11 19,387 18,631 5,162 23,793 1,508 22,285 -2,898 2011/12 20,553 21,619 7,249 28,868 1,368 27,500 -6,947 2012/13 20,611 21,764 7,089 28,853 1,718 27,135 -6,524 2013/14 31,745 22,650 6,831 29,481 1,321 28,160 3,585 2014/15 41,680 25,310 7,681 32,991 1,230 31,761 9,919 2015/16 40,927 25,031 8,639 33,670 1,154 32,516 8,411 2016/17 38,312 24,738 9,721 34,459 1,078 33,381 4,931 Source: MFED

3.63 As indicated in Table 3.6 and Figure the importance of maintaining adequate net 3.12, the Government Net Financial financial assets to the country’s ability to position deteriorated from 9.8 percent of respond to external shocks, efforts will GDP at the beginning of NDP 10 to reach continue to be made in NDP 11 to ensure 5.7 percent in 2012/2013, due to the impact prudent management of Government cash of the global financial and economic crisis. balances and public debt. Thereafter, it improved slightly to end NDP 10 at a positive 3.10 percent. In view of

Figure 3.12: Government Net Financial Position, 2009/10-2015/16 (P million) 50000

40000 Loans by 30000 Govt 20000 Outstanding

10000 Govt Balance @ BoB 0

-10000 Total Debt & Guarantees -20000

-30000 Net Financial Assets -40000

2007/08 2008/09 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 2016/17 Source: MFED

3.64 The section on domestic absorption economy’s external sector position, if and the external balance has already shown wealth is to be generated for the economy. that Botswana experienced negative net Therefore, Botswana needs to grow its exports balances for the entire NDP 10 export sector, and developing diversified period, save for 2013/2014 financial year. sources of exports during NDP 11 will be a What follows below is an assessment of priority. how other NDP 10 external sector related targets have been realised. 3.66 The trade balance, which is total exports of goods and services less total 3.65 The overall balance of payments imports of goods and services, is normally was in deficit during the first two years of more relevant for policy than the overall the Plan, by P4.7 billion and P6.5 billion in balance. An important point that emerges 2009 and 2010, respectively. This improved from Figure 3.13 is that for the most part of to a surplus position of P3.4 billion in 2011. NDP 10, the economy experienced trade However, a calculation of the accumulated deficits. In order to reverse this trend, NDP overall balance of payment position yields 11 will, amongst others, pursue an export- a net deficit of P7.6 billion for the first three led growth strategy that is anchored on years of NDP 10 (Figure 3.13). This calls more than one sector, as opposed to the for a strategy that aims at improving the current domination of the mining sector.

Figure 3.13: Positions of Different BoP Accounts, 2008-2015 25000 20000 15000 10000 Merchandise Account 5000 Current Account 0

P Million Overall Balance -5000 2008 2009 2010 2011 2012 2013 2014 2015 -10000 -15000 -20000 Source: Botswana Financial Statistics August, 2015

Export Diversification during NDP 10 form the traditional exports category. Non- traditional exports are made up of soda-ash, 3.67 The key to rapid economic growth textiles, gold and others. An increase in through export diversification is a non-traditional exports share will actually competitive real effective exchange rate be congruent with the NDP 11 strategy of (REER). An appreciating REER renders the export diversification. country’s goods and services expensive in the global markets while the converse is 3.68 A decline in the share of diamonds true. As an integral part of economic in total exports, other things remaining diversification, export diversification is constant, will be an indication that the share needed to reduce dependence on a of other export commodities are growing. particular group of export commodities. Figure 3.14, however, shows that there has Diamonds, beef and copper-nickel exports been a fairly steady decrease in the share of non-traditional exports during NDP 10.

Figure 3.14: Traditional and Non-Traditional Exports, 2008-2015

100%

95%

90%

Non-Traditional % share 85% Traditional Exports 80%

75% 2008 2009 2010 2011 2012 2013 2014 2015 Source: Bank of Botswana Annual Report, 2015

3.69 What is even more worrying is that 3.70 The other policy relevant the decrease in this share has been information emerging from Figure 3.15 is occurring at an accelerated rate up to 2013. that while beef exports maintained their In 2009, the share of non-traditional share of traditional exports, the share of merchandise exports was about 10 percent. copper-nickel reduced significantly. It decreased to 8 percent in 2010 and had Meanwhile, diamonds continued to reached about 3 percent by 2013. This dominate exports during NDP 10. This suggests that a much more focused strategy outcome, combined with the fact that the is needed to increase the share of non- non-traditional exports sector share also traditional exports and achieve economic significantly declined, calls for a robust and export diversification. export-led growth strategy during NDP 11.

Figure 3.15: Composition of Traditional Exports, 2008-2015

100%

80%

60% Diamonds 40% Beef

% Contributionm % 20% Copper-Nickel 0% 2008 2009 2010 2011 2012 2013 2014 2015 Source: Statistics Botswana, 2015

3.71 In terms of trends in the when the diamond aggregation effect is composition of the non-traditional exports, taken into account. Discounting aggregated textiles have lost their dominance. Their diamonds from total exports of goods and share has decreased from 64.1 percent of services shows a significant growth in the this group in 2009 to 23.5 percent in 2013. share of the services sector in total exports. On the other hand, soda ash increased its share in the non-traditional export category 3.73 Excluding SACU receipts from the from 23.8 percent to 47 percent, while gold services account yields a cumulative also increased its share from 12 percent to current account deficit of P62.2 billion for 29.3 percent during the same period. the period 2008-2013. The decrease in services exports share has serious policy 3.72 Figure 3.16 shows that, while the implications. This result implies that the shares of services exports were decreasing services export-led strategy to grow the during the period up to 2009, it later economy that was emphasised in NDP 10 recovered significantly, but stabilised did not achieve the desired results. during the period 2011 to 2014. This means Therefore, the Government will, in that, although the share of export services accordance with the Industrial increased between NDP 9 and NDP 10, its Development Policy of 2014, create a growth momentum has not been sustained conducive environment for the and therefore export diversification, in development of the services sector with terms of services has only been marginal. strong export potential in order to attract However, this result significantly changes both domestic and foreign investors. 48

Figure 3.16: Percentage Share of Merchandise & Service Exports, 2004-2014

100% 80% 60% 40% 20% 0% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

% share Services % share Merchandise

Source: Bank of Botswana Annual Report, 2015

3.74 Three important policy related achieve social justice for the population issues emerge from this review. First, while through increased livelihood derived the overall balance of payments was through an increased provision of goods negative in the early years of the Plan and services. Indeed, social justice has period, it turned into surpluses in later always been one of the overarching years. However, the cumulative current objectives for all the previous Plans. The account is projected to have been in deficit main vehicle through which welfare and for the greater part of the Plan period. This social justice are achieved is employment means that Botswana’s imports of goods creation. This section, therefore, takes a and services have been more than its quick review of the formal employment exports. The second point is that non- sector. traditional exports, as a share of total exports, have been decreasing, implying Employment Growth Rates loss of mileage in export diversification as 3.75 According to Table 3.7, formal a vehicle for economic growth. Thirdly, the sector employment in the economy grew at share of services in total exports increased the rate of 1.5 percent for the period up to moderately. This suggests that the NDP 2015 during NDP 10. As indicated in Table 10’s strategy of placing emphasis on export 3.7, all sub-sectors with the exception of the services growth was, to a limited extent, Parastatal sector, experienced a decrease in successful. It is for these reasons that NDP growth rates, with the Government Sector 11 emphasises the pursuit of broad export actually experiencing negative growth rates strategies that will focus on both goods and in 2013 and 2014. However, the non-formal services. employment Ipelegeng Programme experienced substantial growth of an EMPLOYMENT CREATION average of 3.4 percent between 2014 and DURING NDP 10 2015. The main purpose for undertaking development planning in Botswana is to

Table 3.7: Formal Sector Employment Growth Rates (%), 2009-2015 Growth rates 2009 2010 2011 2012 2013 2014 2015 Average Parastatal 1.5 8.3 8.0 3.2 7.7 -0.3 3.7 4.6 Private Sector 1.8 2.5 1.9 0.9 0.7 0.8 0 1.2 Central Gov. 5.2 4.1 3.0 1.8 -0.4 -0.2 0 1.9 Local Gov. 3.9 3.3 -2.5 -7.9 -1.8 -0.1 1.0 -0.6 Formal Employment Growth 3.0 3.3 2.1 0.5 0.6 0.4 0.3 1.5 Ipelegeng -50.7 32.4 20.5 15.2 3.2 2.9 3.4 Source: Bank of Botswana 2015 Annual Report

Sectoral Contribution to Formal Employment 3.76 In terms of sectoral contribution to employment excludes Government formal employment (Figure 3.17), the employees in the agriculture sector. private sector contribution remained Nonetheless, the table shows that the unchanged at 56 percent, Government’s Private and Parastatal sectors make the contribution decreased slightly, while there highest contribution to national was a 1.0 percent increase in the share for employment. the Parastatals. This situation, whereby the Parastatal sector (which is basically 3.78 The Commerce sector, on average, Government), was the only one that contributed 20.4 percent to national registered an increase in the employment employment, followed by Manufacturing at figures, is neither sustainable nor desirable. 11.2 percent. The Construction sector came However, it is significant to note that third at 8.1 percent, while the Finance and overall, all the sub-sectors registered Business Services sector came fourth at 7.1 positive employment growth, with the percent (Table 3.8). It is important to note exception of Local Government sector, that, with its high capital intensity, the which registered a negative growth of 0.6 Mining sector contributed 21.6 percent to percent. In order to effectively deal with the GDP during NDP 10, while it only high unemployment rate, which is currently contributed 4.2 percent to formal estimated at around 20 percent, it is critical employment. The Mining Sector’s direct that the economy’s main employer, the contribution to employment is low, partly private sector, should grow much faster because some of the mining sector than the other two sectors. The strategies employment figures are actually recorded that are detailed in Chapter 4 are meant to under non-mining sectors (e.g. health and achieve this objective. education workers). Conversely, the Manufacturing sector contributed just 3.77 Table 3.8 captures a contribution of below 7 percent of GDP, while contributing Parastatals and Private sector by type of 11 percent to formal employment. The economic activity, as a percentage of total employment potential for this sector is the formal employment. These data need to be main reason why Government occasionally, interpreted carefully as they exclude lends support to the sector during difficult employment from the Government sectors. times in order to save jobs. For example, data on agriculture

Figure 3.17: Sectoral Contribution to Formal Employment (2009 – 2015)

60.0 56.3 55.9 55.7 55.9 56.0 56.3 56.1

50.0

40.0 Parastal 30.3 30.5 30.7 31.1 30.8 30.7 30.6 Private Sector 30.0 Central Gov 20.0 Local Gov.

8.9 8.9 8.5 7.7 7.6 7.5 7.6 10.0 4.6 4.8 5.1 5.2 5.6 5.5 5.7

0.0 2009 20010 2011 2012 2013 2014 2015

Source: Bank of Botswana 2015 Annual Report

3.79 It is significant to note that the GDP while contributing 20.4 percent to Trade, Hotels and Restaurants Sector formal employment. This makes the sector (Commerce) contributed 14.3 percent to a key employment creator.

Table 3.8: Parastatal & Private Sector Contribution to Overall Formal Employment by sub-sector, (%) 2009-2015 2009 2010 2011 2012 2013 2014 2015 Average Mining 3.3 3.3 3.5 3.5 3.6 6.0 6.1 4.2 Construction 6.9 7.0 6.9 7.0 7.0 11.2 10.8 8.1 Commerce (Trade, Hotels & Restaurants) 19.3 19.4 19.2 19.2 19.6 23.2 23.2 20.4 Finance & Business Services 8.2 8.2 8.2 8.3 8.3 4.3 4.3 7.1 Manufacturing 11.2 10.9 10.9 10.9 11.0 17.6 6.1 11.2 Agriculture 1.9 1.9 1.9 1.9 1.9 3.1 3.2 2.3 Electricity & Water 0.9 1.0 1.2 1.2 1.4 2.2 2.3 1.5 Transport 3.9 3.9 3.8 3.9 4.0 6.4 6.4 4.6 Community Services 2.0 2.1 2.1 2.1 2.2 2.0 2.1 2.1 Education 3.1 3.0 3.0 3.0 3.0 4.9 4.8 3.5 Share of Total Formal Employment 60.8 60.7 60.8 61.1 61.6 80.8 69.1 65 Source: Statistics Botswana

3.80 In order to address the communities and households out of unemployment problem, an employment poverty. On the basis of experiences from strategy will be developed during NDP 11. other countries such as Australia, New The strategy will draw on the experiences Zealand and Mauritius, a successful of countries which have successfully employment strategy must be multi- managed to create substantial employment pronged and be supported by various opportunities, and which have raised sectors of the economy. 51

3.81 In addition to the development of an which can, in turn, stimulate production. employment strategy, the Government has Conversely, a decrease in Government commenced work on the review of the spending or tax increases can contain Revised National Incomes Policy of 2005. excess aggregate demand. The main aim is to align the policy with the current level of developments and 3.84 During the first year of the Plan, international best practices, as well as to Government departed from its planned assist the country in dealing with emerging expenditure path, by reducing the challenges, such as unemployment, development expenditure by 12.5 percent, poverty, and income inequality, and to take instead of increasing it by 27 percent. This advantage of opportunities posed by was done to ensure that its ongoing globalisation. The review will further assist projects, which were deemed to have high Government in evaluating and revising the returns and pivotal to economic growth, existing policy to improve and develop could be completed. These were projects on appropriate strategies or programmes, energy, water, roads and airports. As which could address the current high indicated in Figure 3.8, Government unemployment rate, especially among the expenditure to GDP ratio was at its highest youth. level (51.0 percent) in 2009/2010. Figure 3.11 also shows that this was the beginning POLICY ENVIRONMENT DURING of significant increases in the Government NDP 10 debt to GDP ratio. This challenging budget position resulted in the Government net Macroeconomic Policy financial position being negative in the 3.82 The macro and microeconomic financial years 2010/2011 to 2012/2013. developments during NDP 10 implementation have been a major input 3.85 The Government had foreseen this into the formulation of NDP 11 growth situation when it stated in the 2009 Budget strategies. This is because, economic Speech that “we must be careful not to growth requires macroeconomic policy to overburden our future economic pathway be congruent with microeconomic policy. with too much debt”. As Government Similarly, monetary, fiscal and exchange increased its expenditure, it simultaneously rate policies should be complementary to increased the value added tax from 10 each other. It should be noted that monetary percent to 12 percent in 2010. To further and fiscal policies affect the level of manage the situation, during the second aggregate domestic expenditure, while the year of the Plan, instead of executing a exchange rate policy affects the external planned 4.5 percent decrease in sector side of the economy, which feeds development expenditure, this budget line into all the other sectors of the economy; was cut by 12.5 percent. Government either directly, or indirectly. proceeded by maintaining an expenditure pattern that progressively decreased the Government spending to GDP ratio. As can Fiscal Policy be read from Figure 3.8, by 2015/2016 this 3.83 Fiscal policy can be used to achieve ratio was just above 30 percent. The macroeconomic stability through two reduction of the cumulative budget deficit channels that work through Gross Domestic of P31.9 billion projected in the Plan, to Final Expenditure. An increase in P8.4 billion, was partly a result of this fiscal Government spending, ceteris paribus, can stance that was taken to control stimulate economic growth. Tax reductions expenditure. can achieve the same objective through their effect on increasing purchasing power 52

3.86 It can then be concluded that during investment. Going forward, NDP 11 will NDP 10, fiscal policy was used as an need to trace and establish the link that instrument for stimulating growth, while exists between monetary policy and containing possible inflationary pressures. economic growth. Efforts to identify structural problems that could be limiting Monetary Policy the effect of monetary policy on economic 3.87 During NDP 10, Bank of Botswana growth will also be made. maintained its medium term inflation objective range at 3 to 6 percent. However, Exchange Rate Policy the monetary policy performance was 3.89 Earlier sections of this chapter have mixed; neither restrictive nor already established that the external sector accommodative. In an accommodative of the Botswana economy did not perform move, the Bank Rate was reduced several well during NDP 10. The performance of times during NDP 10, such that by the end the external sector normally depends on the of the Plan period, the commercial banks’ sector’s competiveness in global markets. prime lending rates had decreased from This competitiveness depends on nominal 11.5 percent in 2009 to 7.0 percent in 2016. exchange rates and domestic price relative By reducing borrowing costs, this should to foreign price levels. When the nominal have had a positive bearing on GDP exchange rate (units of foreign currency per growth. The level of outstanding Bank of Pula) increases, other things remaining Botswana Certificates was reduced from constant, the country’s exports become less P17.1 billion in 2009 to P7.5 billion by competitive since foreigners have to pay 2016, consistent with the accommodative more for them in terms of their currencies. monetary policy stance pursued by the Conversely, the country’s competitiveness Bank of Botswana in support of economic increases as the nominal exchange rate recovery and growth. However, the decreases. This means that, the increase of the commercial bank reserve competiveness of our goods weakened by requirements from 6.5 percent to 10 the increase of our domestic prices relative percent, to an extent, restricted the banks’ to foreign prices, while the inverse is true. ability to issue loans to the public, thus reducing the amount of cash in the hands of 3.90 The country’s competiveness is the public. This change was followed up by usually measured through the Real domestic credit growth falling sharply for Effective Exchange Rate (REER), which is both the business and the household sectors. the nominal exchange rate divided by the relative domestic to foreign prices . A high 3.88 Although Bank of Botswana has nominal exchange rate leads to a high done its best through monetary policy to REER (other things being constant), which create conducive economic growth reduces the country’s goods and services conditions, the fact that during NDP 10 the competitiveness in global and domestic economy grew slowly presents an markets. Similarly, an increase in the important policy challenge. In addition, country’s prices relative to those of its inflation levels decreased substantially trading partners will render its goods less during NDP 10, standing at 3 percent in competitive. 2016, and yet economic growth prospects have remained low. These phenomena 3.91 During NDP 10, the Pula exchange suggest the existence of structural problems rate was managed through the use of the within the economy. Through their effect rate of the crawl and the Pula basket of on inflation expectations, price changes can currencies, which is comprised of the major affect investment decisions. Low inflation currencies: (US dollar, Euro, British pound, levels are supposed to encourage more Japanese yen and the Rand). In order to 53 maintain a stable REER, an adjustment to order to help maintain the international the nominal exchange rate would be made competitiveness of Botswana producers of through the crawl rate. For example, in tradable goods and services, it has not been 2009, the rate of crawl of 2.7 percent was able to fully stabilise the bilateral exchange used to depreciate the nominal effective rates of the country’s trading partners when exchange rate (NEER) to offset the their cross exchange rates have been differential between Botswana’s trading volatile. partners’ inflation and domestic inflation. Consequently, despite inflation in Microeconomic Policy Botswana being higher than that in trading 3.95 While the country maintained a partners (on average) the REER depreciated conducive macroeconomic environment to that year by 1.4 percent. After 2010, with support economic growth, insufficient the improving outlook for inflation, smaller progress was achieved in the downward rates of crawl were microeconomic environment. Botswana implemented, culminating with 0.16 has over the years invested heavily in percent rate of crawl in 2013 and 2014. infrastructure, but this investment has not been specifically targeted to production 3.92 For the period up to 2016, areas. Admittedly, the structure of the Botswana’s average annual rate of inflation economy does not make it possible to was 6.0 percent, while that of its trading acquire the requisite skills and technology partner countries was 3.6 percent. This (particularly ICT related technology) to yielded an average inflation differential of effectively generate and efficiently utilise 2.4 percent (inflation in Botswana on the available infrastructure to bring about average was 2.4 percent higher than that of maximum returns to the economy. its trading partners). This suggests that some level of competitiveness was lost due 3.96 Global competitiveness requires an to the rate of crawl not being able to environment that enables quick and timely completely offset the higher inflation rate in investment decisions to be taken. Even Botswana. From 2009 to 2016, the REER though major progress has been made to put gradually appreciated by 6.2 percent, a in place an effective facilitative regulatory modest average annual increase of 1.0 framework, the institutional framework is percent, which had the effect of reducing still at its infancy and this has made it the competitiveness of Botswana exports. difficult for the economy to attract Foreign Direct Investment (FDI). Low FDI limits 3.93 While it cannot be readily the capacity of the economy to grow. established what effect the Botswana exchange rate regime had on the 3.97 Human skills are needed to increase performance of the external sector of the the economy’s production capacity, economy during NDP 10, efforts will be productivity and competitiveness in global made during NDP 11 to identify areas markets. Like most developing countries, where the exchange rate has a direct effect Botswana has not been able to sufficiently on growth as distinct from the factors produce high levels of skilled and constraining growth arising from the productive manpower. This is despite the structural side of the economy. fact that considerable amounts of resources have been invested in this area. There 3.94 It should, however, be noted that a remains a critical need to develop the policy challenge in the case of the human capital and make it more effective Botswana exchange rate mechanism has and relevant to the needs of the economy. been that, while the rate of crawl has been This will, in turn, lead to increased generally used to stabilise the REER in productivity, increased competitiveness 54 and further employment creation. Access to there has been notable progress in the human capital development opportunities development of print media and radio, as also enhances inclusive growth, which in well as access to the internet. turn, assists in addressing unemployment A Prosperous, Productive and and poverty challenges. Innovative Nation- The share of the Non- Mining sector to GDP improved from 69.5 3.98 While Botswana has made great percent in 1996 to 87.0 percent in 2015. progress on issues of governance, security This indicates that the country made some and democracy, resource limitation and efforts in reducing its dependence on the inability to cope with the fast changing mining sector. global ICT environment have made it A Compassionate, Just and Caring difficult for the country to use these virtues Nation- The proportion of individuals to attract FDI to boost overall investment. who were living below Botswana’s To address some of the above challenges, a Poverty Datum Line decreased from 30.6 number of interventions are proposed, as percent in 2002/2003 to 19.3 percent in part of the proposed strategies of NDP 11 2009/2010. The proportion of those living and Vision 2036. in abject poverty or below US$1.25 per day decreased from 23.4 percent in 3.99 Vision 2016, whose theme was 2002/2003 to 6.4 percent during the same “Prosperity for All,” covered a period of period. The country also increased twenty years from 1996 to 2016. It had coverage of social protection programmes seven pillars, namely: An Educated and to meet the special needs of the vulnerable Informed Nation; A Prosperous, members of society during the period. Productive and Innovative Nation; A A Safe and Secure Nation- According to Compassionate, Just and Caring Nation; A the World Bank (2015), Botswana is one Safe and Secure Nation; An Open, of the most secure places in the world and Democratic and Accountable Nation; A in Africa. The country was ranked second Moral and Tolerant Nation; and A United in Sub-Saharan Africa after Mauritius in and Proud Nation. The National 2015, and 34 out of 162 countries across Development Plan 10 was the last the world. instalment in the implementation of the An Open, Democratic and Accountable Vision. The Vision 2016 Council, Nation- Botswana has sustained a stable therefore, carried out a review of the Vision government and multi-party democracy in 2016. The report covered, amongst since independence by holding regular others, achievements, challenges and free and fair elections. The country has lessons learnt from the implementation of also performed impressively on the World the Vision. These informed the preparation Bank’s Worldwide Governance Indicators of Vision 2036 whose theme is “Achieving component of Rule of Law. Prosperity for All”. A Moral and Tolerant Nation- The country has consistently observed and

3.100 The main successes under the protected human rights and freedom, Vision 2016 pillars are described below: which are enshrined in the Constitution. An Educated and Informed Nation- There has been considerable progress in Botswana has almost achieved universal terms of gender equality, and the right to access to education, and all school-going practice one’s faith is respected, amongst age children have a right to the first ten others. years of schooling. There has also been a A United and Proud Nation- The significant rise in literacy rates over the country continued to enjoy social and Vision 2016 period in comparison with political stability anchored on, inter-alia, other developing countries. In addition, respect for other people’ religion, 55

language and ethnic origin. The country their low contribution to GDP. The two also improved its performance in various sectors that have grown fast, while at the sporting codes and competed with the best same time significantly contributing to in the world, and this served as a strong GDP were Trade, Hotels and Restaurants unifying factor. and Banking, Insurance and Business Services.

3.101 The challenges that were 3.103 On the policy front, it can be encountered included the following: concluded that, while efforts have been declining quality of education, as measured made to provide a conducive by pass rates, especially at junior secondary macroeconomic environment through level; drop in performance at all levels of monetary, fiscal and exchange rate policies, the schooling system; the economy the economy, especially the external sector, continued to be dominated by mining, due has not responded adequately. The focus in to slow progress of the economic NDP 11 will therefore be to establish the diversification drive; high levels of efficacy of these three policy regimes, and unemployment, especially among the the extent to which structural problems of youth; poorly targeted and uncoordinated the economy could be undermining their social protection programmes; increased effect on economic growth. incidences of gender based violence and use of addictive substances; absence of the 3.104 Evidently, the continued weak freedom of information law, which microeconomic environment contributed to compromise transparency; low the overall slow growth of the economy. participation of women in political Going forward, it will be necessary to pay leadership; and a waning of the spirit of particular attention to the microeconomic “botho”, which the country has cherished policy environment and to ensure that it is since independence. congruent with macroeconomic policies. It

is also important to build the resilience in CONCLUSION the country, to reduce the risk of economic shock, whether domestic or external.

3.102 In summary, this review has 3.105 The exhaustible nature of diamonds established that the economy grew at a requires that, if future generations are to slightly lower rate than the Plan had benefit from this resource, some savings targeted. This under-performance is need to be set aside for them now in a well- explained by low growth in Household and defined Fund. Therefore, going forward, Government Final Expenditure and weak there is need to come up with a fiscal rule performance of the external sector. At a that should specify the percentage of sectoral level, the poor performance of the mineral revenues that should be spent on mining sector, together with agriculture, capital formation and the percentage that water and electricity, also contributed to the will be saved for future generations. under-performance. While some sectors grew faster, their impact on the overall economic growth was limited on account of

CHAPTER 4

MACROECONOMIC STRATEGIES FOR NDP 11

INTRODUCTION

4.1 NDP 11 is aligned to the country’s poverty, and income inequality. Based on Vision 2036 of: “Achieving Prosperity for the national priorities aimed at addressing All”. This is reflected by the fact that the the development challenges, the overall four Thematic Areas of this Plan, namely: theme of NDP 11 is: “Inclusive Growth for Economy and Employment; Sustainable the Realisation of Sustainable Environment; Governance, Safety and Employment Creation and Poverty Security; and Social Upliftment mirror the Eradication.” It is through this theme and four Pillars of Vision 2036 which are: the other development plans that will Sustainable Economic Development; follow NDP 11, that Botswana will Human and Social Development; ultimately achieve the developed country Sustainable Environment; and status as espoused by Vision 2036. Governance, Peace and Security. In addition to the four Pillars, the Vision has a 4.3 The macroeconomic strategies number of Key Result Areas (KRAs) that outlined in this chapter address the national are also to be realised through the priority on “Developing Diversified implementation of NDPs 11, 12, 13, and 14. Sources of Economic Growth”, while The KRAs include: Attainment of high strategies to address the other priorities are income country status by 2036; An export- detailed in the respective thematic chapters, led and knowledge based economy; An and the one on monitoring and evaluation. internationally competitive human Strategies to address the national priority of resource; Efficient and environmentally developing diversified sources of economic sustainable management and allocation of growth will cover both the supply and resources; Peace, freedom and progressive demand sides of the economy. The aim of governance; Transparent and accountable the supply side measures will be to identify leadership across all sectors; Zero tolerance diversified sources of growth and the use of for corruption; A moral, upright, tolerant the private sector as the main vehicle for and inclusive society; and protection of the generating this inclusive growth. most vulnerable members of society. Achievement of inclusive growth can be realised by pursuing sustainable 4.2 The overall strategies for NDP 11, development. Sustainable development both at macro and thematic level, are drawn addresses inclusiveness both within on the basis of the identified six (6) national generations and across generations. This is priority areas of: Developing Diversified because sustainable development Sources of Economic Growth; Human encapsulates two key concepts, namely: Capital Development; Social Development; the concept of needs, in particular the Sustainable Use of Natural Resources; essential needs of the poor, to which Consolidation of Good Governance and an overriding priority should be given; Strengthening of National Security; and and Implementation of an Effective Monitoring and Evaluation System. The ultimate goal the idea of limitations imposed by the of implementing these strategies will be to state of technology and social address the country’s three main organisation on the ability of the development challenges of unemployment, environment to meet present and future needs. 57

4.4 Some progress has been made in growth and the broadening of the economic mainstreaming sustainable development base. The growth of an economy’s into national development frameworks of aggregate demand has the effect of boosting Botswana in the past. This commitment is business confidence to invest in the reflected in the range of initiatives that the economy thereby generating economic country has pursued over many years. The growth and employment creation. This country is responsible for spearheading notwithstanding, Botswana’s population is implementation of the Gaborone small and that limits the extent to which it Declaration for Sustainability in Africa that can absorb goods and services from a fast was agreed by 10 African Heads of State in growing economy. Thus, export expansion May, 2012. A Secretariat has been and diversification will be needed as part of established to support this initiative. Work the strategy to grow the economy and create on natural capital accounting through the employment. Wealth Accounting and Valuation of Ecosystem Services initiative was 4.7 It should, however, be noted that not underway by the end of NDP 10. A draft all economic growth will be employment National Framework for Sustainable generating, and neither will it be poverty Development and a draft National Climate eradicating. Indeed, Botswana has, in the Change Policy were developed during the past, achieved high growth rates, but did not same period. The country has also followed succeed in reducing poverty and inequality prudent fiscal policies that have made wise to relatively acceptable levels comparable use of revenues from a narrow natural to that of other middle income countries. To resource base to develop other sectors such address these challenges, the planned as tourism, manufacturing and finance and strategies for NDP 11 will contribute to banking. inclusive growth by emphasising poverty eradication and reduction of income 4.5 As part of the strategy for achieving inequality. the overarching objective of NDP 11, as well as encompassing sustainable 4.8 While it is true that most development, a conducive environment to employment generating activities can enable the private sector to successfully significantly address poverty issues, there play its role will be created. This will entail also exists a segment of the population that the creation of a regulatory framework that is not able to be employed due to some promotes doing business and thereby giving problems of incapacities. Some people the economy some global competitiveness. living with disabilities, children, and the Macroeconomic stability will also elderly may not be able to take advantage of constitute part of this enabling available economic opportunities because environment. Availability of good of their special circumstances. Therefore, to infrastructure and information and achieve inclusive growth, Government will communication technology (ICT) will also continue to implement specific social provide this conducive environment for programmes targeted to such groups. growth. Good governance, security and However, these programmes will continue safety will be catalysts to the growth to be reviewed and streamlined during NDP process by attracting foreign direct 11 in order to ensure their efficiency and investment. efficacy.

4.6 On the demand side of the economy, 4.9 In recognition of the importance of inclusive growth will be achieved by implementation in achieving these ensuring that there is adequate domestic strategies, Government will articulate the demand for goods and services to enable means by which its implementation 58 capacity will be enhanced during NDP 11 will have a positive impact in generating Plan period. Some of the strategies to employment opportunities. The strategies address the national priority of developing for mineral beneficiation are as follows: diversified sources of economic growth are Coal monetisation by implementing a outlined in detail below. Coal Road Map, which entails coal for power generation, coal for exports and STRATEGIES FOR NDP 11 coal to liquids; Base metals beneficiation, which Developing Diversified Sources of encompasses the identification of suitable Economic Growth beneficiation projects, e.g., copper, iron, 4.10 NDP 11, like its predecessors, nickel’ etc., and the creation of an concerns itself with growing the “national enabling environment to drive the cake” in a manner that benefits the majority identified projects; of the population. Critical to this process Expansion of the Diamond Beneficiation will be the speed at which the economy or beyond cutting and polishing and wealth will be grown, together with the introducing alternative/additional degree of inclusiveness with which it will diamond supply; grow. However, Botswana is faced with the Industrial minerals beneficiation will be dual problem of a trend of declining growth promoted to enhance use of locally rates on one hand and low levels of available raw materials for construction employment creation on the other, and both materials and dimension stones; need to be tackled urgently. As a Growing and sustaining diamond cutting consequence of these twin problems, and polishing through the increase of diversified sources of economic growth are rough diamond supply and the needed. Finding diversified sources of development of Botswana Diamond economic growth, therefore, lies at the heart Exchange in order to provide a catalyst for of the strategies for this Plan. In addition to secondary rough trading, polished trading, the already existing diversification space to support diamond business initiatives, beneficiation will be taken to a incubation, set up SMMEs and other higher level during NDP 11. By drawing diamond support services; synergies across sectors, cluster Beneficiation of various agricultural development will also be used to bring in products; and new sources of growth. In the same vein, Beneficiation of indigenous special economic zones will tap on existing products/herbs. comparative advantages to broaden sources of growth. Advantage will be taken of local Cluster Development natural resources and indigenous 4.12 Economic diversification will also knowledge to provide new sources of be achieved by adopting a cluster-based growth and employment creation for the agenda focusing on sectors where the economy. These are elaborated on, in turn, economy has some comparative advantage below. such as diamonds, beef, tourism, financial services, mining, as well as the emerging Beneficiation areas of education and health services. The 4.11 During NDP 11, the Botswana industrial clustering is seen as a key Government will continue to grow the development tool in facilitating the economy through mineral beneficiation to development and improving overall maximise the value addition from minerals sustainability and competitiveness of key and to promote the development of the national sectors, particularly those having a private sector to drive beneficiation. This strong export focus. Cluster development

59 will be achieved through programmes such FDI projects should bring with them as Local Economic Development (LED) managerial skills, technology, as well and the Private Sector Development as ensuring market access. Strategy (PSDS). The implementation of the cluster development strategy will be Economic Diversification Drive reviewed during NDP 11, with a view to 4.15 NDP 11 will consolidate the intensifying its implementation across the Economic Diversification Drive (EDD) identified sectors. strategy’s achievements by implementing the new Industrial Development Policy 4.13 In addition, the following will be (IDP), whose main aim is to achieve carried out to promote economic diversified and sustainable industries, while diversification: development of a diamond ensuring beneficiation of locally available cluster (security, banking, tourism, raw materials. There will be a need to logistics, etc.) by disseminating diamond consolidate on achievements made from the information; developing the capacity of the EDD strategy by working with diamond hub, including branding; and, development partners. increasing the utilisation of ICT to drive efficiencies and ease of doing business in Growing the SMMEs and the Informal Botswana. Sector 4.16 Income earning opportunities can Special Economic Zones be increased through the development of 4.14 As part of cluster development, the informal sector, SMMEs, as well as the special economic zones will be promoted business sector in general. Income earning during NDP 11 through tax and regulatory opportunities created through this channel reforms, to enable them to grow the do not only create employment, but also economy and generate employment. The provide the economy with an inclusive initiative is important for promoting both growth momentum through increased domestic and foreign direct investments. expenditure. Similarly, wealth creation These investments will contribute towards (and not wealth dissipation) based on the fast growth of the economy, as well as citizen economic empowerment can also the creation of sustainable employment assist to grow household and business opportunities. The SEZs will be sector income as well as expenditures, implemented in phases, the first phase will which, in turn, enable the economy to grow be the development of the area around Sir faster. For example, procurement for Seretse Khama International Airport, Government mega projects through further development of the Fairgrounds unbundling can provide citizens with Business Park, and developments in the income to spend on the economy and thus, Pandamatenga area. To the extent that make it grow. Citizen participation in such Government resources will be involved in projects can also assist them to develop the development o of the SEZs, by way of their skills, as well as improve their access tax exemption, the Botswana Government to technology and better access to world will ensure that projects under this markets. This will, in a major way, increase dispensation should satisfy the following domestic absorptive capacity of the criteria: economy and result in economic growth. They should have strong backward Similarly, SMME development, local and forward linkages with other economic development schemes, sectors of the economy so that beneficiation beyond diamonds, and maximum economic growth and development of the agriculture and the employment creation benefits can be financial sectors, will also increase derived. 60 economic growth and can also have the commitment to projects and programmes, same effect. as they will be more relevant to local resource endowments and the needs of the 4.17 It has actually been proven concerned local community. NDP 11 will worldwide that SMMEs play a major role in thus use the LED approach to generate promoting growth and creating development and employment creation at employment opportunities in both local levels. This approach has a number of developing and developed countries. With advantages that include the following: an appropriate enabling environment, the Facilitates local dialogue; SMMEs can: create sustainable and Enables people to be proactive; equitable employment opportunities; Enables local institutions to make better penetrate new markets; expand the contribution to development; economy in creative and innovative ways; Takes advantage of the comparative diversify the economy and enhance advantage of the locality; productivity; stimulate investment; and Enables production firms or entities to inculcate an entrepreneurship tradition in an withstand global challenges; economy. During NDP 11, Government Facilitates multi-disciplinary approach will, inter alia, increase its efforts to to development; facilitate SMME capacity development Promotes local community ownership of through the acquisition of accessible and investments; affordable new technology and relevant Facilitates joint investment decision industry skills which will facilitate making; and domestic and global competitiveness; provide appropriate infrastructure to Enhances an all-inclusive approach to growth. support SMMEs participation in local industry activities; promote SMME business to business linkages; promote Research, Innovation and Development 4.20 The National Policy on Research, business linkages between SMMEs and Science, Technology and Innovation large chain stores; and promote the creation (RSTI) represents Botswana’s commitment of supply contracts, joint ventures and to diversify her economy, attain global partnerships between SMMEs businesses competitiveness, and enhance the quality of and foreign companies. life of Batswana. This is to be achieved

through the development, adaptation and Promoting Local Economic Development application of research, innovation, and 4.18 The concept of Local Economic technology to produce local products and Development (LED) is aimed at creating a services using local resources. Research, conducive local investment climate and the innovation and development will continue promotion of both SMMEs and major to be critical factors in creating and industries. Hence, access to external sustaining national competitive advantage markets, the attraction of private and economic growth during NDP 11. investment and the provision of infrastructure are all integral parts of LED. 4.21 Given the limited research capacity The success of LED largely depends on in the country, the strategy for NDP 11 will public, business and NGO partnerships, be to increase investment for quality with Government acting mainly as a research activity and directing it to address facilitator. the needs of the economy and industry. It

will also be important for research 4.19 In principle, the LED strategy institutions to collaborate with their depends heavily on local initiatives. This counterparts in the region. Increased promotes a stronger ownership of, and 61 research activity has the potential to create development of policies and legislation to new jobs. It is therefore critical that address threats, as well as measures to resources committed to research and enhance the state of the environment. innovation are utilised efficiently in order Specific areas will include land, water, to build capacity so as to enhance minerals, energy, biodiversity and cultural competitiveness in a knowledge-based resources, which are key to economic economy which is critical for economic development. diversification. 4.25 Local knowledge that is unique to a 4.22 Government will encourage given culture or society, which facilitates production of local products and services communication and local-level decision- using local resources and raw materials or making in agriculture, health care, food minerals, with the adoption of the preparation, education, natural-resource Indigenous Knowledge Systems. This will management, will be harnessed for require concerted efforts in research, economic growth and employment innovation and development in order to creation. The value of such resources and create and sustain national competitive their implication to economic development advantage in such products. The use of should be measured through natural capital indigenous knowledge and local products accounting to assess the physical stocks of has the potential to create employment for such natural resources and their utilisation. the unskilled and semi-skilled segment of the population and thereby improve their Climate Change Mitigation and quality of life. Hence, NDP 11 will continue Adaptation to invest in human resources and provide 4.26 Global climate change will have sustainable research in infrastructure and all implications for economic growth and other related areas such as science and employment creation. Its impact on technology. weather patterns adversely affects various economic sectors, such as agriculture and Sustainable Management of Natural and health. Agriculture, which is one of the key Cultural Resources economic sectors is vulnerable to the 4.23 A number of policy initiatives are impacts of climate change and so is the required in order to make sustainable economy’s ability to create further development the core cross-cutting issue of employment. The strategy for economic NDP 11. In this context, major programmes growth and employment creation should and projects in key sectors such as mining, therefore identify areas for intervention in agriculture, energy, water, manufacturing this sector, through mitigation and and tourism will be subjected to adaptation. NDP 11 strategies for growth sustainability appraisal, planning and and employment creation will thus focus on implementation during NDP 11 to ensure implementing the provisions of such policy. that social, economic and environmental This will also help address issues under the objectives are maximised and harmonised. strategy of sustainable management of natural resources, and also relieve pressure 4.24 Prudent management of natural on the social and economic systems. resources is desirable to ensure the derivation of maximum benefits through Domestic Expenditure as a Source for conservation and equitable distribution of Growth and Employment Creation benefits to the majority of the country’s 4.27 On the demand side of the economy, population through economic growth and the NDP 10 review has demonstrated that employment creation. During NDP 11, the slow economic growth was partly focus will be on the strengthening and/or 62 caused by low Gross Domestic 4.29 Structural rigidities in the economy Expenditure, particularly arising from can, however, limit the extent to which decreasing growth in household final increased spending can generate further consumption expenditure. As already economic growth. When the supply side of indicated, business confidence to invest in the economy is weak, the increase in the economy depends on the available expenditure can easily become inflationary, demand for goods and services. If, for any thereby crippling economic growth. When reason, aggregate demand is low, such expenditure increases are on production will be low with the consumptive imports, employment creation consequence of low economic growth and in the economy becomes limited. Similarly, limited employment creation. For example, when increased Government spending is the Botswana economy’s limited absorptive used to finance low quality projects, growth capacity (low aggregate demand) has opportunities become very limited. NDP 11 resulted in substantial amounts of will, therefore, focus on the removal of all institutional savings (mainly pension funds) the economic structural rigidities that can being invested outside the economy. These limit the growth impetus originating from are resources that could have been used to increased spending. Increased total factor grow the economy and create employment productivity, enhanced Government if there had been sufficient domestic implementation capacity, and strict project demand for goods and services. A strategy selection criteria will be emphasised. will be developed to attract such resources for investment locally to grow the economy Export-Led Growth Strategy and create more employment. Appropriate 4.30 As it has already been noted, export programmes and strategies on privatisation, markets can complement the domestic financial sector reform, and public sector market to generate the needed expenditure reforms are needed to boost domestic for growth and employment creation. The demand which will, in turn, entice the economic development experience of the business sector to invest these resources in Asian Tigers (Hong Kong, South Korea, the economy. The thrust of the NDP 11 Singapore and Taiwan), as well as that of strategies, therefore, will be to increase the China, clearly demonstrates that export-led capacity of the economy to spend at levels growth is critical in realising sustainable that will generate increased economic economic growth and creation of growth and employment creation. It is substantial employment opportunities. actually along these lines that the current

Economic Stimulus Programme (ESP) is 4.31 Despite Botswana’s limited premised. domestic market, the country has access to

regional markets such as the Southern 4.28 It is significant to note that, even African Customs Union (SACU) and the though programmes such as those of Southern African Development SMMEs and informal sector development Community (SADC), as well as work on the supply side of the economy, international markets of Europe and the they also have second round effects on United States of America through various economic growth and employment creation protocols, such as the Economic through their boosting effect on aggregate Partnership Agreement and the African demand. The more people are employed, Growth and Opportunity Act. However, the the more spending capacity is generated country’s external sector performance and this ends up in increased growth and continued to face some challenges during more employment creation. NDP 10, as evidenced by the persistence of

a negative external balance, indicating that

Botswana is a net importer of goods and country’s comparative advantages lie will services. Chapter 3 has already shown that be undertaken. As part of the NDP 11 the external sector of the Botswana implementation process, the development economy did not perform well during NDP of the strategy will be followed by industry, 10. The strategy for NDP 11 is, therefore, to sector and company mappings based on a promote the exports of goods and services, Strengths, Weaknesses, Opportunities and thus creating jobs in the domestic economy. Threats (SWOT) analysis. Based on this SWOT analysis, a roadmap aimed at 4.32 This export-led growth strategy will closing the gaps between Botswana and its draw heavily from the nation’s Industrial potential competitors in the global markets Development Policy, which aims at will be drawn, with particular attention to expanding the country’s industrial base both resource-based industries and service- through the development of diversified, led industries. sustainable and globally competitive industries. The country’s success in 4.34 The export-led growth strategy will pursuing an export-led growth strategy will draw from the cluster model and will depend on its level of competitiveness and initially focus on diamonds, cattle, tourism, productivity. While the resource-based mining, finance and other services. The industries will depend on available strategy will have the following benefits, if endowments and the country’s ability to successfully implemented: optimally exploit these resources, the Attraction of significant foreign direct growth of service-led industries will depend investment; on their competitiveness and the level of Greater utilisation of capacity because of productivity. In other words, the large market; competitiveness in the regional and global Increase in total factor productivity and markets lies at the heart of this strategy, the well-being of the citizenry; which depends on the country’s factor Economies of scale which improves productivity, availability of quality competitiveness; infrastructure, appropriate human skills and Significant employment generation and attitudes among the workforce, and the increase in labour productivity; existence of a conducive environment for Transfer of modern and evolving private sector development. Empirical technology; evidence shows that productivity and its Reduced pressures on the balance of alignment with prices is the key to payments in the current account; competitiveness and economic growth, Improvement in the allocation of scarce while better skills, better ideas, and better resources across the economy; and ways of doing things are critical to A sustainable economic growth process achieving competitiveness. In order to that will fast track the transition from a address the issue of productivity, the resource-based to an efficiency-based Government will continue to implement growth. measures to: improve factor productivity,

especially labour productivity; continue 4.35 It should be noted that for the export- with structural reforms to improve the led growth strategy to be successful, it business environment and competitiveness; should be driven by the private sector and and streamline labour relations such as should be supported by, amongst others, an work ethic, hiring and dismissal procedures, efficient public service, an investment and employee-employer relationships. friendly regulatory environment, a safe and

secure environment for citizens and 4.33 In order to develop a solid strategy, investors, good governance, zero tolerance a robust and detailed analysis of where the 64

for corruption, and sustainable residence permits, visas, licenses, and development policies. allocation of serviced land. In what follows below, a brief situational analysis is first Conducive Environment for the Private given and then followed by what needs to Sector to Grow the Economy and be done to enable the private sector to play Employment Creation its role of growing the economy and 4.36 The Botswana economy has generating employment. previously depended on Government revenues derived from the mining sector. Regulatory Framework for Doing While progress has been made, over the Business and Global Competitiveness years, to reduce the extent of dominance of 4.38 The nature of the existing regulatory the mining sector on the economy, this framework can affect the economy’s ability sector is still the biggest contributor to both to attract investment for growth and Government revenues and GDP. The sector employment creation. An overly stringent is, however, greatly exposed to global price framework will discourage investment fluctuations of commodities, making it less while a facilitative one will attract it. The dependable for growth. Further to that, its NDP 10 review has shown that the doing capital intensive nature limits its business environment and global employment generating capacity. For this competitiveness in Botswana have reason, alternative sources of growth, other continued to be a challenge. Requirements than the Mining sector, have to be found. for starting business are onerous. Consequently, it takes longer to start a 4.37 The private sector is generally business in Botswana than it does in other believed to be more efficient than the public countries with which Botswana competes sector in allocation of resources to for FDI. As a result, the country has production. Its profit orientation nature experienced a decline in the rankings in the dictates cost minimisation at a given level Doing Business (DB) and Global of output, and timely decision making Competitiveness reports during the first processes. Being less bureaucratic in its half of NDP 10. In response to the procedures than the public sector, decisions declining rankings, the Government are thus taken faster and timeously, making established a Cabinet Committee on Doing it more efficient in production. It therefore Business and Global Competitiveness to stands to reason that the private sector, and oversee the work of the National Doing not Government, should drive the growth Business and Global Competitiveness and employment creation process in the Committee. The Committee’s mandate, economy. Government’s role should be to which will remain in force during NDP 11, create a conducive environment for the is to coordinate reforms necessary to operation of the private sector. The improve the ease of doing business and conducive investment environment needed improve Botswana’s global for the private sector to operate entails competitiveness. factors such as: the existence of a highly productive workforce; availability of good 4.39 In order to bolster efforts to improve quality infrastructure; appropriately trained the doing business environment, a Doing manpower; stable macro-economic Business Reform Roadmap has been environment; an efficient regulatory prepared and is being implemented. The framework; security of investments; reforms include: respect for contracts; good governance in Introduction of business registration general; good work ethic among the deadlines; workforce; speedy approvals of work and

Provision of easy access to cadastral maps identified by the review of NDP 10 electronically; implementation are: ageing infrastructure Introduction of risk-based on-site and a backlog of maintenance; inadequate construction inspections; and production specific infrastructure; and Introduction of negative listing licensing limited participation by the private sector in system; and, infrastructure development. To address Further expansion of the aviation industry these, high quality infrastructure will be put in order to cater for the needs of travellers, in place as it is one of the key elements that which include continuously lobbying the constitute a conducive investment aviation authorities on issues of environment. To this end, during NDP 11 liberalisation of skies and fair implementation, more emphasis will be competition. placed on infrastructural development in various sectors of the economy that can Governance, Safety and Security increase the economy’s production capacity 4.40 Good governance, safety and and improve its global competitiveness. security can provide a conducive The private sector is expected to play a environment for growth through their major role in infrastructure development positive effects on both domestic and through, for example, provision of foreign investors. Investors will invest electricity by independent power producers, where property rights are well defined and which has already commenced. There is clear and there is little risk of loss of also great potential in the areas of waste property. In that regard, in NDP 11, the water treatment and re-use, railway Government will continue to strengthen and construction, education, health and other consolidate the gains made over the years major infrastructure projects. Priority will with respect to good governance. also continue to be given to the Appropriate policies will be implemented maintenance of existing infrastructure in such critical areas as combatting during NDP 11 so as to preserve the corruption, respect for the rule of law, existing infrastructural assets. citizen and equal participation in decision making and promoting transparency and 4.42 Other efforts to enhance accountability. In addition, effective policy infrastructural development include: measures will be implemented to ensure increasing the Independent Power that, during NDP 11, the nation will Producers (IPPs) participation in the energy continue to feel safe and secure by having market and promoting Public Private confidence in their national security Partnerships in the provision of the structures and frameworks, equipped with necessary infrastructure for beneficiation the capacity to deal with the emerging projects. threats. These measures will provide an environment that will assure investors of Information and Communication their personal safety, as well as the Technology protection of their investments. 4.43 The challenges that have been identified include: comparatively high cost Infrastructure of ICT services, slow implementation of e- 4.41 The availability of good quality Government programmes, and limited infrastructure affects the cost of production participation and empowerment of citizens for any undertaking. This naturally affects in the sector. Measures will be put in place the conduciveness of the environment for to ensure that ICT will continue to play a creating economic growth and employment pivotal role in the development and creation. Some of the challenges that were diversification of the economy. ICT

66 provides a much needed environment for standards. As a consequence, their impact the Botswana economy to prosper. For on the lives of Batswana was sub-optimal. example, unfettered access and ease of flow It is clear that continued concerted efforts of information through modern technology will be necessary to ensure that the NDP 11 will attract big companies into the country, programmes, projects, initiatives and resulting in job creation and income policies are implemented efficiently to generation. The training of ICT personnel achieve inclusive growth. will continue to be accorded priority in order to enhance the sector’s contribution to 4.47 The following measures, which are, economic and export diversification, as by no means exhaustive, should continue to well as the creation of high quality jobs. be implemented with renewed vigour: Improving the overall coordination of the 4.44 Botswana will strive to achieve the implementation of Government goal of universal access to reliable high programmes, initiatives, projects and speed networks during NDP 11 so as to policies; improve competitiveness and attractiveness Using a dedicated unit to undertake mega to domestic and foreign investors, as well as projects; the general public. Equitable and affordable Re-engineering the tendering and access to broadband connectivity and adjudication processes to ensure speedy services will fuel creativity and enable delivery of projects; innovation among businesses and Ensuring adequate supervision of individuals by providing a platform that contractors to avoid cost overruns and supports entrepreneurial advancement, unnecessary delays in project delivery; access to information and services, and Enforcing the necessary sanctions as per active citizen participation in the the contracts with respect to non- information society. performing contractors across the board; Blacklisting companies that perennially ENHANCING IMPLEMENTATION fail to complete projects on time; CAPACITY Implementing the Privatisation Policy as well as the Public Service Outsourcing 4.45 During NDP 11, the Government will Programme; continue to address the problems associated Increasing the use of the Public-Private with delivery of projects in terms of time Partnerships (PPPs) project delivery and budgets. A number of causal factors mechanism; and have been identified which include: low productivity in both the public service and Implementing an effective and efficient national monitoring and evaluation the private sector; shortage of skilled system. manpower, especially in construction related disciplines; lengthy procurement processes; delays in the allocation of land, CONCLUSION especially by the land boards; weak project

management systems; and ineffective 4.48 In summary, it should be noted that monitoring and evaluation systems. the growth strategies outlined in this Chapter are consistent with those of the 4.46 As a result of the implementation SADC Regional Indicative Strategic capacity constraints, a lot of programmes Development Plan (RISDP), whose main and projects have suffered long delays and objective is to deepen regional integration, substantial cost overruns. In addition, a with a view to accelerating eradication of good number of projects did not meet the poverty and the attainment of other required specifications and quality economic and non-economic goals. This 67 chapter has mainly discussed ways and will be implemented during NDP 11 to means of realising “Developing Diversified complement the existing economic Sources of Economic Growth: as a key diversification initiatives. These initiatives priority area for NDP 11”. This is in supported by an overarching, export led recognition of the fact that, lately, growth strategy and improved conducive Botswana is faced with twin challenges of environment, are expected to contribute to declining economic growth trend and high private sector development. The unemployment rate. Hence, diversifying the development of the private sector is in turn economic base is fundamental. To this end, expected to increase prospects for a number of initiatives such as; employment creation and poverty beneficiation, cluster development, and reduction. creation of special economic zones strategy

CHAPTER 5

MACROECONOMIC PROJECTIONS FOR NDP 11

INTRODUCTION 5.1 The review of the NDP 10 revealed on domestic resource mobilisation. At the that the country continued to face same time, there will be strict management challenges of unemployment, poverty and of Government expenditure to ensure that income inequality, despite efforts to the limited available resources are deployed promote inclusive economic growth and in the best possible way to achieve growth development over the previous Plan and economic development. periods. To this end, strategies for addressing these challenges are outlined in 5.4 The presentation of the GDP Chapter 4 of this document. The execution projections is preceded by a brief summary of these strategies will, however, require discussion of how some of the strategies resources, both financial and human capital. discussed in Chapter 4 are expected to It is, therefore, imperative to estimate the impact on growth rates of the different resources that are likely to be available sectors. during the Plan period, and ensure their optimal deployment to achieve the desired SECTORAL STRATEGIES development results. UNDERPINNING GDP PROJECTIONS 5.2 This section of NDP 11, therefore, provides projections of two key 5.5 The projection of the amount of macroeconomic aggregates; Gross resources that will be available for the Plan Domestic Product (GDP) and Government implementation will greatly depend on the budget (revenues and expenditure), which success or failure of the planned strategies. influence each other. The performance of Success will bring more resources, while Government revenues depends on the failure will bring less. growth of the economy which, in turn, is influenced by Government expenditure. It Export-Led Growth Strategy is, therefore, important that the projections 5.6 This strategy, which has already of these macroeconomic aggregates, been outlined in Chapter 4 of the Plan, has especially the Government revenues and successfully been implemented in a number expenditures, are robust as they are central of countries across the world and has to the development planning process. enabled those countries to achieve robust

socio-economic growth over extended 5.3 Whereas Government has better periods of time. Its adoption and control on the projection of its expenditure, implementation in Botswana is expected to forecasting the quantum of revenues that is help the country to achieve high and likely to be available during the Plan period sustainable levels of growth, which will, in is rather difficult, given the country’s turn, enable the country to resolutely continued dependence on diamonds and confront the various development customs and excise receipts, which are challenges. For this strategy to succeed, subject to global market forces. To address there is need for active participation in the risk associated with the country’s economic activities by the private sector. A dependence on diamond revenues, more successful implementation of this strategy efforts to diversify the revenue base will be is expected to contribute to the growth of pursued during NDP 11, focusing mainly 69 sectors such as Manufacturing and Trade, 5.9 Broadband connectivity will enable Hotels and Restaurants. the connection of businesses, individuals and communities, giving them the ability to harness resources and capabilities across Infrastructure Development geographic areas. Connectivity to modern 5.7 The NDP 11 development internet infrastructure will be the conduit to expenditure (inclusive of the Economic enable access to the world, and for Stimulus Programme) is over P101 billion, Botswana to export her ideas, products and the bulk of which will be used to fund services to the global market place, thereby various infrastructure projects in areas such opening opportunities for an export-led as; water, energy, tourism, agriculture, growth. The effective use of ICT will also education and health. In addition, priority boost productivity and growth rates in will continue to be given to the maintenance technology driven sectors, such as; of existing infrastructure so as to preserve Communications, Finance and Business these national assets. There will also be Services, Trade, Hotels and Restaurants, investments in infrastructure projects by the Mining and Manufacturing. private sector in general, and in particular, through PPPs. An example of the latter is Improved Quality of Education and the tender that was awarded in 2016 for the Training construction of Morupule Units 5 and 6 by an Independent Power Producer (IPP). 5.10 The country has invested With significant investments planned for significantly in education and skills infrastructure development during NDP 11, development, with more than 25 percent of it is expected that there will be a positive the total annual budgets being allocated to the education sector over the past two impact on the growth of key sectors, such as; Construction, Agriculture, Mining, decades. However, there are still many Manufacturing, Water and Electricity, challenges within this sector, which Trade, Hotels and Restaurants, and include: inadequate inclusiveness of the Transport and Communications. education system; sub-optimal utilisation of Infrastructure development will facilitate ICT; low transition rates from secondary to increased and inclusive beneficiation and tertiary education; and mismatch between access to these sectors. skills produced by the education system and the needs of the economy. To address these challenges, the Ministries of Basic Investment in Information and Education and Tertiary Education, Communication Technology (ICT) 5.8 The Government has, over the Research, Science and Technology will implement, amongst others, the recently years, invested heavily in the development of ICT backbone infrastructure, such as approved Education and Training Sector connection to the East and West Africa Strategic Plan (ETSSP), which is expected Cable Systems and the rollout of fibre-optic to greatly change the human development cables across the country. During NDP 11, landscape by introducing new strategies emphasis will be placed on the and reforms. The planned changes in the development of effective e-services, sector include: revision of curricula across broadband connectivity and postal network, all levels; up-skilling and motivation of as well as implementation of e-Government teachers; increasing access to tertiary projects. Equitable and affordable access to education; matching training with industry broadband connectivity and services will needs; retooling of skills in areas that have fuel creativity and enable innovation among been identified as critical to improve the businesses and individuals. performance of the economy; and increasing the utilisation of ICT. These 70 measures are expected to improve the achieving high rates of economic growth quality of graduates, thus contributing adopted and implemented forward looking positively to growth in all the key sectors of policies on research, science, technology the economy. Moreover, improvements in and innovation. In order to address the the quality of education should hasten the current limited research capacity in the country’s move from a factor-driven to a country, the strategy for NDP 11 will be to knowledge-based economy. increase investment in quality research activities and to direct those research Improvement of Productivity in the activities towards meeting the needs of the Economy economy and industry. It will also be 5.11 One of the problems facing the important for research institutions to country is the decline in total factor collaborate with their counterparts in the productivity, especially labour region in order to benefit from the resultant productivity. Growth in labour productivity synergies. Increased research activities in the country, as measured by value added have the potential to enhance efforts per person employed, has been declining towards diversifying the economy through over the past two decades. With the positive improved global competitiveness on the relationship between total factor back of high quality products and services. productivity and economic growth in Planned measures to promote research and Botswana, the failure to effectively address innovation during NDP 11 are therefore the issue of low productivity undermines expected to contribute positively to the the country’s ability to operate at its full growth of all sectors of the economy. potential. As a result, the country’s ambition of being a high income country PROJECTIONS UNDER BASE CASE may be difficult to realise in the foreseeable SCENARIO future. In view of this, the Government will continue to implement measures during GDP Projections NDP 11 to improve factor productivity, 5.13 On the basis of the latest available especially labour productivity, by: pursuing data on the economy, as well as the structural reforms to improve the business anticipated impact of the implementation of environment and competitiveness; the strategies for NDP 11, economic growth removing unnecessary bureaucratic rates were estimated for the entire Plan procedures; developing and implementing period. As captured in both Table 5.1 and policies to promote the private sector as an Table 5.3, under the Base Case scenario, it engine of growth; continuing to implement is projected that, during NDP 11, the human resource management policies that economy will grow at an average rate of 4.4 improve the efficiency of the public percent. The domestic economy is service; and streamlining labour relations projected to grow at 5.1 percent and 3.2 such as work ethic, hiring and dismissal percent for Optimistic and Pessimistic Case procedures, and employee-employer scenarios, respectively, (Table 5.3). A relationships. Any significant summary of the projected sectoral growth improvements in productivity in both the rates is contained in Table 5.1. To capture public and private sectors will have salutary the peculiarities and special attributes of effects on the economic growth and overall each sector, estimates were done at sub- health of the economy. sector level and aggregated using predetermined appropriate sectoral weights Research, Innovation and Development of the economy to produce a national GDP 5.12 Empirical evidence has shown that growth rate for each projected year. For countries that have been successful in example, for the agriculture sector, 71 livestock and crop production sub-sectors Diversification Drive, Special Economic were analysed separately to capture the Zones, and the ESP. Such programmes are impact of animal disease outbreaks such as expected to contribute to economic foot-and-mouth disease, unfavourable diversification, with strong positive effect weather conditions such as prolonged on the performance of the sector. droughts and flood incidences. Furthermore, the sector is expected to benefit from the expansion of both ICT and 5.14 What follows below is a summary general infrastructure across the country. of the main assumptions for key sectors that have the highest impact in driving domestic 5.18 The Finance, Insurance and economic growth that includes: Mining; Business Services sector, which is Construction; Trade, Hotels and composed of the Business Services sub- Restaurants; Finance, Insurance and sector at 39.8 percent and Banking sub- Business Services; Transport and sector at 24.4 percent, is expected to Communications; Social and Personal significantly benefit from ICT Services; and Manufacturing. improvements, accelerated land servicing, as well as human resource development and 5.15 For the Mining sector, based on the productivity improvement programmes. production level of 20.824 million carats of diamonds for 2015, it was assumed 5.19 The Transport and Communications production will decrease to 20.746 million sector, whose value added comes mainly carats in 2016/2017, and remained at that from the Communications sub-sector (39.3 level during the financial years 2017/2018 percent), Air travel sub-sector (25.9 and 2018/2019. Thereafter, there will be an percent) and ground traffic sub-sector (21.4 additional one million carats produced percent), is expected to benefit from every year for the remainder of the Plan planned programmes such as: railways period. freight transportation, especially the re- introduction of the passenger train service; 5.16 Forecasts for the Construction road infrastructure development, including sector uses trend analysis for the rest of the the construction of the Kazungula and Plan period, except for 2017 and 2021, Mohembo bridges, and the resultant taking into account the impact of the increase in cross-border traffic between Economic Stimulus Programme (ESP) and Botswana and its neighbours; and the open other Government policies on the sector. skies arrangement following the The sector is forecast to grow by 4.7 completion of the major airports in Maun percent, and 4.3 percent for 2017 and 2018, and Kasane. All these are expected to boost respectively. For the years 2019/2020 and the sector’s growth during NDP 11. 2020/21, it is expected to grow at 4.0 percent and 3.7 percent, respectively. This 5.20 The Social and Personal Services growth falls further to 3.6 percent in sector, which is dominated by Non-profit 2020/2021, but then recovers to 3.9 percent Making Institutions Serving Households by the end of the Plan. (66.4 percent) and Household Business Enterprises (22.9 percent), is expected to 5.17 The growth in the Trade, Hotels and benefit from continued implementation of Restaurants sector, which is dominated by measures to promote the growth of Small, Hotels & Restaurants and Retail, with Medium and Micro Enterprises, as part of shares of 37.8 percent and 31.5 percent, citizen economic empowerment in the respectively, is assumed to grow modestly, country. Through the ESP, concerted underpinned by the implementation of efforts will be made to advance citizen Government programmes of Economic economic empowerment and 72 implementation of local procurement poor performance experienced in NDP 10, schemes. A Government policy to reduce with expected improvements in output at the number of students sponsored to study Morupule B in 2016, increased production abroad also contributes to the expansion of from Solar Photovoltaic power plant (100 the provision of education by the private MW) in 2017, as well as an additional 300 sector in the country, thus, providing MW from units 5 and 6 at Morupule B in growth impetus to this sector. 2018. These should provide direct growth impetus to the sector, as well as indirect 5.21 With regards to the Manufacturing positive impact to other sectors during NDP sector, which comprises mainly: meat and 11. meat products sub-sector (13.6 percent); beverage production (11.1 percent); and 5.22 Among the sectors expected to “other” group at 54.8 percent, is poised to register significant growth rates during benefit from the African Growth and NDP 11 are: Trade, Hotels & Restaurants Opportunity Act, which was extended in sector, with an average of 6.8 percent per 2015 by the Government of the United annum; Transport & Communications States of America. In addition, the sector is sector at 6.0 percent; and Social & Personal expected to benefit from the intensification Services sector at 4.6 percent. Slow of the implementation of programmes such growing sectors, on the other hand, include as EDD, ESP and diamond beneficiation Agriculture, Mining, General Government activities. The Water and Electricity sector, and Manufacturing, which are expected to which is made up of water supply and register average growth rates of less than distribution (40 percent) and electricity 3.0 percent per annum during the Plan generation and distribution (60 percent), is period. projected to significantly recover from the

Table 5.1: Real GDP Growth Rate Projections (%): 2017/18-2022/23 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 Average Agriculture 1.0 1.0 0.5 0.4 0.5 0.6 0.7 Mining 0.0 1.0 3.8 3.8 4.2 4.1 2.8 Manufacturing 2.7 2.2 2.4 2.5 2.4 2.4 2.4 Water & Electricity 36.1 28.2 21.5 11.7 9.1 4.0 18.4 Construction 4.7 4.3 4.0 3.7 3.6 3.9 4.0 Trade 7.1 7.0 6.9 6.7 6.6 6.5 6.8 Transport 6.2 5.9 6.1 6.0 6.0 6.0 6.0 Finance & Business 3.9 4.2 4.2 4.1 4.2 4.2 4.1 General 2.7 2.7 2.7 2.7 2.7 2.7 2.7 Government Social & Personal 4.9 4.8 4.3 4.4 4.5 4.6 4.6 Services Total Value Added 4.1 4.2 4.5 4.5 4.5 4.5 4.4 Adjustment items 4.1 4.2 4.5 4.5 4.5 4.5 4.4 Total GDP 4.1 4.2 4.5 4.5 4.5 4.5 4.4 Non-Mining 4.6 4.6 4.6 4.6 4.6 4.6 4.6 Non-Mining Pvt 5.0 5.0 4.9 4.9 4.9 4.9 4.9 Sector Source: MFED Projections

Government Budget Projections and other revenues and grants. The revenue 5.23 As part of the Public Finance projections are based on the latest available Management Reforms, the Medium Term macroeconomic data such as GDP, Fiscal Framework (MTFF) and Medium inflation, and exchange rates. Term Expenditure Framework (MTEF) were adopted in the country’s budgeting 5.25 Mineral revenues are assumed to process. MTFF has been used to project grow in line with mining sector value both Government revenues and added, while customs and excise revenue expenditures, which are then used in setting were generated using South African annual budget ceilings and revenue targets. Treasury forecasts for both customs and On the other hand, the MTEF was used to excise pool and historical averages of the take into account the impact of changes in customs and excise revenue/GDP ratio. Government policy on fiscal aggregates, as Other non-mineral revenues are estimated set out in the National Development Plan as a residual between total non-mineral and other policy documents. These revenue and customs and excise revenues. frameworks provide a forecast for three financial years, as well as aligning of 5.26 At the beginning of NDP 11, total policies with the budgeting process. Table revenues are estimated to be P52.76 billion 5.2 contains the expected revenues and in 2017/2018 and expected to grow at an expenditure during NDP 11. average annual rate of 6.7 percent to reach P70.78 billion by 2022/2023. Total Government Revenue Forecasts revenues for the entire Plan period are 5.24 During NDP 11, the revenue expected to reach P365.08 billion. Figure structure within the Base Case scenario is 5.1 shows the projected shares of major expected to remain relatively unchanged, sources of revenues. Mineral revenues are dominated by mineral and customs & projected to contribute between 32.0 excise revenues. However, non-mineral percent and 36.2 percent of total revenues revenues, excluding customs and excise, during NDP 11, while non-mineral are also expected to grow in line with revenues (customs and excise and others) growth in non-mining GDP. Among the will contribute between 63.8 percent and major components of the non-mineral 68.0 percent. Of this, customs and excise revenues are income tax, value added tax, will contribute 26.0 percent.

Table 5.2: NDP 11 Government revenues & Expenditure (P million) at Current Prices 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 Total Total revenue 52,763 54,753 58,363 62,125 66,299 70,775 365,078 Mineral Revenue 19,125 19,703 20,419 21,068 21,860 22,665 124,839 Non-Mineral Revenue 33,638 35,051 37,944 41,058 44,439 48,110 240,240 Of which Customs & Excise 13,429 13,456 14,765 16,200 17,775 19,503 95,127 Non-mineral Income Tax 10,634 11,396 12,209 13,071 13,995 14,987 76,292 VAT 6,645 7,121 7,661 8,236 8,854 9,519 48,035 Other Revenue & Grants 2,930 3,078 3,310 3,550 3,816 4,102 20,786 Total Expenditure & Net lending 59,579 62,172 62,531 61,415 59,133 59,195 364,026 Recurrent spending 40,824 42,077 43,195 44,294 45,423 46,583 262,396 Personal Emoluments 18,769 19,456 20,040 20,641 21,261 21,898 122,066 Other Charges 10,111 10,357 10,668 10,988 11,317 11,657 65,097 Grants and Subventions 11,315 11,655 11,830 12,007 12,187 12,370 71,364 Interest Payments 629 609 658 658 658 658 3,869 Development Spending 18,882 20,188 19,168 16,901 13,692 12,575 101,406 Net lending -127 -92 168 220 18 37 224 Overall Balance -6,817 -7,419 -4,168 710 7,166 11,580 1,052 Cumulative deficit -6,817 -14,236 -18,404 -17,694 -10,528 1,052 1,052 Overall Balance as % GDP -4.1% -4.2% -2.2% 0.4% 3.3% 5.0% 0.1% Source: MFED Projections

5.27 Overall, non-mineral revenues will be achieved through continued measures to dominate Government revenues at the ratio strengthen tax administration such as of about 65:35 during the NDP 11 period. simplification and streamlining of tax This dominance of non-mineral revenues collection systems, and the implementation over mineral revenues is in line with the of cost recovery measures. Even though policy of reducing the economy’s heavy customs and excise is projected to remain a dependence on mineral revenues. With the major source of revenue (26.0 percent), customs and excise revenue share being given the uncertainty over the projected to remain at around 26.0 percent, renegotiations of the SACU revenue non-mineral income tax revenues becomes formula, it is important for the country to an important source for Government continue with efforts to diversify its revenues; contributing around 20.9 percent revenue base during the Plan period. to total Government revenues. This would

Figure 5.1: NDP 11 Projected Shares of Major Sources of Revenues (%) 45.0 40.0 35.0 30.0 25.0 Mineral Revenue 20.0 Percent Customs & Excise 15.0 Other 10.0 5.0 0.0

2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 Source: MFED Projections

Government Expenditure Projections 5.28 Government expenditure is divided of the Plan, is incorporated into these into recurrent and development. Recurrent figures. Whereas Government has expenditure is mainly made up of personal attempted to maintain a balance between emoluments. These are determined using a recurrent and development expenditure at a workforce model which takes into account ratio of about 70:30 over the years, the latter the size of the public sector workforce, new usually suffers when there is adjustment to employees, terminations and retirements to be made to control overall expenditure. estimate the cost of the workforce every year. The other major component of 5.30 As shown in Table 5.2, total recurrent expenditure is grants and expenditure and net lending is expected to subventions, which are set to grow by 3.0 amount to P364.03 billion based on the percent salary creep as of 2019/2020, plus Base Case scenario, against a resource recurrent expenditure arising from envelope of P365.08 billion during NDP development expenditure at 10.0 percent. 11. In the first two years of the Plan, Other charges are projected to grow in line development spending will include ESP. with the forecast inflation rate. Domestic The Government budget will be in deficit interest payments are estimated to grow in position during the first three years of the line with expected outstanding domestic Plan. However, these deficits will debt and the average bond coupon rate. progressively decrease. A modest surplus Similarly, interest payments on external position of P711 million will be achieved in debt estimated to grow in line with the the 2020/2021 fiscal year, followed by a expected outstanding external debt and its relatively significant surplus of P7.2 billion interest rate profile, as calculated within the and P11.6 billion during the final two years Debt Recording and Management System. of the Plan, respectively. A small cumulative surplus of P1.1 billion is 5.29 The Development expenditure projected by the end of the Plan. This component covers capital spending aimed suggests that there will be an increased need at expanding the production capacity of the for continued vigilance and prudence in economy. This expenditure is assumed to spending, since revenue outturn may turn grow in line with the forecast inflation rate. out to be lower than forecast during NDP The ESP expenditure, for the first two years 11.

GDP AND GOVERNMENT PROJECTIONS UNDER ALTERNATIVE SCENARIOS

5.31 While the Base Case scenario the NDP 11 period the base is 2016/2017. captures what is most likely to happen in The information used to undertake scenario the future given the current economic analysis was based on information provided outlook, it is possible that the actual outturn by the Department of Mines on the global can be better or worse than the envisaged diamond market. Under the Pessimistic outcome. The possible occurrence of a scenario, it is assumed that the global better outturn is normally referred to as the diamond market continues to Optimistic scenario and a worse one is underperform, resulting in the high considered a Pessimistic scenario. GDP and likelihood that diamond revenues would be total revenues projections are undertaken severely affected. The Pessimistic under Optimistic and Pessimistic scenarios, Scenario assumes a diamond production of and compared to those of the Base Case 17.7 million carats in 2016. Thereafter, scenario. production declines to 15.5 million carats in 2020 and remains at 15.5 million carats for GDP Projections the rest of the Plan period. The results are 5.32 It is significant to note that while as captured in Table 5.3. these projections concern themselves with

Table 5.3: NDP 11 Real GDP Growth Rates under the Different Scenarios (%) Base Case 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 Average Mining 0.0 1.0 3.8 3.8 4.2 4.1 2.8 Non-Mining Pvt Sector 5.0 5.0 4.9 4.9 4.9 4.9 4.9 General Government 2.7 2.7 2.7 2.7 2.7 2.7 2.7 Total GDP 4.1 4.2 4.5 4.5 4.5 4.5 4.4 Non-Mining GDP 4.6 4.6 4.6 4.6 4.6 4.6 4.6 Optimistic 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 Average Mining 4.6 4.8 5.7 3.9 3.9 3.6 4.4 Non-Mining Pvt Sector 5.5 5.6 5.7 5.6 5.7 5.7 5.6 General Government 2.7 2.7 2.7 2.7 2.7 2.7 2.7 Total GDP 5.0 5.2 5.3 5.0 5.1 5.1 5.1 Non-Mining GDP 5.1 5.2 5.3 5.2 5.3 5.3 5.2 Pessimistic 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 Average Mining 1.2 2.9 -0.6 3.0 -1.4 -0.7 0.7 Non-Mining Pvt Sector 3.7 3.6 3.6 3.6 3.6 3.6 3.6 General Government 2.7 2.7 2.7 2.7 2.7 2.7 2.7 Total GDP 3.3 3.4 3.0 3.4 3.0 3.1 3.2 Non-Mining GDP 3.5 3.5 3.4 3.5 3.5 3.5 3.5 Source: MFED Projections

5.33 The Optimistic Scenario, on the instability in the global markets for our other hand, assumes a quicker recovery of 1 minerals will not significantly disturb other million carats increase per annum from sectors of the economy. 2016 to 2018, followed by an annual increase of 1.5 million carats per year up to 5.35 The magnitude of the initial shock the end of the Plan. This scenario further to diamond production, together with the assumes a relatively stronger response to rate at which the mining sector would the ESP, particularly by the Trade, Hotels recover from any shock, define the main and Restaurants and the Construction difference among the three projection sectors. Both these sectors are projected to scenarios. Using information from the post average growth rates of around 11 Department of Mines, the Base Case percent. scenario assumed a diamond production of 20.7 million carats in 2016. The same 5.34 Across the three scenarios, the non- production level is projected to hold for mining private sector is the fastest growing 2017 and 2018, after which an additional subsector. It is important to note that the one million would be produced every year General Government sector growth rate is up to the end of the Plan period. identical across scenarios. This is because this sector mainly comprises of personal 5.36 The other significant result emoluments and these have been projected emerging from these GDP projections to grow at a salary creep of 3.0 percent. relates to the role that will be played by the Also worth noting, is the fact that the non- non-mining private sector under the three mining private sector growth rates between scenarios. The first point to note is that for the Base Case and the Pessimistic scenarios all the three scenarios, the non-mining are only marginally different. This is private sector will contribute relatively because it has been assumed that, with more to GDP at the end of the Plan than at robust programmes in the economy, the beginning as can be seen in Figure 5.2.

Figure 5.2: NDP 11 Non-Mining Private Sector Share of GDP 62 61.5 61 60.5 60 59.5 59 58.5 58 57.5 57 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23

Optimistic Base Pessimistic

Source: MFED Projections

5.37 The non-mining private sector’s scenarios. Under this scenario, this sub- share of GDP is largest under the sector’s contribution to GDP is projected to Pessimistic scenario compared to the other rise from 60 percent at the beginning of the

Plan and to reach 61.4 percent by the end of Case, Optimistic and Pessimistic scenarios the Plan. This compares with the is presented in Table 5.4. contributions of 59.7 percent and 61 percent for the Base Case. For Optimistic scenario, Revenue Projections it is 58.5 percent and 60 percent over the 5.39 The forecasts of total revenues same period. This underscores the strategic under both the Optimistic and Pessimistic role of the private sector in economic scenarios were generated in the same growth of the country, which mitigate the manner as those in the Base Case scenario; economic external shocks that affect the except that some of the underlying mining sector. Under both the Pessimistic assumptions were varied. In this regard, the and Base Case scenarios, the private sector figures in both Optimistic and Pessimistic is increasingly expected to step in and scenarios for the years 2017/2018 and mitigate the economic shocks that may 2018/2019 were generated from the MTFF, arise. The almost identical result between which is aligned to the GDP growth rate the Pessimistic and Base Case scenarios projections. For the period 2019/2020 – captures the fact that projection 2022/2023, total revenues are assumed to assumptions have placed emphasis more on grow in line with total value added. Mineral mining shocks without including sectoral revenues are forecast to grow in line with response to such shocks. mining value added, while non-mineral

revenue will be derived as a residual. Table Summary of Government Budget 5.4 summarises the revenues generated Projections under the three different scenarios. As 5.38 A summary of the comparison of would be expected, the Optimistic scenario revenues and expenditure for the Base gives the highest level of revenues followed by the Base Case, with the Pessimistic scenario yielding the lowest level.

Table 5.4: NDP 11 Government Budget Summary by Various Scenarios (P million) 2017/18 2018/19 2019/20 2020/21 2021/22 2022/23 Total Revenue Base Case Scenario 52 763 54 753 58 363 62 125 66 299 70 775 Optimistic Scenario 52 763 55 131 59 091 63 042 67 405 72 077 Pessimistic Scenario 52 763 54 940 57 814 61 269 64 470 68 029 Expenditure & Net lending Base Case Scenario 59 579 62 172 62 531 61 415 59 133 59 195 Optimistic Scenario 59 579 62 172 62 531 61 415 59 133 59 195 Pessimistic Scenario 59 579 62 172 62 531 61 415 59 133 59 195 Recurrent spending Base Case Scenario 40 824 42 077 43 195 44 294 45 423 46 583 Optimistic Scenario 40 824 42 077 43 195 44 294 45 423 46 583 Pessimistic Scenario 40 824 42 077 43 195 44 294 45 423 46 583 Development Expenditure Base Case Scenario 18 882 20 188 19 168 16 901 13 692 12 575 Optimistic Scenario 18 882 20 188 19 168 16 901 13 692 12 575 Pessimistic Scenario 18 882 20 188 19 168 16 901 13 692 12 575 Overall Balance Base Case Scenario -6 817 -7 419 -4 168 711 7 166 11 580 Optimistic Scenario -6 641 -6 734 -3 108 1 973 8 636 13 262 Pessimistic Scenario -7 514 -8 230 -5 787 -1 290 4 106 7 512 Cumulative surplus/deficit Base Case Scenario -6 817 -14 236 -18 404 -17 694 -10 528 1 052 Optimistic Scenario -6 641 -13 376 -16 484 -14 510 -5 875 7 387 Pessimistic Scenario -7 514 -15 744 -21 531 -22 820 -18 714 -11 202 Source: MFED

Total Expenditure and Net Lending Projections 5.40 As in the case of revenues, both the is arrived at by subtracting the projected development and recurrent expenditure expenditures from the projected revenues. figures are anchored on the MTFF figures It can be read from Table 5.4, that at the end with 2015/2016, as the base year. However, of the Plan, Government budget will attain after the period 2017/2018 – 2018/2019, surpluses. growth in total Government expenditure will be driven by recurrent expenditure, 5.41 Under the Optimistic scenario, the which is expected to grow by a salary creep last three years of the Plan will generate rate of 3 percent. Development expenditure significant surpluses that will be sufficient on the other hand is assumed to grow in line to offset deficits of first half of the Plan, with inflation forecast for the last four years thus leading to a cumulative surplus of P7.4 of the Plan. Net lending is forecast using a billion. The Pessimistic scenario is 5-year moving average. Table 5.4 expected to register deficits in all of the six summarises the Government budget under years of the Plan, and will yield a different scenarios. The net budget position cumulative deficit of P11.2 billion. Suffice

80 to note that, for all the three scenarios, 5.44 During NDP 11, Government relatively large deficits will be experienced therefore, proposes a comprehensive fiscal at the beginning of the Plan, largely due to rule, whose main elements are: financing an increase in the development expenditure recurrent budget from non-mineral for those years. revenues; splitting the spending of Mineral Revenues- with up to 60 percent invested in 5.42 In summary, as expected, the physical and human capital, while up to 40 Optimistic scenario shows a slightly better percent is saved as financial assets for outcome than the Pessimistic scenario. future generations; restricting total Should the Optimistic scenario finally government expenditure to GDP at 30 materialise, the Government may be in a percent; maintaining a 70:30 allocation position to adjust its expenditure between recurrent and development programme accordingly. Conversely, if the budgets; and maintaining the statutory Pessimistic scenario was to happen, then debt-to-GDP limit of 40 percent; of which Government will adjust its expenditure 20 percent is domestic debt, while the other profile downward to ensure budgetary 20 percent is foreign debt. sustainability. Adjusting expenditure downward would also ensure that the 5.45 Total Government expenditure country continues to maintain sustainable levels captured in Table 5.2 have been debt in future. based on the fiscal rule requirement that this item should be 30 percent of GDP. PROPOSED FISCAL RULE FOR NDP However, the other element of financing 11 recurrent budget from non-mineral revenues will not be achieved during NDP 5.43 As a resource dependent country, 11, as non-mineral revenues would not be Botswana has long embraced the use of sufficient to cover recurrent budget for the fiscal rules to strike a balance between the most part of the Plan period. Mineral short term fiscal objective of achieving revenues will therefore be used to finance macroeconomic stability and the medium part of the recurrent budget, as well as the term to long term goal of promoting fiscal entire development budget, leaving a little sustainability. The primary objective of the amount for savings. Budget deficits are fiscal rule is to ensure that revenues from anticipated during the first half of the Plan. the exploitation of non-renewable However, the situation is projected to commodities such as diamonds are invested improve in the second half of the Plan, in physical and human capital to promote making it possible to save part of the future growth, or saved for future mineral revenues for future generations. generations. However, the implementation of elements of the fiscal rule in the country 5.46 Even with the projected mineral such as the sustainable budget index and the revenue savings in the second half of NDP restriction of total expenditure as a share of 11, this will not be enough to meet the GDP, has been elusive and uneven over the proposed fiscal rule of 60:40 percent years. With the experience of the investment to saving ratio during the Plan 2008/2009 financial and economic crisis, period. However, Government is there is need to update and consolidate the committed to a gradual move towards the existing elements into a comprehensive target of investing 60 percent and saving 40 fiscal rule in order to achieve the fiscal goal percent of mineral revenues over the of sustainable public financing and medium to long term (NDP 12). To achieve economic development. that, measures will be needed to mobilise domestic revenues and control expenditure.

In this regard, there will be need for 81 concerted efforts to expand the tax base to improvement compared to the NDP 10 mobilise domestic revenues to finance the period, the situation of constrained entire recurrent budget and an increasing resources will continue to be a challenge. share of the current physical infrastructural developments and human capital formation. 5.49 As such, the strategy is to continue These will be achieved by diversifying the giving priority to programmes and projects economy into non-mining sectors that that yield the highest value for money. contribute directly to income and Hence, Government will continue to consumption. In addition, the country’s tax prioritise spending on education and health, base will need to be protected and expanded as well as on infrastructure projects that will by reviewing the tax laws to remove expand the country’s production capacity opportunities for tax avoidance. and enhance its international Furthermore, efforts will be made to competitiveness. Priority will further be consolidate collection of fees and levies to given to the creation of substantial and augment Government revenues and cost sustainable jobs in order to rigorously recovery where appropriate. address the problems of unemployment, poverty, and income inequality. 5.47 A major challenge to the implementation of the fiscal rule is 5.50 A fiscal rule has been adopted, as Government’s ability to manage growth in part of NDP 11, aimed at striking a balance expenditure, especially the recurrent between achieving macroeconomic spending. In recent years, Government stability in the short term and promoting expenditures, especially the recurrent fiscal sustainability in the medium to long budget, has recorded relatively high growth term. The primary objective of the fiscal rates, more than the usual increment creep. rule is to ensure that revenues from non- Addressing this challenge will require renewable resources are largely invested in concerted efforts on the part of the physical, financial, and human capital that Government to reign in on the growth of have the potential to promote future growth, Government spending. Equally important and that such expenditures take into will be the need to improve on the quality account the interest of future generations. of Government spending by enforcing strict analysis in project appraisal to ensure value 5.51 The main elements of the fiscal rule, for money in the implementation of include: financing recurrent budget from projects. With rigorous project appraisal, non-mineral revenues; and splitting the the investment of part of the mineral spending of Mineral Revenues, with up to revenues to develop economic 60 percent invested in physical and human infrastructure and build an appropriate skill capital; while 40 percent is saved as base will improve total factor productivity, financial assets for future generations. To and ensure the country’s future sustained achieve this, there will be need for economic growth. concerted efforts to expand the tax base and to mobilise non-mineral revenues to finance CONCLUSION the entire recurrent budget so that an increasing share of the mineral revenues is 5.48 The economy is expected to grow in spent on productive capital, while the real terms, at an average rate of 4.4 percent balance is saved for future generations. during NDP 11. Although this is an

CHAPTER 6

ECONOMY AND EMPLOYMENT

INTRODUCTION

6.1 The main thrust of the Economy NDP 11 in order to realise the full benefits and Employment thematic area is to of ICT. promote inclusive economic growth and 6.3 During NDP 11, existing competitiveness through diversification, infrastructure will be upgraded and/or competitive human resources (HR) and rehabilitated. In addition, new creation of sustainable jobs. In order to infrastructure will be provided so as to achieve these in the medium to long-term, deliver public services more effectively and the thematic area will focus on: to make services more accessible than at development of infrastructure; creation of current levels. It has been noted that there conducive business environment; has been inadequate involvement of the establishment of vibrant, diversified and private sector in financing and managing competitive industries; production of infrastructure projects in Botswana. quality and relevant training programmes; Therefore, more involvement of the private production of efficient and effective human sector will be a critical part of the economic resource; improving capacity of research diversification strategy. Although and innovation; production of an Government is committed to making more entrepreneurial and prosperous society; use of Public Private Partnerships (PPPs) as and attraction of both domestic investment means of procurement and financing of and foreign direct investment (FDI). infrastructure projects, there is limited experience on PPP procurement within the 6.2 To this end, Government is public sector. In this regard, Government committed to improving services that will will continue to review the policy and make the country more competitive as well legislative environment governing the as facilitating ease of doing business by implementation of the PPP in the country, focusing on economic diversification as well as enhancing training on this type of initiatives, tourism development, land procurement and financing of projects management, e-services and agriculture. during NDP 11. As reported in Chapter 3, The effective use of ICT continues to play the PPP Unit is expected to be fully a pivotal role in the development and operational in the first half of the Plan. diversification of this economy. Further, it provides a much needed environment for 6.4 Effective monitoring and evaluation the Botswana economy to prosper. For is essential for measuring development example, unfettered access and ease of flow outcomes and ensuring accountability. To of information through modern technology this end, the implementation of the could promote investment by multinational monitoring and evaluation programme will corporations in the country, resulting in job be rolled out during NDP 11, with a view to creation, income generation, and expansion creating a result-oriented culture in the of the capital base. Necessary resources in delivery of the country’s development the form of human resource capacity programmes, policies and projects. building and finance will be availed during

REVIEW OF THEMATICAREA PERFORMANCE DURING NDP 10

6.5 A review of the progress achieved Policy, National Quality Policy, during NDP 10 under the thematic area of Cooperative Transformation Strategy and Economy and Employment focused on the Entrepreneurial Policy were developed four broad areas, namely: Doing Business; in order to improve the country’s Information and communication competitiveness, and promote economic technology; Infrastructure; and Human growth, diversification, and sustainable job Resource Development. creation. Despite the efforts made to improve the country’s rankings under the Doing Business Doing Business and Global Competiveness 6.6 To improve on the climate of doing reports, some indicators for these rankings business in the country, Government continued to drop, which had the potential undertook a number of measures during to discourage potential investors. NDP 10, which included; the development of the Doing Business Roadmap, review 6.7 As indicated in Figure 6.1, and development of laws, policies and Botswana’s ranking on the Ease of Doing strategies, as well as strengthening Business and Global Competitiveness has structures for investment promotion. In this been on an upward trend between 2008 and regard, Government reviewed the Industrial 2016. Ideally, the trend should be Development Policy, National Policy on downwards, indicating an improvement in Agricultural Development, National Trade the doing business environment. For Policy, and Co-operative Societies Act. In example, in 2009 an improvement was addition, the Special Economic Zones recorded, as shown by a drop in Botswana’s ranking from 52 in 2008 to 38 in 2009.

Figure 6.1: Botswana’s Doing Business Rankings

80 74 72 70 59 56 60 54 52 50 52 50 38 40

Ranking 30

0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Year

Source: World Bank, 2016

6.8 During NDP 10, Government put in The Industrial Development Policy (IDP) place policies and strategies to promote 6.9 The Industrial Development Policy industrialisation and economic provides a framework for strategies and diversification as detailed below. programmes to develop and promote competitive manufacturing industries and 84 services. In this regard, a National employment creation, due to, amongst Industrial Upgrading and Modernisation other, ineffective coordination of industrial Programme (IUMP) was implemented to policy initiatives and their implementation. support the process of modernisation, The importance of policy coordination growth and competitiveness of industries cannot be over-emphasised. The and related services, which will result in job Government has to concentrate on creation and access of domestically challenges of coordination and produced goods to national, regional and information-sharing. The Industrial Policy international markets. The Programme matrix has been developed as a guiding focuses on nine (9) priority sectors, which instrument that outlines responsibilities of are: agro-food processing; processing of all stakeholders. The matrix is intended to minerals; chemicals and pharmaceuticals; facilitate effective and efficient project textiles and garments; leather and leather management across stakeholders. products; forestry; fisheries, machinery and equipment; and services. The IUMP is Implementation of the Trade Policy a vital programme to help achieve the 6.12 The 2009 National Trade Policy, overall objectives of the IDP, Economic which is aimed at facilitating the Diversification Drive (EDD) and National achievement of the broadest possible free Export Strategy (NES). Market access and reliable access to markets for the opportunities such as Southern African country’s exports of goods and services Development Community Free Trade Area could not achieve its intended objectives (SADC FTA), Tripartite Free Trade Area, due to, amongst others, unstable global EU-SADC Economic Partnership trade environment, lack of implementation Agreement, African Growth and of strategies to drive the policy and Opportunity Act (AGOA) for a further 10 inadequate capacity of the private sector to years (2015-2025), and the envisaged penetrate export markets. Efforts continued Continental Free Trade Area, will remain during NDP 10 to secure market access underutilised, if the fundamental challenges with a view to diversifying market within the manufacturing sector are not opportunities. The following trade comprehensively addressed. agreements were concluded during the Plan period: EU-SADC EPA; and the Review of Industrial Development Act Agreement on Trade Facilitation under the 6.10 After Government approved the World Trade Organisation. In addition, the Doing Business Reforms Roadmap and U.S. Congress renewed AGOA) for a Action Plan in April 2015, and the review further 10 years (2015-2025). Further, the of the Industrial Development Policy of ratification process of the 1998 in July 2014, it became necessary for SACU/MERCOSUR Preferential Trade the Industrial Development Act of 2006 to Agreement was concluded in December be reviewed to facilitate the smooth 2015, which paved the way for the implementation of the reform programme implementation of the Agreement. and to align it to the new IDP. The revised Industrial Development Act will be 6.13 The Botswana Trade Commission presented for approval by Parliament (BOTC), which is mandated to promote during 2017. imports and exports, was established in line with obligations under the Southern African Implementation of Industrial Customs Union (SACU) Agreement. By Development Policy of 2014 the end of NDP 10, the processes of fully 6.11 Botswana has not yet achieved the operationalisation of the institution were desired level of industrialisation and still ongoing. economic diversification, as well as 85

Economic Diversification Drive strategy, included the Semitwe Dairy 6.14 In 2010, the Government adopted Farms, and the availing of straws of sexed the EDD, which is a strategy aimed at semen for dairy farmers at subsidised promoting economic diversification prices. The dairy value chain analysis and through a two thronged approach. First, is action plan was developed under the Private the short-term phase, where Government Sector Development Programme, with agencies and Parastatals are to purchase assistance from the Centre for Development locally manufactured products. Second, is of Enterprise. The study provided investors the medium to long term phase, which aims with information on potential areas of at broadening the structure of production investment in the dairy sector. and diversifying the production growth and Implementation of the strategy to competitiveness, while using the resuscitate small-scale poultry producers purchasing power to grow both the also progressed well, with the construction manufacturing and services industries. This of a poultry abattoir in Palapye and the phase aims at boosting competitiveness of formation of poultry clusters. several sectors. These sectors are also prioritised under the National Export 6.18 The EDD also included Strategy (NES). development and implementation of enterprise competitiveness projects in 6.15 Since inception of the EDD collaboration with donor organisations. The initiative, major strides have been achieved projects are aimed at building productive in support of local enterprises through capacity of local enterprises. These procurement. The total cumulative value of included the Private Sector Development purchases for the financial year 2015/16 Programme (PSDP), Economic amounted to P19.714 billion. In terms of Diversification and Competitiveness procurement from local manufacturers and Project and the Enterprise Development service providers, a cumulative total of Project (Tokafala). P10.217 billion was recorded. Tourism Sector 6.16 Efforts towards import substitution 6.19 In recognition of the significant role have also yielded positive results in that, played by the tourism sector in growth and 646 enterprises were established at an employment creation, Government investment of P2.454 billion and created 23 continued to create an enabling 025 jobs. However, import substitution, in environment for investment and operations relation to agricultural products, lagged of tourism businesses. The rationalisation behind. of land acquisition processes through the land banking system, and the introduction Agricultural Value Chain Strategy of permanent licenses are among the 6.17 Under the medium to long term initiatives to support ease of doing business strategy, the following four sector strategies within the sector. This has resulted in the were developed: leather, textiles, dairy, and exponential growth of the bed and breakfast poultry (small-scale producers).The businesses. implementation of the dairy, poultry and the leather strategies progressed well as 6.20 Tourist arrivals are a key indicator evidenced by the commencement of the used in tourism statistics to measure development of the leather park in Lobatse. industry performance in terms of its growth Under the dairy strategy, under-utilised and development. Through the sector’s Government owned farms have been leased continued marketing and promotions out to dairy farmers and fodder producers. efforts over the years, international tourist Projects implemented, as part of the diary arrivals into Botswana increased 86 exponentially between 1996 to 2013, to tourism arrivals has been downwards, reach 2 million in 2008 (see Figure 6.2). partly due to the 2008/09 global financial However, there was a slight dip in 2006, and economic crisis and continued weak though the trend was still upward until recovery of the global economy. 2008. Since 2008, the trend in international

Figure 6.2: International Tourist Arrivals (1996 -2013) 2,500,000

2,000,000

1,500,000

1,000,000

500,000

0 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Source: Department of Tourism

6.21 In terms of employment creation, industries that are directly supported by Figure 6.3 shows that travel and tourism tourists. generated 32 000 jobs directly in 2014. This represented 4.6 percent of total 6.22 Long term projections show an employment, and this was forecast to grow optimistic outlook in terms of the sector’s by 2.6 percent in 2015 to reach 32 500 or contribution to employment (World Travel 4.6 percent of total employment. Total and Tourism Council Report, 2015). Travel employment in the tourism sector included and tourism is forecast to contribute 87 000 direct employment by hotels, travel agents, jobs or 10.9 percent of total employment by airlines, and other passenger transportation 2025 in the country. This represents a services, excluding the commuter services. steady annual growth rate of increase of 2.0 The employment component also included percent over the period. activities of the restaurant and leisure

Figure 6.3 Employment Opportunities Created by the Tourism Sector (2012-2015) 45,000 32 500 40,000 35,000 31,500 31,000 32,000 30,000 25,000 20,000 15,000 10,000 5,000

Number of Jobs of Number 0 2012 2013 2014 2015

Source: World Travel and Tourism Council (WTTC) 2015 Botswana Country Report

6.23 Table 6.1 shows some of the 6.24 Tourism Direct Gross Value Added macroeconomic indicators used in the (TDVGA) is the proportion of value assessment of the performance of tourism generated by all industries in the provision in the context of the overall economy. The of goods and services to visitors. In 2009, internal tourism expenditure represents the TDVGA reached P2.9 billion, representing summation of both the international tourist an annual growth rate of 15.1 percent from expenditure and the domestic tourism P1.9 billion in 2006. The direct contribution expenditure. This totalled P4.1 billion in of tourism expenditure to Botswana’s GDP 2006. The 2009 Tourism Satellite Account stood at 3.7 percent in 2009, a slight showed that the internal tourism increase from the 3.4 percent of GDP expenditure injected P5.8 billion in 2009, contribution that was calculated in 2006. representing an average of 12.6 percent annual growth rate for the period 2006 to 2009.

Table 6.1: Performance of Tourism in the Context of the Overall Economy (P’ billion)

Indicator 2006 2009

Internal Tourism Expenditure 4.1 5.8

Tourism Direct Gross Value Added (TDGVA) 1.9 2.9

TDGVA as percent of GDP (%) 3.4 3.7

Adding the Indirect and Induced Impact of 4.2 - 6.0 4.6 - 6.5 Tourism: TVA as percent of GDP (%) Source: Department of Tourism

6.25 During NDP 10, Government developed by the United Nations World established the Tourism Satellite Account Tourism Organisation (UNWTO) and (TSA), which is a statistical system approved by the United Nations Statistical 88

Commission (UNSC) in 2000. The TSA is 6.28 In an effort to expand and diversify used to measure the economic contribution tourism product offerings within the sector, of tourism to an economy, the same way as a number of events were introduced, some other economic sectors are measured in the in partnership with various communities System of National Accounts. Botswana and institutions. These events are geared has already generated two TSAs; the towards facilitating local and regional experimental TSA of 2009, and the second travel and recreation. Some of the major TSA in 2010. events included: Khawa Dune Challenge and Cultural Festival; Toyota 1000 Desert 6.26 Through the Community Based Race; the Makgadikgadi Epic; and Race for Natural Resources Management (CBNRM) Rhinos. The Botswana Travel and Tourism Programme and the tourism sector’s Expo is also a major annual event, which diversification strategy, a number of offers a unique opportunity for the global community based projects were developed travel industry to establish business in partnership with various communities. partnerships with local industry players. These projects included: Seboba Nature and Recreational Park; Tsabong Eco-tourism Statistics Development Project; Lepokole Nature Reserve; Goo- 6.29 To support economic growth, it is Moremi Resort; Nata Bird Sanctuary; imperative to improve the state of statistics Tsodilo World Heritage Site; and Qcwihaba in the country. The Government developed Caves. These projects aimed at creating a strategy for improving statistics that is economic benefits for the communities in aimed at providing an integrated framework those areas, employment creation and within which different sectors will conservation of natural resources. generate, disseminate and use statistics that are timely, credible, reliable, meet 6.27 In addition, several monument individual needs as well as provide a sound development projects were undertaken basis for national planning and during NDP 10. These included the development. The transformation of the development of gatehouses and reception Central Statistics Office into a semi- centres for tourists at the national autonomous organisation (Statistics monuments of Mogonye, Kolobeng, Botswana) was completed during NDP 10, Domboshaba and Gcwihaba, as well as the which allowed the office some measure of community gatehouse and tourist camp site autonomy in the production of official at Tsodilo. Another initiative during the statistics. In order to improve the Plan period was the development of four availability of data on socio-economic heritage trails and associated brochures for indicators, the following surveys were the Makgadikgadi, Francistown, Southern conducted: Household Income and region, and the Greater Gaborone area. Expenditure Survey; 2011 Population and Several monuments and old houses were Housing Census; Botswana AIDS Impact refurbished and restored to prolong their Survey; Literacy Survey; and Poverty lives, as well as to improve on their Mapping during the Plan period. The attractiveness and the safety of visitors. following were on-going at the end of NDP These included: Legislative Council 10: Botswana Agriculture Census; Monument; Fish Keitseng Liberation Safe Botswana Household ICT survey; House in Lobatse; Colonial Period Jailors Botswana Multi Topic Survey; as well as House at Government Camp in rebasing of the Consumer Price Index Francistown; as well as Bathoeng I House (CPI). in Kanye.

Investment Promotion Efforts billion in 2014 (Figure 6.4). This 6.30 Efforts to attract increased Foreign performance was due to, amongst others, Direct Investment (FDI) into Botswana the conducive business and stable continued during NDP 10, despite the macroeconomic environment. This is also challenges posed by the global financial attributable to targeted investment and economic crisis of 2008/2009. During initiatives by BITC, modest improvements NDP 10, efforts by the Botswana in global rankings in the ease of doing Investment and Trade Centre (BITC), business (Figure 6.1), and Brand Botswana which is the lead investment agency, initiatives. Domestic investment also grew yielded positive results, as FDI doubled from P362.5 million in 2012/2013 to from P21.58 billion in 2010 to P41.55 P1.252 billion in 2015/2016.

Figure 6.4: FDI Stocks 2010 - 2014 (P million)

Source: Bank of Botswana Annual Report 2014

Development of the Information and access to communications services by Communications Technology Batswana. 6.31 The focus on achieving connected communities to foster a knowledge society 6.33 During NDP 10, substantial was premised on the seven pillars of progress was achieved in the Maitlamo, the National ICT policy. During implementation of the pillars of Maitlamo. NDP 10, Botswana sought to use ICTs to In some instances, the implementation of realise efficiency in business transactions, these pillars was prefaced by structural and public governance and in implementing the strategic reorientation of entities to: economic diversification drive. promote effective usage of public resources; improve provision of operational 6.32 Attainment of a knowledge society oversight; and to eliminate duplication of relied on the successful implementation of operational mandates. Maitlamo, which was expected to improve connectivity in schools; ICT literacy among Policy, Legislation and Strategies the population; access and delivery of 6.34 The e-Government strategy was public services; ease of doing business; developed during the first part of NDP10. delivery of health services; food security; The strategy outlined a pragmatic roadmap and, to foster a conducive environment for to effectively provide Government services transacting over digital platforms. These online in order to improve public service critical objectives were anchored on non- delivery and accelerate the uptake and discriminatory, affordable and equitable usage of ICT across all segments of society.

6.35 The Communications Regulatory Funding mechanisms in order to Authority Act of 2012 was promulgated implement the proposed initiatives. with the aim of creating a conducive environment that will guide 6.37 The Cyber Security Strategy was implementation of activities under the developed during the latter part of NDP 10 broadcasting, telecommunications, postal, to ensure that cyberspace threats and risks and internet and related information are adequately dealt with. technology sectors. The Botswana Postal Services and Broadcasting Acts were also 6.38 Government also established the amended as part of the Communications Botswana Communications Regulatory Regulatory Authority Act. Authority (BOCRA) during NDP 10, to replace the Botswana Telecommunications 6.36 A major milestone was the Authority and National Broadcasting development of a Broadband Strategy, Board, as part of efforts to improve on the which provided a holistic and coordinated institutional arrangements governing the approach to the implementation of the ICTs telecommunication sector in the country. in the country with a view to achieving BOCRA was given a new mandate of long-term strategic outcomes. The overall overseeing the converged communications vision of the Broadband Strategy is to services market. connect every citizen, businesses, communities and the country to high-speed 6.39 The Botswana Telecommunications broadband infrastructure at appropriate Corporation separation and privatisation quality of services and affordable prices. In was completed during NDP10. These summary, the recommendations of the resulted in the establishment of the Strategy covered the following broad areas: Botswana Fibre Networks (BoFiNet) and Deployment of the national fibre Botswana Telecommunications backbone to connect villages to the Corporation Limited (BTCL), both of telecommunications network; which were incorporated as companies Deployment of mobile broadband under the Companies Act. BoFiNet offers access networks (3G/4G/LTE) covering wholesale telecommunications urban centres, major villages, rural infrastructure and services to all retail areas and agricultural areas; service providers in the country on equal Roll out of fixed broadband and ultra- access principles, while BTCL offers retail fast broadband access network (copper telecommunications services. BTCL has network, fibre to the premises (FTTx), been privatised as part of citizen economic fixed wireless and hotspots) to cities, empowerment. Forty-nine percent of the towns and some major villages; BTCL shares were distributed among Internet connectivity and access to institutional investors, members of the public facilities such as schools, public, and BTCL employees through an libraries, health centres and community Employee Share Ownership Plan (ESOP), access points (Kitsong Centres); while Government remained the majority Public awareness and education shareholder, with 51 percent shareholding. campaigns; There was an over-subscription of BTCL ICT Research, Innovation and shares during the Initial Public Offering. Development; The company listed on the Botswana Stock Local content development; Exchange in April 2016. Digital literacy education programme; and 6.40 The plan to merge Botswana Couriers, Botswana Postal Services and Botswana Savings Bank, with a view to 91 realising economies of scale in operations operated as business entities. A total of was not achieved during NDP 10. However, three hundred and twelve youths were the Botswana Post and Savings Group capacitated to effectively and efficiently Limited, being the parent company of the run the Kitsong Centres. Besides providing three subsidiaries comprising Botswana access to services, these Centres are critical Savings Bank, Botswana Postal Services in improving ICT literacy among the rural and Botswana Couriers, was established as populace, as well as providing a source of accompany incorporated under the income for the communities. Companies Act. The consultancy to advice on the merger of the three entities also Improved ICT Connectivity started work in 2017. Meanwhile, the 6.43 Botswana has made a huge Botswana Savings Bank submitted an investment in the development of the ICT application for a commercial license with networks as part of the Broadband Strategy the regulator during the last year of NDP10. to enable and facilitate services, applications and content, which are the end 6.41 Community access and results of the digital economy. The development - Batswana are currently following initiatives were undertaken to enjoying access to telecommunications connect Botswana to the network. services through various technologies and devices. Notably, the mobile sector has International Connectivity continued to make significant progress with 6.44 Botswana’s international diffusion of mobile services mainly narrow connectivity has been greatly improved band at remarkable 150 percent mobile through successful investments in the subscriptions compared to fixed services at Eastern Africa Submarine Cable System 10 percent. The roll out of broadband (EASSy) and the West Africa Cable System services has significantly improved during (WACS) undersea fibre optic cable systems NDP 10, with penetration standing at 2 that connect Botswana to the rest of the percent and 68 percent (as at December world. In addition, there are some private 2015) of fixed and mobile broadband, initiatives, which bring international respectively. The footprint of mobile internet connectivity to Botswana such as coverage at the end of NDP 10 was SEACOM and Telecomm Sat 3 submarine approximately 80 percent of the population cables. Connectivity to these cable systems of Botswana. This improved access, quality offers Botswana opportunity for high and speed of services, which has positioned capacity and faster speed for transmission the country to be competitive in the of diverse types of information and data telecommunications service industry within with assured redundancy routes. The the region. bandwidth from these undersea cables is sufficient to meet the immediate 6.42 The implementation of the shared communications needs of Botswana into community user information centres the distant future. Users have started to (Kitsong Centres) has been carried out enjoy reduced rates of communications through a PPP arrangement during NDP 10. services as a positive return of investing in In 2016, a total of 248 centres were these cables. established under this arrangement. One hundred and ninety two of these centres are National Backbone operated through a partnership arrangement 6.45 The national backbone that between telecommunications service connects cities, towns and villages was providers and youths in rural villages, and upgraded with modern high-speed optical fifty six are run by Botswana Postal fibre technology. The national fibre Services. Of the 248 centres, 178 were backbone was expanded to cover Sehithwa 92 to Mohembo, Sekoma to Tsabong, Maun to internet Wi-Fi hotspots were deployed to Ngoma, Mohembo to Gudigwa, Selebi - complement mobile broadband. The Phikwe to Mathathane, Tsabong to Two hotspots were installed in strategic public Rivers and Kachikau to Parakarungu. As a areas such as shopping malls, airports, result, a total of sixty one new villages were hospitals and bus ranks at Gaborone, connected to the national fibre backbone Francistown, Maun, Mahalapye, Serowe, network during NDP 10. Kasane, Kazungula and Palapye.

Access Network Universal Access and Service 6.46 The access network that provides 6.48 The Nteletsa II project, which connectivity to customer premises (offices, connected a total of 197 villages to the commercial plots, homes, Government telecommunications network, was offices, civic plots, etc.) was upgraded to completed during the first half of the Plan. offer broadband speed. Last mile This was part of the Rural connectivity using fibre (FTTx) was rolled Telecommunications Programme, whose out in Gaborone, Francistown, Maun, aim is to provide telecommunications Kasane, Kazungula, Selebi-Phikwe, services (data, internet and voice) to the Lobatse, Tsabong, Mogoditshane, Serowe rural and remote areas of the country. The and Palapye, with a total of one thousand resuscitation of Nteletsa I infrastructure, two hundred and seventy seven business, which entailed upgrading the infrastructure Government and commercial premises to the Nteletsa II standard, was also connected and provided with high successfully completed in December 2012. bandwidth. Furthermore, other All the targeted 85 villages are being technologies such as copper and wireless provided with mobile communications were also used to extend broadband services. The extension of connectivity to business, Government, telecommunications infrastructure and commercial, and household premises in services to the rural areas has increased the more than four hundred villages throughout number of people having access to services. the country. 6.49 During NDP 10, a Universal Access Mobile Broadband and Service Fund was established to assist 6.47 Mobile services have been in subsidising the service providers in provided through Second Generation (2G), providing services in areas, which are not Third Generation (3G) and Fourth commercially viable. A Universal Access Generation (4G) technologies by the three and Service Strategy as well as an operators, namely, BTCL, Orange Implementation Plan were also developed, Botswana and Mascom Wireless. The 2G which guided provision of communications technology, which has a limited data speed, connectivity and services to remote, rural, is the most widespread throughout the underserved and un-serviced areas. Since country. The 3G technology, which offers the approval of the strategy, provision of better internet speed and quality than 2G public internet Wi-Fi hotspots in strategic has been rolled out to most of the areas public areas, and computerisation of 83 throughout the country. Furthermore, 4G primary and secondary schools in remote which offers the best internet connectivity villages of Mabutsane Sub District, Ghanzi, in terms of speed and quality has been Kgalagadi and Kweneng Districts have extended to urban areas only. However, roll been funded. The Fund also subsidised the out targets for broadband mobile (3G/4G) roll out of mobile broadband connectivity have been set for operators as part of the and coverage in remote, rural and implementation of the Broadband Strategy. underserved villages of these districts. The In addition, a total of thirty-one (31) public

93 programme of rolling the broadband 6.53 Government started building an connectivity will spill over to NDP 11. Integrated Data Centre in preparation for the anticipated systems that are to be Government Data Network delivered by the e-Government programme. 6.50 As part of the process of enabling Some services are also offered through the roll-out of Government services to service halls, with one such facility in communities and the public, more than Molepolole. Some of the services that are seven hundred additional offices were offered in service halls include: social connected to the Government Data services; trading licenses; civil and national Network (GDN) during NDP 10. The registration; business registration; quality of Government’s IT network was agricultural services; motor vehicle also improved by redesigning the GDN to registration; and drivers’ licenses. The plan enable it to carry high quality data, video is to roll out the concept of service halls to and voice services. all major towns and villages during NDP 11. e-Legislation 6.51 To support the use of secure and Thuto-Net safe electronic services, and create end user 6.54 As part of the Education and confidence, a legislative e-readiness survey Training Sector Strategic Plan (ETSSP), ten was conducted during NDP 10 period. All programmes were developed to accelerate existing and new legislations (twenty-five the implementation of Thuto-Net. At the in total) that are required to facilitate beginning of 2016, the status of provision of services online were identified connectivity of schools to the internet was and prioritised during NDP 10. Among the as follows: five key legislations prioritised, two of All public secondary schools and them have been enacted, namely, the colleges were connected to the Electronic Communications and network; Transactions Act and the Electronic Following the Brigades takeover , 73 Evidence Act, including their regulations. percent were connected to the network; A Data Protection Bill was drafted, while a Consumer Protection Act and Cybercrime Only four, out of seven hundred and and Computer Related Act were under fifty-five Primary Schools, had been review at the end of NDP 10. connected to the network; Wi-Fi was installed in eighty, out of e-Government two hundred and thirty nine public

6.52 As part of the implementation of the secondary schools; and e-Government Strategy, some systems and Computer laboratories in sixty two of services have been implemented. These the two hundred and thirty nine public included: e-passport; Government portal; secondary schools had been upgraded Short Message System (SMS) notifications for school examinations; renewal of country wide. drivers’ licenses; and vehicle registration. The BURS’s e-filling, Government 6.55 The establishment of the Botswana Bookshop on-line system, and the Educational Television was completed Botswana National Examinations’ during NDP 10, with sixty-four (64) processing system were also implemented. schools equipped with television reception The SMS notification platform has and recording sets in order to improve continued to be a popular tool across access to television programmes. Teachers Ministries and Independent Departments from these schools were also trained on the for communicating with their clients. use of television programmes in the 94 classroom. Programmes for eight (8) access to vital information for the nation secondary schools subjects and life skills and also bridged the communication gap are produced and broadcast on Botswana between urban and rural dwellers. Television. Studio 3 at the Mass Media Centre has been equipped with a virtual 6.59 The following were completed: the studio facility to improve quality of Transmitter Expansion project; television programming. In addition, development of the transmission and resources for learners with vision and distribution network of all electronic media; hearing impairments such as books (braille, adoption of the ISDB-T standard for Digital tactile and audio) and large print packages Terrestrial Transmission (DTT) for were also produced. television transmission as required by the International Telecommunications Union 6.56 Computers and internet access have conventions; and launch of a news been provided to seventy-eight (78) management system. libraries across the country through the Sesigo Project to enhance the accessibility 6.60 The Department of Broadcasting of e-services to the rural areas. All these Services was able to complete designs for libraries are now offering free internet two regional offices namely, Kanye and access and ICT literacy training to the Francistown. Construction of the public. More than thirty-five (35) thousands broadcasting district office at Lerala was members of the public have been trained on also completed, and transmitter the basic use of computers and have free maintenance stations were established at access to the internet. Serowe, Kasane, Maun, Ghanzi and Tsabong. e-Health 6.57 An e-Health Strategy was Postal Sector developed that guides the provision of 6.61 Some segments of the postal better healthcare by transforming health services sector market have been resilient, systems and business practices through the despite immense challenges that eroded the effective use of ICT in order to increase revenue earning power of the sector. The quality, safety, timelines and efficiency of postal services sector has taken advantage health services. All public referral, district of opportunities created by ICT to improve and primary hospitals have been connected customer service and diversification of to the network. products and services. Botswana Post launched its ICT optimisation and counter Broadcasting automation that enabled all its post offices 6.58 The main objective of providing to be connected on an on-line real time adequate media coverage was achieved basis. It is now able to deliver new e- through completion of expansion of the services to the public. This has enabled Post radio and television transmitters. The radio Offices to act as service centres, where and television coverage is now available to most of Government and private sector an average of 97 percent of the population. services such as insurance, payment of Transmitter maintenance stations were also bills, renewal of licenses and permits are established in Serowe, Kasane, Maun, provided. Ghanzi and Tsabong. The development of the transmission and distribution coverage 6.62 A major milestone under the postal of all electronic media in the country was sector has been the refurbishment and achieved with the adoption of the ISDB-T development of twelve post offices standard for its digital terrestrial throughout the country during NDP 10. A transmission. This has greatly improved world class postal sorting centre was also

95 completed in Gaborone. The Centre has fixed broadband, national leased and brought greater efficiency for international international internet, and voice. and domestic mail processing. The Universal Postal Union’s (UPU) Quality 6.66 In 2012, the Botswana Audit and Global Monitoring Systems, Communications Regulatory Authority, in which interfaces with business systems and consultation with stakeholders, developed report to the UPU on the quality and the Quality of Service Guidelines for the volumes of mail conveyance was also telecommunications sector to address the implemented. The system allows for issue of poor customer experiences. These separation and proper sorting of guidelines harmonised the reporting international and domestic mail. The standards, parameters and frequency of the Sorting Centre also houses the Botswana network performance. The guidelines were Unified Revenue Service’s Customs and also reviewed in 2015 to improve the Excise Unit, to allow for appropriate inland reporting format to ensure that there is taxes and custom duty assessment and increased transparency in reporting collection. This has led to the improvement network performance areas. in mail delivery and increase in public access to postal products and services. 6.67 The competition between service operators has created a vibrant 6.63 As part of the implementation of the communications market in Botswana. The Communications Regulatory Authority Act revenues of the operators and, in turn, the of 2012, Botswana Post was designated as contribution of the communications sector public postal operator to provide postal to Gross Domestic Product, increased year- Universal Service Obligation (USO). on-year, even during the financial and Government has, therefore, started to economic crisis of 2008/09. The sector subsidise the provision of services to non- continued to employ more and more people economically viable post offices as part of directly and indirectly. With the advent of universal service obligation. broadband services and digital terrestrial television, it is envisaged that a new content Regulatory Environment industry will emerge, which will provide 6.64 A new ICT licensing framework the content-hungry market services with the that was developed and implemented in required digital content. 2015 has opened up the ICT market in the country. The new framework introduced Infrastructural Development license categories that allow diverse players 6.68 During NDP 10, a number of to participate in the market as well as infrastructural development projects were facilitate market entry by SMMEs. undertaken under the different economic sectors such as water, energy, tourism, 6.65 The introduction of Botswana Fibre transport, as well as in social sectors of Networks as a wholesale provider in the education and health. market has had a positive effect in the performance of ICTs in the country. Since 6.69 Under the Water Sector, three (3) its introduction, ICT services tariffs in multi-purpose dams, namely, Thune, Botswana have been continuously Lotsane, and Dikgatlhong were constructed decreasing in comparison to the region and during NDP 10. In addition, the internationally. The arrival of EASSy and comprehensive draft National Water WACS capacity also led to the reduction in Conservation Policy was finalised. Other internet prices. The market has also started strategic water schemes completed were the to experience significant price reductions in Dikgatlhong pipeline, and part of the North some retail products and services such as South Carrier Phase 2, terminating in

Palapye. The following village water economy during NDP 11 providing power scheme projects were completed: supply. Middlepits–Khawa; Zutshwa-Ngwatle; Lecheng-Matlhakola; Mahalapye– 6.72 Land servicing delivered 9 622 Bonwapitse; and Mmopane- plots, out of a target of 10 368 plots, at Metsimotlhabe. Furthermore, the Water Tsholofelo Extension, Jwaneng Unit 8, Sector Reforms, whose main objective is to Lobatse Air Strip and Plantation, have water management under one Kasane/Kazungula and Gerald Estates authority, have been implemented. Because during NDP 10. of the reforms within the water sector, operational units like Programme 6.73 Specific achievements under land Management Office (PMO) were servicing included the following: restructured to efficiently and effectively deliver projects. As a result, groundwater Adoption of the PPP Strategy for land investigations and the rural villages’ water servicing in April 2015 by Government, supply are being implemented by the same whose implementation targeted the authority. A major achievement for following areas; Kasane (Nnyungwe), groundwater development is the Ramotswa (Seuwane), Mochudi South, completion of Masama East, which and Francistown (Gerald Estates Block augmented the water supply in the Greater 1). The approach under this strategy is Gaborone area. for Government to provide land servicing and development by the 6.70 As for the Agricultural sector, and private sector; in an effort to mitigate the effects of Construction of Palapye Extension 11 shortage of water, a decision was taken to was expected to deliver 3 159 plots utilise waste water for irrigation. A study (3130 residential, 7 commercial, 20 civic to establish the feasibility of waste water re- and community, 2 open spaces) on use for irrigation was conducted in major completion at the end of 2016; towns and villages countrywide and was Detailed designs for Kasane completed in May 2015. The study has (Nnyungwe) and Kgatleng (Pilane West revealed that the project is viable and Bokaa East) were completed in 2013/14, enough water will be available to undertake while Malete (Seuwane) was completed projects in the areas studied, thereby during the 2014/15 financial year; boosting domestic agricultural production. Land development concentrated on engineering designs, which are initial

6.71 Another achievement has been the and preparatory stages towards introduction of National Electricity nationwide land servicing. These were at Standard Cost (NESC) to reduce and various stage towards completion in standardise connection costs to P5 000 for 2016, with five at final stage, namely, households. Notwithstanding the continued Gerald Estates Block 1 and CBD, technical challenges facing the project, Ghanzi extension, Tsolamosese Block 7, Morupule B Power Plant and Transmission Palapye Extension 10 and Maun CBD, Infrastructure was one of the major energy while Mogoditshane Block 9 was at draft projects completed during NDP 10. final. Mmopane Block 1 and Gerald Morupule A refurbishment was also started Estates Block 2 had to contend with towards the end of the Plan, and will be some litigation, and the design works completed during NDP 11. These projects were anticipated to commence during are expected to contribute towards the 2016/2017 financial year. An estimated performance of other sectors of the number of 25 976 plots will be yielded

by construction of the aforementioned 6.75 Some progress was in the provision designs works. of other forms of infrastructure such as Provision of minimal land servicing was public building, which included: done in 2011 and 2012 at Tlokweng, Completion of new senior secondary Ramotswa, Serowe and Shakawe. This schools at Mogoditshane, Mmadinare, involved clearing and grubbing of access Nata and Shakawe; roads and provision of potable water in Designs for four new junior schools at order to enable development of plots; Maun, Francistown, Ngware and As part of the Economic Stimulus Ghanzi were completed, and the Programme (ESP), the land development programme is expected to construction phase commenced for service approximately 37 000 plots Maun and Francistown. Completion of through 25 sub projects (peripheral and the expansion of junior secondary minimal) servicing initiatives, which schools at Artesia, Makhubu, Selebi will provide access to potable water and Phikwe, Motlhasedi and Makgadikgadi; access roads. On-going upgrading of Mahupu and 25 271 out of 42 077 plots were Tsabong junior secondary schools into developed as of 2014/2015, while 18 unified secondary schools as well as 025 out of 30 000 were allocated on construction of 324 additional staff tribal land as of April 2015; houses; Ngwato Land Board allocated 30 Upgrading/construction of Gaborone ranches, Ghanzi Land Board allocated 9 Technical College, Upgrading of ranches and 8 small agricultural Serowe College of Education, holdings, and Chobe Land Board construction of Oodi College of allocated 14 ranches and 21 arable farms Applied Arts and Technology, in Pandamatenga. The development of Francistown College of Technical and the ranches and small agricultural Vocational Education, Botswana holdings are expected to enhance College of Open and Distance Learning productivity of the agricultural sector. (BOCODOL)/Department of Out of School Education and Training 6.74 As for the Tourism sector, 1 869 (DOSET) Centre at Maun, new Tertiary hectares of land were reserved, while 5 542 Education Council Headquarters in hectares were for industrial/commercial Gaborone, the Botswana International developments. Industrial land, of 414 University of Science and Technology hectares was reserved for the Ministry of (BIUST) Phase 1 facilities, University Investment, Trade and Industry for the of Botswana Faculty of Health establishment of Special Economic Zones, Sciences, multidisciplinary offices, while 6 413 hectares were reserved for the classrooms and lecture theatres, Faculty Ministry of Agriculture Development and of Engineering and Technology, Food Security in Francistown and Ghanzi Campus Indoor Sports facilities, and the for urban agriculture. Other land Academic Hospital; reservations were: 4.6 hectares for the Maintenance of ten (10) junior schools Ministry of Minerals Resources Green was also completed during NDP 10, Technology and Energy Security, Energy a while maintenance of some primary Diamond Park; 3.5 hectares for the schools, senior secondary schools, Botswana Investment and Trade Centre colleges of education and technical (BITC) for industrial development; and 74 colleges was on-going at the end of the industrial plots for SPEDU in Selebi Plan. The second phase of maintenance Phikwe. of junior schools, covering over 100 schools commenced in 2013/14. A 98

majority of these projects will be In addition, construction of the BIH completed during NDP 11; and Headquarters at the Science and Government continued the construction Technology Park was completed, and of primary school facilities under the the Park was officially opened in 2016. Primary School Facilities Backlog An additional 36 hectares plot was Eradication Project in order to improve availed as an industrial zoned site to the learning and teaching environment support the companies located in the in primary schools across the country. Hub; As part of the implementation of the 6.76 Furthermore, the following Agricultural Infrastructure infrastructural projects were undertaken Development Initiative (AIDI), during the Plan period. These were: revenue infrastructure in the form of all-weather offices and staff houses in Kanye, roads and drainage system were Mahalapye, Serowe and Maun, revenue constructed in Pandamatanga farms; offices in Kasane and Staff houses in On mega projects for the agricultural Lobatse, Francistown and Selebi Phikwe. sector, the feasibility study for the Porta-cabins were procured for Shakawe agricultural component of the Zambezi and Gumare revenue offices to alleviate Integrated Agro-Commercial acute staff accommodation, as well as in the Development Project was completed in following locations: December 2014. The study revealed Ramotswa, Goodhope, Moshupa, that the project is a financially viable Bobonong, Letlhakeng, Tutume and venture and a profitable way to take Letlhakane. Revenue offices and Staff advantage of the irrigation houses were constructed at Machaneng, opportunities offered by the Shakawe, Charleshill and Hukuntsi, Chobe/Zambezi river water transfer whilst additional staff houses were scheme. A total of 25 000 hectares of purchased from BHC for Palapye land has been identified in Revenue Staff during NDP 10; Pandamatenga and found to be suitable Design of the Financial Intelligence for the project; Agency head office building. The first phase of the infrastructure Construction of the Maun Integrated project in Pandamatenga was Office Block and staff houses for the practically completed in December Ministry of Nationality, Immigration 2014. Farmers realised the benefits of and Gender Affairs were completed in the storm water drainage system and May 2011. Furthermore, a hospitality access roads provided through this facility and boundary palisade fence project. The second phase of the project, were completed in May 2012 at which involves the construction of Madirelo Training and Testing Centre additional drains was also completed (MTTC). Other facilities that were during NDP 10; completed are the Serowe Immigration As part of implementing the plan for Office and staff houses, and the agricultural infrastructure provision, a Gaborone District Labour Office; project for spot improvement of roads Primary civil works for Botswana was successfully undertaken in the Sand Innovation Hub (BIH) inclusive of Veldt ranches farming area in 2014. water, storm water drainage, electricity, The project entailed identifying and and streets lights on the 57 hectare plot gravelling spots on the roads that were in Block 8 (Gaborone) have been most difficult to traverse; completed. Availability of serviced land The Transport Sub-sector has seen the ready for intensive development will completion of a Draft National further the BIH objectives; Integrated Transport Policy, which will 99

be implemented during NDP 11. The completed during the first half of NDP following pre-feasibility studies have 11. also been completed: rail infrastructure Furthermore, internal roads were that will link Botswana, Namibia, completed at the following places; Zambia and South Africa; a railway line Charleshill, Ramotswa, Maun, that could connect Botswana, Thamaga, Masunga, Mochudi-Pilane, Mozambique and Zimbabwe; and the Lobatse (Peleng SHHA area), study on various options for the optimal Gaborone (Old Naledi), Francistown utilisation of the Dry Port at Walvis Bay (Monarch SHHA area), Tlokweng, facility. A study on privatisation of the Gumare and Palapye Bus Rank. The Central Transport Organisation’s link roads that have been completed (CTO) fuel depots was also completed included; A1 Road – Leshibitse, in March 2010; Nyerere North Ring, Nata–Sepako - The following road projects were Manxotai, Mahalapye – Kudumatse, designed: Maun-Sehitwa, Selebi Maratadiba–Modipane, Morwa- Phikwe-Sefophe, Gaborone-Boatle Mmapole Bridge across Notwane Dualling, Tutume-Maitengwe, Lobatse- River, Mosetse–Tutume and, Ramatlama, Lobatse-Kanye, Bobonong–Tsetsebjwe and Molepolole Metsimotlhabe-Molepolole, bus terminal. The Bobonong and Molepolole-Letlhakeng, Dibete– Letlhakeng internal road construction Mookane-Machaneng, Shakwe- aar’s was on-going by end of the Plan; Halt, Phitshane - Mabule, Mmamashia - The Ministry of Investment, Trade and Oodi-Mabalane, Tshesebe-Masunga; Industry planned headquarters building and Okavango Bridge in Mohembo; to house all its departments, as well as The construction of the following roads the integrated office premises at and bridges were completed; Western Tsabong and Letlhakane were delayed by-pass circle to Metsimotlhabe, due to resource constraints during NDP Gaborone –Tlokweng, Nata Kazungula, 10. For NDP 11, the Ministry will Kang–Hukuntsi, Sowa Junction to Sua revisit the three projects, as well as Pan, and Francistown-Ramokgwebana constructing integrated office buildings accesses roads. Furthermore, in Hukuntsi, Serowe and Maun to cater construction of the following roads for the two Departments of Trade and were completed during NDP 10; Consumer Affairs, and Co-operative Francistown-Ramokgwebana road, Development; Mopipi-Rakops Main Road and A programme to upgrade major airports acceses, Dibete-Mahalapye, Tsabong- was carried out during NDP 10. In this Middlepits, Middlepits - Bokspits, regard, upgrading of two of the Ngoma-Kachikau and Bridges international airports, namely, Sir (Thamalakane Bridge, Motloutse Seretse Khama, and Francistown Bridge, Kolobeng River crossing, Airports was completed and these Machaneng Drainage works, and airports were opened for traffic. Kasane Nyamanbisi bridge); and Airport construction programme was Construction of Kazungula Bridge was expected to be completed by the end of expected to be completed during the 2016. Airside works for the Maun first half of NDP 11. Tonota- Airport were completed, while the Francistown dualling was completed control tower was under construction at during the 2016/17 financial year, while the end of the Plan. The terminal the contract for the Charleshill-Ncojane building was under design in 2016; road was awarded in 2016 and the As a result of the existence of the Open Platjan Bridge was expected to be Skies Policy, Botswana negotiated 31 100

Bilateral Air Service Agreements, out with the highest production potential; of which, 13 have been signed. Five (5) and international airlines, namely, South The Civil Aviation Act 2011 and the African Airways, South African Air- Aviation Security Act 2011 were links, Air Namibia, Kenya Airways, enacted and promulgated in 2011. The and Ethiopian Airlines flew in and out Regulations were also formulated and of Botswana; and started to be implemented. The re-introduction of the passenger

train was another milestone achieved during NDP 10. Human Resources Development

6.77 In addition, to infrastructural Access to Pre-Primary Education developments, other initiatives were: 6.78 During NDP 10, Government Botswana Institute for Development introduced a one year reception programme Policy Analysis (BIDPA) completed a whose aim was to improve children’s review of the Construction Industry readiness for school and to reduce drop–out Regulatory Framework in 2012 and its rates. The programme started with 112 recommendations were implemented schools in 2011 and was rolled out to 382 during the second half of NDP 10; schools with an enrolment of 16 536 Three independent bodies were children by 2016. As an interim established to regulate the construction intervention, a six weeks standard - one industry namely the Engineers orientation programme was introduced in Registration Board (ERB), the 374 schools, which did not have reception Architects Registration Council (ARC) classes. Successful implementation of the and the Quantity Surveyors programme is expected to improve Primary Registration Council (QSRC). The School Leaving Examination (PSLE) establishment of the Constructors results. Registration Board was ongoing by the end of NDP 10; Access to Primary Education A comprehensive study to establish an 6.79 Access, as measured by primary agricultural infrastructure development school net enrolment rate, increased from strategy dubbed Agricultural 85.6 percent in 2009 to 93.2 percent in 2014 Infrastructure Development Initiative (see Table 6.2). The increase was attributed (AIDI), was completed in May 2009. to the continued mobilisation of parents, as The strategy provides a phased well as collaboration with various implementation plan for the provision stakeholders, which were aimed at bringing of infrastructure in agriculture and keeping children in schools. production areas, starting with areas

Table 6.2: Primary Schools Net Enrolment Rate 2009 - 2014 Sector Goal Key 2009 2010 2011 2012 2013 2014 Performance Indicator NER Primary (6-12 85.6 85.8 89.4 93.1 92.9 93.2 years) (%) NDP10 Target (%) 91.0 92.0 94.0 95.0 97.0 98.0 Source: Ministry of Basic Education - Pre Primary and Primary Education

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Transition to Senior Secondary Education 6.80 The transition rate from Junior to and Shoshong, which resulted in decreased Senior Secondary School grew modestly as admission of learners to these schools. The Transition to Senior Secondary Education reflected in Figure 6.5. The increase from upgrading of Tsabong and Mahupu Junior 6.80 The transition rate from Junior to and Shoshong, which resulted in decreased Senior54 percent Secondary in 2010 School to 67.7 grew percent modestly in as2013 admissionSecondary of learners Schools to tothese Unified schools. Schools The was reflectedis attributed in Figure to the 6.5. completion The increase of four from new upgradinghowever, of Tsabong expected and to Mahupu further improveJunior the 54senior percent schools in 2010 atto 67.7 Mogoditshane, percent in 2013 Nata, Secondarytransition Schools rate to by Unified providing Schools an additionalwas isMmadinare attributed to and the completion Shakawe. of The four decrease new however,480 form expected–four places. to further Table improve 6.3 compares the seniorduring schools the period at Mogoditshane, 2014 to 2016 Nata, was transitionactual rate transition by providing rates an against additional NDP 10 Mmadinareascribed to the and poor Shakawe. conditions The of decrease boarding 480targets, form–four which places. includedTable 6.3 compares transition to duringfacilities the in some period senior 2014 secondary to 2016 schools, was actualVocational transition Education. rates against NDP 10 ascribedincluding to Moengthe poor College, conditions Kagiso, of boarding Lobatse targets, which included transition to facilities in some senior secondary schools, Vocational Education. includingFigure 6.5: Moeng Transition College, Rate Kagiso, from Lobatse Junior to Senior Secondary (2009-2016)

Figure80.0 6.5: Transition Rate from Junior to Senior Secondary (2009-2016) 70.0 80.0 60.0 67.7 66.8 70.0 62.0 63.8 63.7 64.0 50.0 56.5 60.0 54.0 67.7 66.8 40.0 62.0 63.8 63.7 64.0 50.0 56.5 54.0 40.030.0 30.020.0 20.010.0 10.00.0 2009 2010 2011 2012 2013 2014 2015 2016 0.0 2009 2010 2011 2012 2013 2014 2015 2016 Source: Ministry of Basic Education Source: Ministry of Basic Education Table 6.3: Transition Rates Junior to Senior – Actual against NDP 10 Target (including Tabletransition 6.3: Transition to Vocational Rates Education) Junior to Senior – Actual against NDP 10 Target (including transitionSector Goal to Vocational Baseline Education) 2009 2010 2011 2012 2013 2014 2015 2016 SectorKey Goal Baseline(Year) 2009 2010 2011 2012 2013 2014 2015 2016 KeyPerformance (Year) PerformanceIndicator Indicator NDP 10 66.1 66.1 67.1 76.1 80.4 89.3 89.8 95.2 100 NDP 10 66.1 66.1 67.1 76.1 80.4 89.3 89.8 95.2 100 Target Target

ActualActual 66.066.0 56.556.5 54.054.0 61.861.8 63.863.8 67.7 67.7 66.8 66.863.7 63.764.2 64.2 TransitionTransition Rates:Rates: Junior Junior toto Senior Senior

Source:Source: Ministry Ministry of of Basic Basic Education Education

102 102

Access to Technical and Vocational Education and Training (TVET) Access to Technical and Vocational 6.81 Enrolment in TVET public and construction related trades. Out of this, Education and Training (TVET) institutions increased from 6 096 in 2008 to 2 426 graduates joined formal employment, 6.81 Enrolment in TVET public and construction related trades. Out of this, 11 406 in 2015, representing utilisation rate while 534 were self-employed. institutions increased from 6 096 in 2008 to 2 426 graduates joined formal employment, of11 67406 percent in 2015, of representing facilities. Oodi utilisation College rate of while 534 were self-employed. Applied Arts and Technology was opened of 67 percent of facilities. Oodi College of Access to Tertiary Education in 2012, with 96 students. The number Applied Arts and Technology was opened Access6.83 toAccess Tertiary toEducation tertiary education also increased to 593 in 2016, while 147 in 2012, with 96 students. The number 6.83improved Access significantly to tertiary duringeducation NDP also 10. studentsincreased graduated to 593 from in 2016, the College. while Other 147 improvedGross Enrolment significantly Rate duringat tertiary NDP education 10. significantstudents graduated achievements from the made College. in the Other TVET Grosslevel Enrolment increased Rate from at tertiary 47 889 education (or 15.1 sectorsignificant include achievements taking ov madeer of in brigades the TVET by levelpercent) increased in 2008/09 from 47 to 60 889 583 (or (or 15.1 21.3 Governmentsector include in taking2011, resulting over of brigades in improved by percent)percent)in in 2008/09 2015/16, to 60 which 583 (or compares 21.3 managementGovernment inof 2011, the institutions. resulting in improved percent)infavourably 2015/16,to the 17 percent which target compares for NDP management of the institutions. favourably10 for ages to the18 17to 24percent years target (see Figurefor NDP 6.6). 6.82 During NDP 10, the Construction 10This for ages increase 18 to was24 years largely (see Figure aided 6.6). by the Industry6.82 During Trust NDP Fund 10, (CITF) the Construction established Thisintroduction increase was of the largely ‘Study aided in Botswana’ by the MobileIndustry Training Trust Fund Units (CITF) at Francistown, established introductioninitiative, which of the facilitated ‘Study in rapid Botswana’ growth in Palapye,Mobile TrainingMahalapye, Units Nata at and Francistown, Shakawe to initiative,local placementwhich facilitated of rapid learners, growth whilein providePalapye, Mahalapye, skills training Nata opportunitiesand Shakawe to for localencouraging placement enrolment of learners, of international while youngprovide Batswana skills training so opportunities that they could for encouragingstudents in enrolment local of institutions, international and participateyoung Batswana in the construction so that they industry. could A studentscorrespondingly in local reducing institutions, the and cost totalparticipate of 2 in 960 the trainees construction completed industry. skills A correspondinglyassociated with reducing external placement the cost of trainingtotal of programmes2 960 trainees in completed various building skills associatedstudents. with external placement of training programmes in various building students. Figure 6.6: Tertiary Education Student Enrolment Trend from 2003/04 to 2014/15 Figure 6.6: Tertiary70000 Education Student Enrolment Trend from 2003/04 to 2014/15 70000 60000 60000 50000 50000 40000 40000 30000 30000 20000 20000 10000 Student enrolment 10000 Student enrolment

00 2003/042003/04 2004/05 2004/05 2005/06 2005/06 2006/07 2006/07 2007/08 2007/08 2008/09 2008/09 2009/10 2009/10 2010/11 2010/11 2011/12 2011/12 2012/13 2012/13 2013/14 2013/14 2014/15 2014/15 Student Enrolment 20011 19655 21738 22257 31129 47889 42366 37859 46613 57447 60439 60583 Student Enrolment 20011 19655 21738 22257 31129 47889 42366 37859 46613 57447 60439 60583 Source: HRDC, 20152015

6.84 The Medical Medical School School was was programmes.programmes. The The University University produced produced its its established during during NDP NDP 10 10 to to address address firstfirst graduates graduates in inNovember November 2016. 2016. shortage of of medical medical doctors doctors in in Botswana. Botswana. The school producedproduced ititss firstfirst cohort cohort of of 33 33 ImprovedImproved Access Access to to Education Education and and medical doctors in in October October 2014. 2014. On On the the TrainingTraining for for Adults Adults other hand, the the Botswana Botswana International International 6.856.85 TheThe implementation implementation of of the the Adult Adult University of of Science Science andand Technology Technology BasicBasic Education Education Programme Programme commenced commenced in in (BIUST) waswas openedopened inin JulyJuly 2012 2012 to to offer offer 2010,2010, providing providing basic basic education education to toadults adults specialised science science and and technology technology

103103 and youth, to an equivalence of primary Professional Development for Teachers education. 6.88 Progress has been made in upgrading Primary Teacher Certificate Open and Distance Learning (PTC) holders to Diploma in Primary 6.86 In December 2011, Government Education. A total of 2 274 teachers were approved the proposal to transform trained during NDP 10. Another group of Botswana College of Open and Distance 823 teachers was under-going training in Learning (BOCODOL) into an Open 2016. The intention of the programme is to University. Preparatory work on systems, eventually upgrade all primary teachers to a processes, and structural rationalisation and minimum of diploma level. alignment to university norms and standards were completed. The actual National Human Resource Development transformation will be carried out during Strategy (NHRDS) NDP 11. The proportion of learners 6.89 Since its approval in 2009, some accessing tertiary education through the elements of the NHRDS strategy have been Open and Distance Learning mode implemented. These included the continued to increase between 2009 and establishment of the Human Resource 2015, with a total of 14 429 learners at Development Council (HRDC) and the tertiary education level enrolled and a Botswana Qualifications Authority (BQA), throughput of 491. whose Acts were passed by Parliament in August 2013 and their implementation Provision of Quality and Relevant commenced immediately thereafter. The Education BQA Statutory Regulations and National Credit and Qualifications Framework Development of the Education and Training (NCQF) will be implemented during NDP Sector Strategic Plan (ETSSP 2015-2020) 11. In addition the review of the Botswana 6.87 The development of the ETSSP was Examinations Council Act, the Education completed in May 2015, and was aimed at, Act, the Universities and Tertiary amongst others, reforming the education Institutions Act, as well as the Botswana system and addressing issues of poor Teaching Council Act was on-going at the performance in the sector. The end of NDP 10. implementation of some of its programmes and initiatives commenced during NDP 10 6.90 The Human Resource Development and these included: development of the Council, in line with its first five year Early Childhood Care and Education strategic plan (2016-2021), started (ECCE) Policy Framework; introduction of developing human resource development the Early Childhood Education sector plans to address the problem of skills Programme; and development of a mismatch and to produce a globally Technical and Vocational Education and competitive human resource. These plans Training (TVET) Policy Framework for will further identify demands in the labour revitalisation of the TVET sub-sector. A market and guide training institutions on National Curriculum and Assessment priority skills in an effort to produce market Framework (NCAF) for general education ready graduates. At the end of 2015, three was also developed to improve the quality out of twelve human resource development and relevance of education at this level by sector plans were completed namely, adopting an outcome based education tourism, mining, and water and energy system and integrating 21st century skills resources. across all the programmes.

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Research Science and Technology University of Botswana, has continued to 6.91 The Research, Science, Technology roll out services in support of and Innovation (RSTI) Policy was commercialisation of indigenous approved in August 2012, and it replaced knowledge systems and ICT related the 1998 Science and Technology Policy. products. The enrolment into the The Policy presents a new and decisive path technology entrepreneurship, and first steps towards maximising benefits associated venture capital programmes stood at 18 with science and technology. Some of its clients at the end of the Plan. Since initiatives are reflected in the paragraphs inception, 1 500 Batswana have been below. A pilot project to train scientists was capacitated through formal training implemented during NDP 10, and seven programmes in innovation. (7), out of eight (8) students graduated in 2015. The results of the project will provide CHALLENGES FACED DURING NDP information on the best approach to 10 developing and building capacity of human resource in the areas of science, engineering 6.95 Despite some achievements under and technology so as to create a critical the thematic area of Economy and mass, which is a prerequisite for a Employment during NDP 10, there were, knowledge society. however, some challenges in different sectors, which are outlined below.

6.92 A national Indigenous Knowledge Systems (IKS) Policy was drafted during Agriculture Sub Sector NDP 10, and it was expected to strengthen 6.96 The challenges under this subsector the contribution of indigenous knowledge included the following: to social and economic development of the The production capacity of the country in a sustainable manner. agricultural sector was limited, due to

insufficient infrastructure. This 6.93 The merger of Botswana infrastructure included roads, Technology Centre (BOTEC) and Rural electricity, water, telecommunications Industries Promotions Company and market infrastructure; (Botswana) RIPCO (B) was successfully The outbreak of diseases and pests of concluded, which resulted in the economic importance. In the livestock establishment of the Botswana Institute for subsector, there was an outbreak of the Technology, Research and Innovation Foot and Mouth Disease (FMD) in (BITRI) in 2013. As part of its mandate, three consecutive years from 2009 to BITRI finalised the development of the 2011, which resulted in a ban on the Kgalagadi Sand Building Block (KSBB) movement of livestock countrywide. technology, and designated five (5) There were also several outbreaks of locations nationwide for the establishment the disease in various regions of the of fully-fledged KSBB Depots under the country, and the latest was in 2015. Poverty Eradication Programme. Weeds and pests have been identified as some of the major contributors to 6.94 Botswana Innovation Hub was crop loss in quality and quantity, a established with the mandate to provide an development which continued to environment in which innovation could be impact negatively on Government fostered. The Science and Technology Park efforts to improve food security. The infrastructure and the Iconic Building were initiatives of introducing assistance expected to be completed by the end of programmes to improve the food 2016/17 financial year. BIH’s technology situation were also hampered by some transfer office, in partnership with the 105

farmers who did not practice basic Projects involving upgrading of CTO agronomic principles such as, timely workshops continued to be postponed, weeding and controlling pests; due to budgetary constraints. The Climate change, which continued to upgrading of the workshops will result in impact negatively on the environment. minimising the time that vehicles take Some of the effects included off the road waiting for repairs, either in- prolonged droughts, severe heat waves, house or subcontracted to the private and extreme weather patterns; sector; and Under-utilised agricultural land, as one Lack of integration of the transport of the major causes of low rates of subsectors resulted in silo planning by agricultural sector growth. The main the subsectors with little scope of challenge is that a substantial portion interface, thereby losing opportunities of the agricultural land is not put to for creating synergy and optimisation productive use and remains between the transport models. underutilised; and Low productivity levels for both the Statistics Sub Sector livestock and crop sub-sectors which 6.98 The assessment of the state of continued to bedevilled the statistics for the National Statistics System Agricultural sector. Production per (NSS) revealed some weaknesses in unit has remained very low, a organisational development and development which continued to limit management, limited human resource the sector’s potential. capacity as well as inadequate statistical production and dissemination standards in Transport Sub Sector Ministries, Departments and Agencies 6.97 The Transport Sub-sector continued (MDAs). This was also evidenced by data to benefit from Government investment in gaps across the NSS. Statistics Botswana, the form of construction and maintenance which is the official source of data in the of the transport related infrastructure such country, continued to face challenges as roads, rail, and air. However, going during NDP 10. Emerging data needs both forward, there is need to institute cost at national and international level, and recovery measures in this subsector, where increased demand for information for users share the costs of building and policy and decision making in highly maintaining these infrastructure. These competitive world markets continued to put would address some of the following pressure on the organisation’s resources. challenges experienced during NDP 10: Old locomotives and rolling stocks, Infrastructure Sub Sector which have to be extensively maintained 6.99 On infrastructure, even though at high costs; Botswana has one of the best infrastructure The Significant Safety Concerns (SSC) systems in the region, it still lags behind in raised by the International Civil some of the tourism specific infrastructure Aviation Organisation Audit resulted in as well as lack of an appropriate regulatory the country not being able to license framework. prospective airlines. The concerns were addressed to avoid the country being Insufficient ICT Connectivity blacklisted; 6.100 Since Botswana is a landlocked Periodic breakdowns of the Air country, the cost of accessing international Botswana aging fleet resulted in poor undersea cables is high due to transit cost performance of the airline; charged by operators from our neighbouring countries. Some villages in

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Central, Kgalagadi, Kgatleng, Kweneng, 6.103 The cost of ICT services in Ngamiland and Southern Districts are not Botswana is still comparatively high by connected to the national fibre backbone regional and international standards. Some network. Currently, provision of mobile of the factors which contributed to the high broadband and Government services to cost included anti-competitive structures in these areas is a challenge due to the limited the backbone and wholesale market national backbone bandwidth. In addition, structures, non-sharing of infrastructure by the access network has remained seriously service providers, inadequate under developed despite the investment that implementation of optimised ICT cost was made in NDP 10. To this extent, the model and unreliable power. unavailability of the access network is one of the reasons why the international 6.104 Although the roll-out and connectivity and backbone network implementation of Kitsong Centres was capacities are not effectively distributed to successful, there were some challenges potential customers and users. This has led associated with the utilisation, maintenance to a limited accessibility of ICT services in and operation of some centres. These some parts of the country. centres are platforms for bringing e-

Services, especially e-Government services 6.101 The current Government Data and to the rural communities and their non- Network, Data Centre and Information sustainability will disrupt efforts to roll out Technology Systems do not meet today’s e-Government programmes, e-Services, e- needs and expectations, due to their old age Health, e-Education, e-Commerce, and e- and declining reliability. Hence, this does Government, which were at different levels not adequately support efficient public of implementation. service delivery. Similarly, Government information technology officers generally Dilapidated Postal Network lack the requisite skills to maintain and 6.105 Since its inception, Botswana Post support the ICT infrastructure and services assumed the role of the Public Postal leading to slow uptake of new ICT new Operator and is responsible for delivering initiatives and insufficient maintenance to the postal Universal Service Obligation existing systems and services. (USO) on behalf of the Government without any financial assistance. Lack of Quality of ICT Services funding for USO, together with dwindling 6.102 The lack of access to land for base business and stiff completion, has made it station sites has also negatively affected difficult for Botswana Post to grow as the quality of services as subscriptions for already thin capital base is used to cater for mobile services increased. Access to land USO. for expansion of coverage to increase the footprint and improve quality of service has proven difficult for mobile operators as the Education Sub Sector 6.106 Some of the challenges faced under demand for services increased more and this sub-sector included: more. In addition, the disparities of rates for rental of sites, which is on the high side and Inadequate human resources the poor efficiency of allocation of sites by development and lack of specialised different land authorities, are serious skills; challenges that negatively affected network Low labour productivity levels; optimisation efforts. The inadequate level Unemployment /lack of growth in of investment by operators and unreliable employment opportunities; power supply also compounded the poor Declining learner performance; customer experience. 107

Mismatch between the demand and There was a need to implement supply of skills; monitoring and evaluation plans; Weak collaboration between industry A meaningful engagement of the and training institutions; and private sector in the development of the Low participation of females in Plan and its implementation was Science, Technology, Engineering and crucial; Mathematics (STEM) subjects and Concerted efforts are required in order fields to implement certain projects through the PPP delivery mechanism; and CROSS CUTTING CHALLENGES Insufficient infrastructure leads to slow economic growth. 6.107 The following are some of the cross cutting challenges that were encountered: STRATEGIES FOR NDP 11 Project Management continued to be a problem across all the sub-sectors; 6.109 To build on the achievements of Inadequate coordination, capacity NDP 10, as well as converting some of the building and lack of appropriate challenges into opportunities, Government regulatory framework; will pursue a number of strategies under the There was insufficient maintenance of thematic area of Economy and Employment facilities; during NDP 11. Such strategies are There were data gaps, including lack of expected to yield a total of eight outputs, gender disaggregated data, to inform resulting in three outcomes: diversified decision making; economy; competitive and productive There was the problem of outdated laws human resources; and sustainable that are not commensurate with the employment creation. current global environment; Lengthy and costly processes in starting a business, trading across borders, Outcome 1: Diversified Economy construction permits and labour related Output 1: Infrastructure Development services (challenges in relation to issuance of VISAs and work and residence permits); Developed Infrastructure Inadequate progress in realising the goal of a knowledge society/economy; Infrastructure Sector Reforms and 6.110 All sectors will strive to continue to There was insufficient planning, reform by enhancing competition, implementation, and monitoring and accessibility, thus reducing barriers to evaluation of programmes, projects, entry. Government will continue with the policies and strategies. implementation of regulatory structures and process reforms in the construction industry 6.108 The review of the performance of to set standards, protect public interest, the thematic area on Economy and create an enabling environment, and Employment, as well as the challenges improve performance and self-regulation of encountered in the implementation of the professions for the overall transformation programmes and projects provided valuable of the industry in order to deliver quality lessons for future strategies. Chief among infrastructure in partnership with various the lessons learnt, which have been stakeholders. considered in the drawing up of strategies for NDP 11, were the following:

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6.111 The restructuring of some simpler and less costly, thus enhancing Government Departments and engagement competition. of relevant stakeholders for quality and effective implementation of Government 6.113 Cyber security remains an imminent infrastructure projects will be considered worrisome threat globally and Botswana is and this will include National Infrastructure no exception. In this regard, appropriate Project Management Agency, Public legislation to arrest these cyber threats will Infrastructure Contracts Management be put in place during NDP 11. Agency as well as Facilities Management Agency. In an effort to enhance citizen 6.114 The communications sector has economic empowerment during NDP 11, undergone transformation and it is now Government will increase the threshold of converged; constituting postal, sub-contracting citizen owned companies broadcasting, telecommunications and by foreign companies to more than 30 Internet. The market structure will be percent of project value, as guided by reviewed to ensure efficient and effective definition of scope of project and by grade delivery of services. Existing policies, of PPADB registration. The Government which have been in place for more than five will further make it mandatory at the years will be revised as they have been procurement stage for multi-national instituted before developments that took companies to offer graduate engineers place in the communications sector. A attachment or internship as a way to build convergence communications policy will capacity and skills transfer. Registration of be developed during NDP 11 to provide the professionals (Quantity Surveyors, overall policy guidance to the Architects and Engineers) determines a communications sector with strong threshold that one can go as a professional. emphasis on monitoring and evaluation The tendering system for consultants will mechanisms that have been lacking in the be phased out, and replaced with a past. Implementation structures performance based initiative, where a commensurate with these reforms will also consultant’s previous performance and tract be created. record takes precedence as opposed to the current fee based system. The grading and 6.115 Where regulations are poorly categorisation of consultants on a continual designed or overly complicated, they basis will help minimise inherent impose excessive costs and inhibit challenges, associated liabilities and productivity and competitiveness. The job indemnities. of government is to get the balance right, providing proper protection and making Policy, Legal and Regulatory Framework sure that the impact on those being 6.112 Economic development and social regulated is proportionate. In this regard, a prosperity are often premised on efficient Regulatory Impact Assessment (RIA) policies as well as conducive legal and Strategy will be implemented to ensure regulatory environments. The Botswana more investor- friendly regulations that will legal system will continue to be conducive result in the optimal functioning of the to economic development in terms of being communications sector. The Government transparent, guaranteeing legal security and will ensure that regulatory reform yields based on the principles of good regulatory citizen empowerment legislation that will practice. Government will, therefore, adopt ensure that SMMEs in all sectors ensuring a broad programme of regulatory reforms that ICTs are empowered and protected that will reduce unintended consequences against multinational corporations before and to ensure that the processes for liberalising access to markets in Botswana. establishing and running businesses are 109

Development of an Infrastructure Master that will enhance economic development Plan and employment creation.

Maintenance and Upgrading of Land Servicing Infrastructure 6.119 Land servicing remains a critical 6.116 Priority will continue to be given to priority for NDP 11 in order to accelerate the maintenance of existing infrastructure infrastructure developments and the during NDP 11 so as to preserve the provision of services. Implementation of existing infrastructure assets. As Public Private Partnerships in land Government continues focusing on servicing, coupled with cost recovery of maintenance and upgrading of existing servicing will ensure affordability, and infrastructure during NDP 11, it is promote economic development. In order to important that formal facilities realise full potential/benefit of land, it is management structures are established, imperative to ensure that it is fully serviced which include introduction of a computerised data base for all infrastructure before it is allocated. assets. The structures will cover all aspects of facilities management such as Water and Energy optimisation of occupancy, maintenance, 6.120 Under Energy and Water sector, the rehabilitation, refurbishment, upgrading Government will implement the Integrated and operational cost efficiency. A Water and Energy Resource Management Government Immovable Asset Register and (IWERM) Programme, which promotes Management Act will be put in place to efficient and optimal utilisation of energy provide the necessary regulatory legal and water resources. IWERM entails: framework and to address issues of efficiency in allocation of water and efficiency. energy; supply, conservation and demand management; utilisation of Development of Economic Infrastructure alternative/renewable sources; creation of 6.117 The global financial and economic an enabling environment; protection and crisis of 2008/09 led to a number of projects sustenance of the resources; and being deferred, especially in the areas of institutional capacity building. social and economic infrastructure such as in education, health, agriculture and roads. Development of Government Media In this regard, Government, through the Infrastructure Economic Stimulus Programme embarked 6.121 To improve on the coverage of on fast-tracking backlog eradication, which public media, which is essential in covers: construction of classrooms; staff promoting national unity, Government will housing and upgrading of health facilities; invest in the equipment for both radio and provision of access roads to agricultural television during NDP 11. The priority will production areas; ICT connectivity to be to ensure country-wide coverage, and schools; and rural electrification. access of radio and television by the end of the Plan period. The transition to digital 6.118 During NDP 11, new facilities will broadcasting brought about the opportunity be constructed that have the potential to for increased channels, improved quality of improve and stimulate economic growth, programming and diversity. Radio will also including the local economy. Some of the undergo a migration from analogue projects that were deferred during NDP 10 transmission to digital transmission in line will be implemented based on rigorous cost with International Telecommunications benefit analyses. Priority will be on high Union Conventions. impact projects, which will act as enablers 110

6.122 To achieve the above, BTV Channel to domestic and foreign investors, as well as 2 will be established and the Botswana the general public. Equitable and affordable Television studios will be upgraded to High access to broadband connectivity and Definition (HD), through the acquisition of services will fuel creativity and enable HD OB truck, as well as upgrading of innovation among businesses and transmitter facilities, and acquisition of individuals by providing a platform that content, data broadcasting, and supports entrepreneurial advancement, development of Regional Offices. The ICT access to information and services, and sector will be further liberalised during active citizen participation in the NDP 11. This will offer impetus to the information society. Broadband will sector to further expand and grow. connect businesses, individuals and Electronic media regulations, in particular, communities, giving them the ability to will be implemented to create a competitive harness resources and capabilities across communications sector environment. These geographic areas. Connectivity to modern will contribute to diversity of ideas, citizen internet infrastructure will be the conduit to participation, and transparency and enable access to the world's resources and accountability by Government. The local for Botswana to export her ideas, products content developed will also create jobs and and services to the global marketplace. provide service / work products that can be exported. Considering the nature of the Postal Network regulations encouraging citizen control of 6.125 The current postal network is the media industry, these measures will outdated and requires upgrading to increase offer diversification for the citizen the national footprint. To this end, the focus investors. in NDP 11 will be on rehabilitation, and continued maintenance and upgrading of ICT Connectivity existing postal network to facilitate and 6.123 Efforts will be made to increase the enhance quality service delivery. contribution of ICT to GDP through Investment in this area will also expand the growing of manufacturing, facilitating capabilities of the postal sector to adopt trade, solution development, new and innovative forms of service communication and ICT sector services delivery such as home mail delivery, provision. The effective use of ICT remains courier and logistics, banking and financial critical in the development and services. Given the wide reach of the postal diversification of the economy. This is network, and its close proximity to the rural because ICT has the potential to provide a areas, the investment in the development of much needed environment for the the postal sector will enable the sector to Botswana economy to prosper. Unfettered become a facilitator of a converged service access and ease of flow of information and delivery approach for Government and the services through modern technology will private sector. Concentration in this area attract foreign direct investment into the will allow for much wider synergies, country and create jobs. Of critical collaborations, Public Private Partnerships importance is the development of effective, and general convergence of service e-Services, Broadband Connectivity, and delivery. The postal sector will take Postal Network. advantage of the opportunities offered by ICT to support and facilitate provision of a Broadband Connectivity much wider range of products and services 6.124 Botswana will strive to achieve the to the rural populace and to harness goal of universal access to reliable high opportunities that come through innovation speed networks during NDP 11 so as to and investment in technology and improve competitiveness and attractiveness leveraging from existing assets. 111 e-Services Smart Botswana 6.126 ICT has been recognised as one of 6.128 Modern technologies offer the sectors that will support and enhance the Botswana opportunities to improve the investment climate in Botswana and lives of citizens and the cities in which they thereby contribute to the economic live. During NDP 11, the ICT sector will diversification and social development enable a more efficient service through agenda. Provision of electronic and mobile creation of smart Botswana. The country services, as recommended by the National will have smart cities that utilise ICTs to Information and Communication improve transportation/logistics, and Technology Policy, will create security. Under this initiative, villages and opportunities for economic growth and cities would be connected to the latest diversification. The availability of local technologies. These technologies would be content and applications of ICT is of prime used to provide services to the public as importance to the development of well as being means of communication and electronic services in Botswana. Diffusion collaboration. Smart Botswana would of mobile broadband services, digital leverage on expanded broadband, large television and uptake of e-Services is volumes of data from Government and correlated to the availability of local other service providers. relevant content. Therefore, during NDP 11, emphasis will be towards the development of the local industry to create Outcome 1: Diversified Economy these contents and applications that are Output 2: Business Environment relevant to the Botswana market. Implementation of national programmes such as e-Government, e-Health, e- Conducive Business Environment Education and e-Commerce will play an important role in creating a momentum for Doing Business Roadmap Reforms e-services. During NDP 11, public 6.129 The ease of doing business and investments and resources will be global competitiveness remain vital for committed to the implementation of e- investment, both domestic and foreign Government, e-Health, e-Education and e- direct investment, which are necessary for Commerce. Evolution of e-services, not economic diversification and employment only in the public service, but also in the creation. In order to continue to improve the private sector will ensure meaningful business environment, coordination participation of both sectors in the capacity needs to be strengthened in terms economy. of resources and expertise in monitoring and evaluation. 6.127 The Broadcasting Act and associated policies will be developed and 6.130 Government will intensify the amended to accommodate ever changing implementation of the Reform Roadmap technology. To realise economies of scale and Action Plan for Doing Business during and efficiencies in the broadcasting sector, NDP 11, with a view to improving the infrastructure sharing of resources will be country’ rankings in both the World Bank’s promoted through appropriate frameworks, Doing Business Report and the World encapsulating both the public and private Economic Forum’s Global sectors. The communications sector Competitiveness Reports. The initiatives in reforms will continue to ensure diffusion of the roadmap include, among others, the digital dividends from all the investments review and enactment of laws such as that have been done. Investment Facilitation Law, amendment of the Customs Control Act, Trade Act, 112

Income Tax Act, Companies Act, modernisation of border procedures and Environmental Assessment Act, Buildings control techniques. Greater use of ICT will Control Act, Public Health Act, Transfer be central to modernisation of import and Duty Act, Deeds Registry Act, and export procedures. Efficient and diversified Registration of Business Names Act. These transport systems, which connect Botswana laws will address the bottlenecks identified to global markets, will also be developed to in the regulatory environment, some of reduce trade barriers including exorbitant which make doing business difficult. transport costs. Global and regional Gender audits will also be integrated in initiatives aimed at facilitating trade will be these reviews. Furthermore, the ICT sector leveraged. has crafted a number of e-legislations, which will be vital for instilling confidence Improved Availability of Statistics of investors in doing business in, and with 6.133 In recognition of the importance of Botswana. Once reviewed, these Acts will the availability of national statistics such as also support trade facilitation. the socio-demographic environment and economic indicators in development International Trade and Trade planning, Government will undertake a Facilitation number of measures during NDP 11 to 6.131 In view of Botswana’s relatively address the data gaps. To this end, the small market, international trade is following surveys will be conducted during paramount to building sustainable NDP 11: Implementation of the Botswana industries and integrating Botswana into the Strategy for the Development of Statistics world trade and global value chains, with a (BSDS); National Accounts Rebasing; view to increasing her competitiveness and Continuous Botswana Multi Topic contributing to sustainable economic Household Survey; Demographic and growth. Government will continue to make Health Survey; Botswana AIDS Impact efforts to facilitate the achievement of the Survey; Informal Sector Survey; broadest possible free and reliable access to Information and Communication Survey; markets for the country’s exports of goods Census Cartographic Work Operations; and services, while also facilitating access 2021 Population and Housing Census; and to the widest choices of imported inputs and e-scanning of questionnaires. Specifically, services on the best possible terms the following initiatives will be pursued cognisant of emerging trade issues and the during NDP 11: supply side constraints. To ensure diversity Promotion of the use of administrative of markets for goods and services, data through collaboration with the Government will continue to engage in Ministries, Departments, and Agencies gender responsive trade negotiations with within the National Statistical System various trading partners. (NSS). The use of administrative records presents a number of advantages to a 6.132 Owing to its physical features of statistical agency and the entire National being landlocked, Botswana has not been Statistical System (NSS). Demands for able to sufficiently integrate into the global statistics on all aspects of individual, trading system due to the high cost society and economy wide continue to associated with trading across borders. grow. These demands often occur in a During NDP 11, reforms will be undertaken climate of tight budgetary constraints. to facilitate movement of goods and Statistical agencies also share with many services, with a view to reducing the cost of respondents a growing concern over the doing business. Trade facilitation reforms mounting burden of response to surveys. will include simplification and streamlining Respondents may also react negatively if of import and export procedures, as well as they feel they have already provided 113

similar information to administrative promote economic diversification. During programmes and surveys. NDP 11, strategies such as cluster Administrative records, because they development, and the Economic already exist, do not incur additional Diversification Drive will be reviewed, cost for data collection nor do they with a view to sharpening their focus and impose a further burden on respondents. gender responsiveness, while new ones will Advancements in technology will permit be considered. the NSS to overcome many of the limitations caused by processing large 6.135 Efforts will continue to consolidate data sets. For all these reasons, on the EDD strategy’s achievements during administrative records will be published NDP 11 by implementing the new and used during NDP 11 for statistical Industrial Development Policy (IDP), purposes; whose main aim is to achieve diversified Automation of data collection is and sustainable industries, while ensuring considered as a priority in order to beneficiation of locally available raw expedite the availability of timely and materials. Measures will be put in place to disaggregated data. Online economic ensure that goods and services produced in surveys, household surveys and census Botswana are of the quality and standard to data collection will be explored as well compete in both local and international as online submission of data from markets. This will reduce the import bill institutions (private and public); and further complement the export-led Enhancing quality of statistics: In this growth strategy. The continued connection, mechanisms to guide the implementation of the EDD will also NSS will be put in place, which include address the structural causes of poverty the development of the National Data including gender inequalities, improve the Quality Assurance Framework, a self- reliance of the population, and help compendium of concepts, definitions, reap the benefits of youth dividends. There and classifications to harmonise the will also be a need for NDP 11 to statistics production within the NSS, as consolidate on achievements made by the well as enhancing data management EDD strategy by working with processes; and, development partners. Government will Dissemination and access to statistical channel its resources towards stimulating information would be enhanced the growth of the agriculture sector. The through linkages between Statistics strategy will also be enhanced by creating Botswana website with NSS websites an environment in which local producers and use of data portals which would and manufacturers will take part directly enable instant downloading of published and benefit from EDD. Government will statistical information. simplify processes (e.g., tendering) to ensure easy access to EDD by youth, women, farmers and small-scale Outcome 1: Diversified Economy manufacturers. In this regard, simple Output 3: Diversified Industries tendering processes will be adopted to accommodate small scale producers, where there is ready produce, subject to quality and price considerations. Diversified Industries

Cluster Development EDD Strategy 6.134 Government has already put in 6.136 Economic diversification will be place a number of policies and strategies to achieved by adopting a cluster-based agenda focusing on sectors where there is a 114 comparative advantage such as diamonds, African Customs Union (SACU), the beef, tourism, financial services, mining as Southern African Development well as the emerging areas of education and Community (SADC), as well as health services. Industrial clustering is seen international markets of Europe and the as a key development tool in facilitating the United States of America through various development and improving overall protocols such as the Economic Partnership sustainability and competitiveness of key Agreement and the African Growth and national sectors, particularly those having a Opportunity Act. However, the country’s strong export focus. Cluster development external sector performance continued to will also be achieved through programmes face some challenges during NDP 10, as such as Local Economic Development evidenced by the persistence of a negative (LED), Special Economic Zones (SEZs) external balance indicating that Botswana and Private Sector Development was a net importer of goods and services. Programme (PSDP). 6.140 The strategy in NDP 11 is therefore Value Chain to promote the exports of goods and 6.137 The private sector in Botswana is services, thus creating jobs in the domestic fragmented with few linkages, business economy. This export-led growth strategy relationships and the absence of established will draw heavily from the nation’s partnerships between producers and Industrial Development Policy. Given that distribution networks. Therefore, during there is already a National Export Strategy NDP 10, eight value chain studies were (NES), its implementation will be accorded undertaken to provide comprehensive top priority. The NES analysed Botswana’s analysis of challenges, prospects and focus economic challenges, identified the areas of areas that call for action to improve intervention and had also targeted sectors performance of the industry and to identify where Botswana has a comparative the growth potential toward economic advantage and included some sectors such diversification. as: beef and beef products; jewellery; garments and textiles; leather and leather 6.138 These value chain studies were done products; hides and skins; and arts and under the framework of PSDP and included crafts. beef, tourism, horticulture, dairy, piggery, goat, poultry and leather. Action plans 6.141 The country’s success in pursuing which include, amongst others, the an export-led growth strategy will depend upgrading of the quality of products and on its level of competitiveness, services, increased investment for inclusiveness and productivity. While the improving the performance and resource-based industries will depend on amelioration of distribution networks were available endowments and the country’s developed. Opportunities highlighted in the ability to optimally exploit these resources, value chain studies will constitute the the growth of service industries on the other foundation of the development of business hand, will depend on their competitiveness activities and models, opening a new and the level of productivity. Empirical economic environment for private evidence shows that productivity is the key operators in order to achieve optimal to competitiveness and economic growth, production and creation of employment. while better skills, better ideas, and better ways of doing things are critical to Botswana Export Development Strategy achieving competitiveness. In order to 6.139 Despite Botswana’s limited address the issue of productivity, the domestic market, the country has access to Government will continue to implement regional markets such as the Southern measures to: improve factor productivity, 115 especially, labour productivity; continue with structural reforms to improve the 6.145 Industrial upgrading remains business environment and competitiveness; crucial to Botswana’s future prosperity and equal opportunities and streamline labour are thus, the primary concern of industrial relations such as work ethic, hiring and policy. To that end, Government has firing procedures, and employee- employer developed the Industrial Upgrading and relationships. Modernisation Programme (IUMP) with the main objective of strengthening of 6.142 It should be noted that for the industrial capacities of Botswana’s SMMEs export-led growth strategy to be successful, to face the double challenge of regional and it should be driven by the private sector, and world integration. should be supported by, amongst others: an efficient public service; an investment 6.146 Implementation of the EDD`s friendly regulatory environment; a safe and Medium to Long-Term Strategy to develop secure environment for citizens and sustainable sectors for economic growth investors; good governance; zero tolerance and diversification is progressing, with for corruption; and sustainable implementation of the textile, leather and development policies. dairy sub-sector strategies, with aim of developing globally competitive 6.143 The export-led growth strategy will manufacturing enterprises. draw from the cluster model and will initially focus on diamonds, cattle, tourism 6.147 The Special Economic Zones and promotion of cultural heritage and arts, Authority (SEZA) will be responsible for mining, finance, and other services. Access providing an investor-friendly business to credit, especially to farmers and service environment, with a view to attracting both providers, will be guaranteed and domestic and foreign investors. The monitored by the Government to stimulate Government of Botswana aims to develop investment in primary processing assets the SEZs in strategic areas across the (e.g., pack houses, refrigeration for country as a strategy for promoting the maintenance of cold chains for fresh development of world class industries that produce). Ultimately, the intention is to will lead to the diversification of the build export capacity through linking Botswana’s economy. producers’ financiers with their traders, millers, warehouse owners and insurers. 6.148 Government, together with relevant stakeholders, have developed the AGOA Industrial Development National Response Strategy with the aim to 6.144 The Industrial Development Policy improve Botswana’s business environment (IDP) remains fundamental towards and achieve economic diversification by creating diversified, sustainable and addressing overarching challenges for competitive industries, which will purposes of improving utilization of the contribute towards achievement of national AGOA preferential program. It is goals of industrial development, economic envisaged that implementation of strategy diversification as well as employment will further create more market access creation and poverty eradication. In this opportunities for Botswana’s industrial regard, Government will continue to Products to the US market. introduce targeted sector specific strategies which are similar to the introduced Tourism Sector Development statutory instrument to restrict importation 6.149 Botswana has made some of salt in small quantities to promote market remarkable progress in terms of rapid access for locally packaged salt. expansion of the tourism sector during the 116

NDP 10 period. However, there is still some sector’s contribution to the GDP. ample potential to significantly broaden the Furthermore, in order for the sector and the tourism product base, which can result in a country to remain competitive relevant and much wider appeal to various market recognised across the globe tourism segments that exhibit divergent tastes and marketing and promotion, efforts will be preferences as well as variant budgets. continued during NDP11. Tourism cluster Further developments that include development initiatives will also be diversification, monument development, implemented in NDP 11. The aim is to expansion of tourism attractions and create diversified local industries that will experiences are prerequisites for Botswana support the sector, create jobs and thereby to expand its market reach and share. contribute significantly to economic growth. 6.150 The tourism product development and diversification strategy will still be Investment Promotion relevant for NDP11. The aim is to develop 6.151 Botswana continued to attract more products and attractions, especially in increased Foreign Direct Investment (FDI), areas that are not traditionally known as despite the global financial and economic tourist attraction areas. Travel to those areas crisis of 2008/2009. Domestic investment will increase tourists’ length of stay and also moderately increased (Figure 6.7). spend in the country, thereby increasing the

Figure 6.7: Domestic Investment in Pula 2000 1700 1500 1252 1000

500 362.5 449.3 377.05 238.4 0 2012/13 2013/14 2014/15 2015/16

Domestic Investment (P) Expansions (P)

Source: BITC

6.152 While FDI grew steadily, there are 6.153 In order to address these challenges, still challenges related to fragmented Government will, during NDP 11: embark structures for promotion and facilitation of on an accelerated land servicing investment as investors deal with many programme through the Economic Stimulus Government institutions in setting up, and Programme; undertake a comprehensive this has negatively affected turnaround review of investment and export incentives; times and increased the costs of starting undertake informed sector selection and businesses. Other challenges encountered investor targeting; facilitate a predictable were: restrictions surrounding importation labour, immigration and security vetting of foreign labour; shortage of serviced land system that facilitates self-assessment by and factory space; and power and water applicants; and fast-track enactment of the supply challenges. Investment Facilitation Law.

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Entrepreneurship Development Cooperative Transformation Strategies 6.154 During NDP 11, concerted efforts 6.157 The Co-operative Transformation will be made towards resourcing initiatives Strategy was developed, with a view to that promote entrepreneurship resuscitating, revamping and re-directing development, with a view to stimulating the development of co-operatives into economic activities, including youth and globally competitive businesses. This women’s economic empowerment business change of approach to co-operatives initiatives that will generate employment development was motivated by the opportunities. Therefore, one of changing domestic business environment, Government’s priorities will be to promote which has become fiercely competitive, due a conducive environment for investment by to both local and international businesses. addressing impediments to “ease of doing business” and competitiveness. 6.158 The main objective of the Strategy, therefore, is to develop new generation co- 6.155 A conducive climate will provide a operatives based on modern business framework, which will give impetus to practices. To achieve this, the strategy will inclusive economic diversification implement eight Co-operatives Strategic initiative, growth and employment creation. Transformation Pillars, namely: Co- The main aim will be centred on the operatives Branding; Co-operatives provision of market access, quality of Growth Pillars and Linkages; Co- infrastructure, Government regulation, operatives Environment for Doing organised and productive labour force, cost Business; Co-operatives Financing and of opening and running a business, efficient Insurance; Youth and Women Participation commercial legal framework and labour in Co-operatives; Co-operatives Mindset relations, affordable and inclusive financial Change; Co-operatives Corporate services, which will boost investor Governance; and Member Participation and confidence and broaden Botswana’s growth Commitment. All these will be anchored potential. on the foundation of conducive environment for co-operatives businesses 6.156 It has been proven worldwide that in order to achieve the Strategic Result; SMMEs play a major role in promoting Autonomous, Vibrant, Competitive and growth and creating employment Profitable Co-operatives Businesses. opportunities in both developing and developed countries. During NDP 11, 6.159 Furthermore, the changing regional Government will, inter alia, increase and international trade environments have efforts to facilitate SMME capacity opened Co-operatives in Botswana to development through: acquisition of new competition from businesses in the technology and relevant industry skills, Southern African Customs Union (SACU), which will facilitate domestic and global the Southern African Development competitiveness; provide appropriate Community (SADC), and the COMESA- infrastructure to support SMMEs EAC-SADC Tripartite Free Trade Area. participation in local industry activities; promote women and youth SMMEs to grow; promote business linkages between SMMEs and large chain stores; and promote the creation of supply contracts, joint ventures and partnerships between SMMEs businesses and foreign companies.

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Review of curriculum to improve the Outcome 2: Competitive and relevance and quality of education Productive Human Resource through a shift from content-based to Output 1: Education and Training outcome-based curriculum. The curriculum will be such that it supports Improved Quality and Relevance of more effective teaching and learning and Education and Training it includes more emphasis on technology, business and vocational Education and Training Sector Strategic skills that are essential for the needs of Plan the economy; 6.160 Empirical evidence shows that the Development of assessment systems to quality of education is a pre–requisite for a direct student choices at JSS and SSS competitive and productive workforce. aligned to the curriculum. Appropriate Access to quality education, starting from variety of diagnostic testing tools that early childhood learning to tertiary will yield competency profiles of education, remains a key element for learners, rather than the current bias achieving sustainable improvements in the towards superficial “recall” test items quality of the workforce. A comprehensive will be used; Education and Training Sector Strategic Improved school level management. Plan (ETSSP) was developed during NDP There is need to equip head teachers and 10 to address the various concerns relating other managers with knowledge, and to performance of the education sector. The skills needed to improve performance strategy focuses on the following: management, and positively impact Increased access to early childhood and quality of education; and pre-primary education as a foundation Rationalisation of the education sector for learning; for greater utility and efficiency. Provision of multiple pathways to cater for different learner abilities. The National Credit and Qualifications multiple pathways include; the academic Framework route, technical and vocational and arts 6.161 The National Credit and routes; Qualifications Framework (NCQF) is an Full integration of ICT in management instrument to ensure the classification of and delivery of education; qualifications according to a set of criteria Institutionalising remediation for specified levels of learning. The NCQF programmes at primary school level to is underpinned by a set of level descriptors, reduce underperformance and increase which are generic statements about what a the number of learners who achieve learner is expected to demonstrate after irreversible literacy and numeracy; learning through non-formal, formal or Development of learner retention informal modes. strategies to mitigate against high drop -

out rates and to help retain vulnerable 6.162 The main objectives of the children in schools; framework are to: Establishment of teacher development promote quality in Botswana’s education and management systems to facilitate and training system; continuous professional development of ensure portability of local teachers. This includes establishing qualifications; and standards and competencies so that improve mobility of learners; and teacher performance can be measured promote internal and external systems against baselines and standards; articulation. The NCQF architectural

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tool has been designed and developed 6.166 The NHRDS also promotes and will be rolled out during NDP11. establishment and coordination of institutional plans for public and private 6.163 A national policy on the tertiary institutions with specific reference Recognition of Prior Learning (RPL) is to human resource development, research being developed to ensure that skills, and innovation and institutional capacity competencies and knowledge acquired building. The Strategy also promotes informally and non-formally are assessed workplace learning which is aimed at and ultimately recognised. The NCQF will continuous development and upgrading of ensure the realisation of a common quality the workforce to close skills gaps. assurance system and an internationally recognised education and training system. Outcome 2: Competitive and National Human Resource Development Productive Human Resources Strategy Output 2: Human Resource 6.164 The growing rate of unemployment Development of the youth, specifically graduates, indicates the critical need for improving the Productive Human Resource coordination, planning, quality, as well as management of human resource Improved Educational Quality and Skills development. This will be addressed by Development implementing the National Human 6.167 The importance of total factor Resource Development Strategy, which productivity to a country’s progress and stipulates the formulation of Human global competitiveness cannot be Resource Development Sector Plans, aimed overemphasised. Over the recent years, at matching of skills with the labour market Botswana’s global rating in labour and the needs of the economy. These plans productivity and competitiveness has are meant to address the skills requirements remained low, with poor national work by the various sectors through linkages with ethic and inefficiently educated workforce employers in the public and private sectors. being identified as primary causes for the lower outcome under the Doing Business 6.165 The Human Resource Development area. The country has also continued to Strategy recommendations include record poor performance in the various establishment of three critical funds for indicators for innovation, e.g., on Capacity human resource development, namely; the for Innovation. Quality and relevant Human Resource Development Fund, the education produces high quality labour Public Tertiary Education Institutions Fund force, which is characterised by creativity, and the Tertiary Education Student innovativeness, ability to adapt to match up Sponsorship Fund. Management of these with technological advances, which funds by the Human Resource ultimately results in high levels of Development Council is expected to productivity and competitiveness of the improve efficiency in the system, promote workforce. Human capital productivity is coordination and alignment of resources to primarily reliant on the quality of the the national human resource development education and training system. priorities. Effective planning and advice on tertiary education financing will ensure 6.168 During NDP 11, Government will that funding is directed towards skills that continue to devise strategies and initiatives are required by the labour market nationally aimed at addressing issues of poor work and globally. ethic as well as the inefficiencies in education and training in order to improve 120 productivity of the workforce. The organisational designs. The rationalisation proposed strategies will include and review of structures within development of competency based Government leading to a lean public service curricula to sufficient inclusion of the is essential for efficiency and effectiveness relevant skills and aptitudes. It is also in service delivery. The Public Service critical to ensure that the higher education Outsourcing Programme will be continued and skills development programmes are of during NDP 11. the right quality and relevance to meet the needs of the economy through collaboration 6.170 The talent management strategy with the industry. The intention is that the remains critical to building and retaining education system should be able to produce the right competencies within the Public all rounded individuals with all the relevant Service. The strategy is aimed at soft and hard skills to allow them to be developing a human resource that can highly productive and competitive. The effectively support innovation and growth strategy will also focus on development of in delivery of services at a global level. entrepreneurship skills to ensure that Other initiatives include development of a products of the education and training workforce plan that will provide guidance system have the capacity to successfully in forecasting demand and supply of the start up and run their own businesses. workforce. Furthermore, changes in the Additionally, the strategy will infuse working environment should be coupled elements of smart work ethic in the with continuous and relevant training to curriculum, starting from the lowest level of equip the workforce to deliver on both learning in order for the education and current and future goals. Government will training system to produce well rounded continue to leverage on innovative use of professionals who can effectively deliver ICT as well as creating partnerships with world class services. Efforts will also be the private sector in the delivery of services made to improve on the positive societal to the nation. Entry level assessment and influence as well as changes in institution of professional regulatory bodies organisational culture to promote customer is critical for all professions. Government centric, as these are essential to make also recognises the need for a robust education more effective. To this end, monitoring framework, as a tool for the agreed value systems that promote Public Service to evaluate implementation excellence, high levels of work ethic, of human resource management strategies, professionalism and integrity will be policies and identifying the factors that promoted throughout the service delivery contribute to its service delivery outcomes. system in the country. In this regard, the Human Resource Information System, with adequate Management of Human Capital and management information on critical areas Innovation of human resource management to facilitate 6.169 In addition to the efforts to improve effective Public Service Management, will on labour productivity, Government as the be rolled out during the NDP 11 period. major employer, has the responsibility to address the low productivity within the Public Service. Efficiency of the Public Service will be realised through development of human resource management policies, systems and processes, right sizing the public service, capacity building, development and implementation of retention strategies and 121

strategy encourages closer collaboration Outcome 2: Competitive and Productive between higher education and business Human Resources sectors to exploit the commercial potential Output 3: Research and Innovation of new ideas.

Investment in Research and Innovation Improved Capacity in Research and 6.174 A Research, Science, Technology Innovation and Innovation Fund will be established to

6.171 Research and innovation remain support research and innovation. Adequate critical factors in creating and sustaining capacitation of the Fund will be paramount national competitive advantage, economic in order to maximise the benefits. The growth and diversification, aimed at Directorate of Research, Science and achieving an efficiency driven economy. Technology will be established through an Improving capacity in research and Act of Parliament. Thereafter, a Fund will innovation entails investment in research be established to be administered by the and innovation, strengthening research Directorate. The draft operational manual governance and development of research on that outlines the funding instruments was indigenous knowledge. During NDP 11, produced in NDP 10. Furthermore, other Government will undertake a number of players in the National System of measures to improve on the capacity in Innovation (NSI) will play their roles research and innovation in areas of research effectively. The new structures such as the governance, investment, and promotion of Academy of Science and the National indigenous knowledge. Technology Transfer Office are expected to strengthen the NSI. A Research Support Strengthen Research Governance Fund will also be considered to be

6.172 Strengthening research and coordinated under the Human Resource innovation capacity, and adapting to Development Council, to promote research appropriate technologies for local development in the education and training conditions, is indispensable in addressing sector. There will be a concerted effort in high priority challenges for sustainable funding competitive research and development. The approach to research and innovation in the country across all sectors innovation capacity development will to ensure that the country remains relevant therefore be multi-dimensional and multi- in the globalised world. Deliberate efforts sectoral and addressed through national and will be made to exploit indigenous international collaborative efforts amongst knowledge as part of research areas for partners. preservation and enhancement of the nation’s culture. Collaborative efforts will

6.173 Research and innovation will be include research institutions, both domestic critical in supporting the production of a and international, with resources competitive human resource pool with channelled and coordinated through a appropriate work ethics and production single entity to maximise benefits. skills. Human resource development policies and ideas shall be guided by Research in Indigenous Knowledge empirical evidence generated from the 6.175 This involves production of local research activities within the sector. The products and services using local resources HRD sector will therefore have a centrally and raw materials/minerals to sustainably coordinated research and innovation diversify the economy. The National Policy function, which would be housed and on Research, Science, Technology and coordinated by the Human Resource Innovation represents Botswana’s Development Council (HRDC). The commitment to diversify her economy, 122 attain global competitiveness, and enhance address this issue both from the demand quality of life of Batswana through as well as the supply side during NDP development, adaptation and application of 11. research, innovation, and technology to produce local products and services using 6.177 In developing the strategies aimed local resources and indigenous knowledge. at creating sustainable employment, the Research, development and innovation following are critical: continue to be critical factors in creating Adding employment targeting to the and sustaining national competitive national policy matrix; advantage; promoting economic growth Removing barriers critical to and jobs creations and improving quality of employment-led development; life during NDP 11. All these can be Strengthening links between small and achieved through a knowledge driven medium-sized enterprises (typically economy that ensures effective application labour intensive) and large (typically of sustainable science and technology based international) capital-intensive firms; research and innovation. Upgrading workers’ skills over the lifecycle; Outcome 3: Sustainable Employment Focusing on sectors, where the poor live Creation and work; Output 1: Domestic and Foreign Designing and implementing a Direct Investment conducive legal and regulatory framework to support informal work; Domestic and Foreign Direct and Investment Adjusting the distribution of capital and 6.176 According to the UNDP Human labour in public spending to create jobs. Development Report 2015, human development is about more than just jobs. It 6.178 During NDP 10, Government’s is also about expanding people’s choices efforts to address development challenges and making sure that job opportunities are such as unemployment were constrained by available. This involves among others, the continued weak recovery of the global ensuring that adequate and quality paid economy. In addition, the shortage of water work opportunities are available and and electricity, which are key inputs in accessible for those who need and want driving economic activities, also paid work. In a world with high youth undermined domestic growth prospects unemployment, financial volatility and during the same period. The economy was large numbers of working poor, quality job unable to generate enough job creation becomes critical. For women, opportunities, despite expansions of some economic empowerment through paid work local industries. Meanwhile, tertiary requires jobs to be available. In this regard, institutions continued to produce graduates Government will focus on policies to who could not find employment due to expand people’s paid work choices. limited job opportunities. This scenario has Strategies for creating paid work resulted in increased levels of opportunities have a two-pronged cluster of unemployment, especially among the actions: youth. Therefore, it is imperative that Formulating national employment sustainable employment creation remains a strategies to address the challenges in the priority for NDP 11. Despite efforts to availability of quality paid work; and, create sustainable jobs, unemployment may Countries to seize opportunities in the continue to surge as the country continues changing world of work. The idea is to to receive investment in more capital-

123 intensive ventures. Areas of potential high strategies in this regard, are discussed in the employment uptake such as agriculture, following paragraphs. services and manufacturing will continue to receive extensive support from Trade Strategy Government with a view to making 6.180 During NDP 11, Government will meaningful contribution to growth of the continue to implement several trade related economy. In addition to seeking value-for- strategies such as the Non-Tariff Barriers money in spending the Government budget, (NTB), National Aid for Trade and the efforts will be made to ensure that such Revised National Export Strategies. The expenditures, whether under recurrent or NTB Strategy focuses on reporting, development budget, contribute to job monitoring and removal of non-tariff creation in the country. barriers (including Botswana’s own NTBs), which are impediments to cross border 6.179 Competiveness of industries will trade. Through this strategy, dialogue is remain pivotal to the efforts that promote provided between Botswana and her SADC diversified industries such as, the counter-parts, to address reported non-tariff implementation of the statutes that barriers as a way to improve the trading promotes quality standards like the environment amongst the Member States. National Quality Policy and Standards Act. The National Aid-for-Trade Strategy, on Implementation of these will enhance both the other hand, provides strategic guidance trade and industry and protect consumers, for Botswana to position herself to attract health and the environment. Among the top and take advantage of Aid-for-Trade national priorities to be addressed during resources in pursuit of efforts to diversify the NDP 11 period are: economic growth; the economy, create employment and employment creation; and poverty reduce poverty through trade. The National eradication. Some of the economic Export Strategy [NES] will provide a activities with potential for creating blueprint for competitiveness and employment opportunities, which development of the country’s export sector. Government will be undertaking during NDP 11 include implementation of the: Trade Negotiations National Entrepreneurial Policy and 6.181 Government will continue to Strategy (entrepreneurial culture among engage in trade negotiations with a view to Batswana, especially the young emerging increasing and improving market access business entrepreneurs); Co-operative and international competitiveness for Transformation Strategy; Citizen Botswana goods and services. During the Economic Empowerment; Investment Plan period, Botswana will continue to Strategy; Economic Diversification Drive engage in the following negotiations: (EDD) initiative; Cluster Development; World Trade Organisation; SADC Trade in and the creation of Special Economic Services; EU-SADC EPA Trade in Zones. These strategies and initiatives are Services; Tripartite Free Trade Area; and important in promoting both domestic and Continental Free Trade Area. Trade-in - foreign direct investments, thus, boosting services play a major role in all modern growth and creating the much needed economies, and it is critical in facilitating employment opportunities in the country. trade in goods and for improving This will be achieved through the competitiveness. An efficient service sector promotion and development of diversified is critical to facilitate trade and economic and competitive industries/enterprises, as growth. well as boosting investment (both foreign and local). Some of the key policies and

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Special Economic Zones and incomes will emerge and secure 6.182 The main objective of the Special sustainable livelihoods. Economic Zones (SEZs) policy is to diversify both the economic and export Competitive Enterprises base of Botswana into sectors that will 6.185 The EDD strategy aims to: develop create sustainable employment a vibrant and globally competitive private opportunities. The SEZs Policy provides sector; diversify exports and export for the development of public and private markets; develop goods and services that sector SEZs as well as public-private sector comply with domestic and international partnership SEZs. standards; develop an entrepreneurial

culture for business growth; and enhance Outcome 3: Sustainable Employment Creation citizen participation in the economy. The Output 2: Development of major aim is to diversify the economy into Entrepreneurship Culture sectors that will continue to grow long after minerals have run out. National Entrepreneurial Policy and Strategy Co-operative Transformation Strategy 6.183 The Entrepreneurship 6.186 The main objective of the Co- Development Policy for Botswana involves operative Transformation Strategy is to the development and inculcation of an develop new generation co-operatives entrepreneurship culture amongst based on modern business practices. The Batswana. It also encourages citizens to strategy is anchored on eight co-operatives learn and to adopt existing and new strategic transformation pillars, as indicated entrepreneurship traits and skills of globally in paragraph 6.158. successful entrepreneurs. Botswana has been a consumer state in terms of ICT Cluster Creation and Development goods. During NDP 11, Botswana will seek 6.187 The cluster creation and to establish ICT goods manufacturing development initiative aims to promote industries, including those of computers, industry clustering in order to reap the handsets, digital set-top boxes for digital benefits of economies of scale in television and others. The diffusion of infrastructure and services provision as well broadband services will create employment as the benefits of agglomeration of opportunities for the population including industrial activity. the youth who are qualified in the arts and content creation. Broadband services Investment Strategy require huge content to satisfy clientele. 6.188 The Investment Strategy aims at During NDP 11, the capacity of women creating a conducive environment for both entrepreneurs will be developed. The domestic and foreign firms to invest and monitoring and tracking of the impact of flourish in Botswana. It focuses on women’s economic empowerment projects improving efficiency and international and programmes will also be strengthened competitiveness of industries.

Local Economic Development PROGRAMME SUMMARIES FOR

6.184 The Local Economic Development NDP 11 approach provides for the use of raw materials found in different localities to 6.189 In order to support the create opportunities to diversify sources of implementation of the NDP 11 strategies, a growth, thus promoting inclusive number of programmes will be development. Consequently, decent jobs implemented during the Plan period; some 125 of which are outlined below. Detailed Land projects under these programmes are 6.194 The programmes to be covered contained in Volume II of the Plan. under land sector include land servicing, land acquisition and allocation, and land Facilities Management information management. 6.190 During NDP 11, Government will continue to implement the Facilities Transport Management Programme. The programme 6.195 Developments in this sector will is aimed at refurbishment and rehabilitation cover roads, rail, airports and road transport of existing Government infrastructure to and safety programmes to facilitate services preserve the infrastructure asset, in order to of other players in the economy in pursuit address the disjoined infrastructure of sustainable economic growth and maintenance and planning among employment creation. Most of the ministries and departments. This approach, programmes under this sector were not coupled with prioritisation of maintenance completed during NDP 10, and will funds is expected to result in efficient and therefore be carried over to NDP 11. effective implementation of all maintenance services. ICT 6.196 National ICT strategies, which include Smart Botswana, Creative Services, Infrastructure Development Connectivity Strategies, Secure Cyber 6.191 The development of infrastructure Space, e-Services, e-Legislation and media and services under sub-sectors of water, development are intended to support all energy, land, public buildings, ICT, sectors of the economy, and in particular, transport and tourism, will continue to be will be used to address the needs of the key undertaken during NDP 11. priority areas of water, agriculture, power,

tourism, and employment creation. Water

6.192 Major programmes under the water Doing Business Reforms Roadmap sub-sector will include water infrastructure 6.197 During NDP 11, implementation of development, water conservation and the Doing Business Reforms Roadmap will demand management, assessment, be critical in promoting a conducive monitoring and evaluation of water investment environment. The key areas to resources, capacity building, and a be reformed include, amongst others; comprehensive review of water supply starting a business, dealing with infrastructure. construction permits, paying taxes, getting electricity and credit, trading across borders Energy and registering property. In addition to the 6.193 The energy sector will promote the implementation of this roadmap, use of locally available sources of energy to Government will continue to identify and reduce reliance on imported energy, and to improve on areas which continuously encourage energy conservation and saving impede doing business in Botswana. in all sectors. Major projects under this sector include procurement of strategic Tourism petroleum stocks (diesel, petrol & oil) for 6.198 Tourism continues to be a key Tshele Hill and Francistown depots, rural sector in diversifying Botswana’s electrification, Morupule A power plant economy. Some of the key programmes, refurbishment, and the North West which will continue to be implemented Transmission power line, which measures include: tourism cluster development; will facilitate growth of other sectors. product development and diversification 126 programme; monument development, e-Services marketing; events and promotions 6.202 The ICT Policy recommends programme as well as community based provision of electronic services for tourism. In order to facilitate doing business economic growth and diversification. in the sector, other key programmes such as During NDP 11, the focus of public ICT, road networks and aviation investment will be in the implementation of infrastructure are to play a pivotal role in digitisation of different sectors of the the development of the sector. economy. These include e-Health, e- Development of requisite infrastructure is Education and e-Commerce. The private key to enable the sector to expand. sector will also be enabled to offer Government and the private sector will electronic services, through promulgation continue with the development of airports, of laws and policies that are friendly to roads and ICT in order to facilitate access deployment of such services. Government for the sector for doing business. Power and will develop a digital data framework, water remain also critical to the expansion providing a platform for open data. This of the sector. will enable enterprising Batswana to use huge data generated by Government and Trade Facilitation other service providers to generate new, 6.199 Continued engagement by all relevant and local content, and in the relevant stakeholders with a view to process creating efficiencies in the systems. facilitating reforms and streamlining This will ultimately lead to economic procedures related to cross-border trade growth and employment creation. remains critical. The Trade Facilitation Programme will facilitate implementation Sector Reforms of the WTO Trade Facilitation Agreement, 6.203 In an effort to improve on the Vienna Programme of Action for investment climate, Government will Landlocked Developing Countries, SADC continue to undertake reforms of the and SACU Trade facilitation Programmes. various sectors of the economy to ensure rapid economic growth. The ICT and Smart Botswana transport sectors will continue with their 6.200 There has been a recent drive sector reforms through revised policies, towards development of smart cities legal and regulatory frameworks to adapt to globally. In order for the country to catch trends in technology and services, up with the global community, it is challenges and opportunities to create imperative to follow suit, and by so doing wealth and prosperity for the country. create an enabling environment that is conducive and competitive for doing EDD business. 6.204 Government will continue to make efforts towards diversification of the Secure Cyber Space country’s economy through mineral 6.201 There will be concerted efforts beneficiation, tourism product towards securing the country’s cyber space development, and investment in the to ensure customer confidence, and to give agriculture and manufacturing sectors, confidence to investors to undertake amongst others. These will also have a business in the country A National Cyber positive impact in generating employment Security Strategy, which lays the opportunities. foundational road maps for addressing national cyber space challenges, was Cluster Development completed during NDP 10. 6.205 The development of clusters in sectors, where the country has a 127 comparative advantage, particularly the Entrepreneurship Development priority clusters, namely, diamonds, beef, 6.208 There will be continued efforts financial services and tourism, will be towards developing sustainable SMMEs critical in assisting in developing new during NDP 11 through provision of sources of growth. In this regard, emphasis training and mentoring services, will be put on value chains in sectors that specifically on issues relating to business have strong backward and forward linkages plan development, marketing, bookkeeping that can be exploited through the EDD and incubation. initiative. Moreover, these sectors must be robustly marketed, both domestically and Basic Education Programme abroad to attract the necessary investment 6.209 During NDP 10, there was through the already existing platforms and inadequate access to early childhood mechanisms such as Brand Botswana. development programmes and basic education, despite their importance on Sectoral Development learner progression and pupil performance 6.206 There will also be need for the at schools, as the early years prepare development of sectoral strategies, which children for school readiness. Pre-primary are based on support for national priorities. education has been largely provided by the Some of these would include key strategies private sector. The NDP 10 target for pre- such as continued development of ICT, primary schooling was set at 40.0 percent. media sector, communications network, Only 18.4 percent of children, who entered electricity grid, road networks, air and rail primary Standard 1 in 2011, had attended networks, service point networks, coastal early childhood education at Government and water networks. run schools (Statistics Botswana, 2012). Given the importance of early childhood Investment Promotion learning, it is critical for all learners to have 6.207 An Investment Strategy, which access to pre-school education. aims at creating a conducive environment for both domestic and foreign firms to 6.210 In order to increase access to pre- invest and flourish in Botswana will be primary education, an orientation rigorously implemented during NDP programme for prospective standard one 11.Thus, the success of the Industrial pupils and reception classes in public Development Policy of 2014 is dependent schools were introduced in 2012 and 2013, on the conducive environment that will be respectively. This is a major intervention, established by the Investment Strategy, which needs to be further developed during focusing on improving efficiency, and NDP 11. During NDP 10, the programme international competitiveness of industries. started with introduction of reception The focus during NDP 11 will be on, among classes in public primary schools with extra others, targeted investment attraction classroom space. To further roll-out the through comprehensive market studies with programme, there will be need to provide a view to developing bankable business additional and adequately equipped projects for priority sectors, facilities. implementation of SEZs, Brand Botswana and enhancement of the one- stop business 6.211 The Basic Education Programme facilitation centre. An Investment will also include increased equitable access Facilitation Law will also be formulated to quality education for learners at primary with a view to addressing the fragmented and secondary school levels, which will be investor facilitation services. achieved through provision of relevant and adequately equipped facilities. Furthermore, the programme will include 128 provision of ICT facilities to improve tertiary education programmes and teaching and learning through: roll out of e- institutions will enhance skills learning; maintenance of existing facilities development. to keep them in good condition for delivery of quality education; introduction of Mentorship and Mentor Equity compulsory remediation programmes to 6.214 There is need to accelerate transfer reduce under performance of leaners at of knowledge and skills by tapping the primary school leaving examinations; and abundantly rich human resources and increase the number of learners attaining experience of retired public servants, irreversible literacy and numeracy. technocrats and citizens through a strategically developed mentorship and Human Resource Planning and mentor equity programmes. This will cut Management Programme across the whole spectrum of knowledge, 6.212 The implementation of the National skills and abilities, including, but not Human Resource Development Strategy limited to research and innovation, during NDP 11 will involve coordination of indigenous knowledge, local consultancies, information on skills demand and supply in and value based leadership. For example, the labour market and provision of engaging retired personnel to facilitate guidance on priority skills and directing induction and leadership programmes to training to the identified skills as a strategy Botswana Civil Service and other public for reducing skills mismatch and graduates organisations’ institutes of learning such as unemployment. The strategy will facilitate Botswana Public Service College. the transformation of Botswana from a resource-based economy to a knowledge- Research and Innovation Programme based economy. Elements of the HRD 6.215 During NDP 11, research and strategy also include the ongoing planning innovation will remain critical factors in and advising on tertiary education financing creating and sustaining national and work-place learning. Improved service competitive advantage, economic growth delivery in the public sector involves and diversification, with the aim of improving policy management, planning, achieving an efficiency driven economy. It resource allocation, monitoring and is, therefore, important that industries and evaluation, and information provision. It communities benefit from and support also involves reducing complexity of development oriented research activities. dealing with Government and streamlining Proposed areas of research will cover work processes. several sectors such as health, the service industry, ecotourism, software Skills Development Programme development, agriculture, manufacturing, 6.213 There is need to develop an mining, water, energy, housing, adequately skilled workforce, which is construction and transport. Research responsive to the labour markets demands. initiatives will be leveraged for realising Concerns have been raised regarding the economic value from indigenous mismatch of skills in the labour market. As knowledge. a result, critical skills will continue to be identified and developed through the 6.216 The Department of Research, Human Resource Development Sector Science and Technology will be planning programme, with participation of transformed into a directorate which will the industry. It will also be critical to retool become the executing arm of the Botswana and up-scale unemployed and workplace National Research, Development and graduates to enhance their skills in line with Innovation Coordinating Council. market demands. Re-tooling of TVET and 129

6.217 The Directorate shall also have 6.219 Furthermore, there were administrative responsibility for the achievements in the education sector, with National Research Fund that will finance the transition rate from primary to research of relevance to the national secondary school levels increasing from 54 priorities on competitive basis according to percent in 2010 to 67.7 percent in 2013 but the requirements of the public and private then dropped to 64.2 percent in 2016. There sectors. This will promote objective and were also significant increases in transition efficient funding of research according to rates in both the technical vocational capability of institutions, individuals and education and tertiary education during consortia to undertake required research. NDP 10. The National Human Resource The limited research capacity in the country Development Strategy and the Research would also be addressed during NDP 11 Science Technology Policies were through training of scientists to ensure that formulated to improve the quality of the all research institutions have the capacity to national human resource. In addition, deliver quality solutions to the national Government adopted the EDD initiative in challenges and thus, contribute to economic 2010, whose twin objectives are broadening growth. Increased quality research the production structure of the economy activities have the potential to attract and increasing economic growth and collaborative partners regionally and competitiveness. In the area of tourism, international, as well as qualify for Government undertook measures to competitive global research funding for the improve the trading environment, through benefit of the country. All in all, adequate creation of easy access to land and resources will be needed for technology simplified licensing and focused marketing research institutions to effectively promotions. The Broadband Strategy was undertake the search for new knowledge also formulated to broaden the national ICT and to develop appropriate technologies familiarity and access. Major achievements that can benefit the society through, on the infrastructural development front amongst others, sustainable use of included the completion of three major agricultural and natural resources, and to dams. promote diversification. 6.220 Despite the achievements, the review of NDP 10 revealed some CONCLUSION challenges which were experienced during NDP 10, which included: limited 6.218 The main focus of the Economy competitiveness in global markets; absence and Employment thematic area in NDP 10 of specialised infrastructure in areas such as was the development of diversified sources tourism and agriculture; inadequate human of economic growth and human resource resource development; and lack of capital. To this end, achievements were specialised skilled. made in terms of reviewing and amending several policies and laws. The policies that 6.221 The strategies for NDP 11 are aimed were reviewed included; National Policy on at achieving some of the identified national Agricultural Development, Industrial priorities such as the development of Development Policy, National Trade diversified sources of economic growth, Policy, and Special Economic Zones. The and human capital development. Among laws such as the Communication Authority the key strategies for NDP 11 are: giving Act, Botswana Postal Services, and priority to the maintenance of already Broadcasting Act were also amended. Such existing infrastructure, while investing in reviews and amendments were aimed at new infrastructure focusing on those areas improving the doing business environment. with a potential to improve and stimulate 130 growth; developing policies and legal growth. Such a strategic approach will frameworks that are conducive to economic primarily seek to create a conducive development; and reducing unintended business environment for the private sector consequences of policies on economic and bring about inclusive growth.

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CHAPTER 7

SUSTAINABLE ENVIRONMENT INTRODUCTION 7.1 Successive National Development recover and continue to supply ought to Plans in Botswana have always be maintained; and underscored the need for the country to An environment that is able to receive pursue its economic development in a the waste generated by these productive sustainable manner, i.e., expanding the sectors and has capability to assimilate economic base without unduly sacrificing these waste streams as resources for the its environment. As a result, a number of sectors. This implies that the renewable initiatives continued to be implemented, ability of the environment should not be and the country also participated in regional only recognised, but also be part of and global initiatives by SADC and the what is considered across all levels of United Nations to promote the principle of planning. sustainability in its development path. However, despite Botswana’s relative 7.3 The collective pursuit of success in this area, there are still development which is sustainable serves challenges as revealed in the review two purposes for Botswana: thematic area. Thus, going forward, the To lift up the social and economic focus during NDP 11 is to build a standards of Batswana within the sustainable and resilient development ecological boundaries or environmental pathway that will keep the balance between limits. Given the linkages between the these dimensions; a principle that will people, the environment and the shape NDP 11 under an approach that economy of Botswana, this should put builds synergies amongst sectors, while the country on a pathway that leaves addressing any unavoidable trade-offs. This future generations at least as well-off as chapter focuses on the thematic area of current generations; and Sustainable Environment. It, therefore, To fulfil the country’s global provides a review of the thematic area commitments as a member of the global performance during NDP 10 and articulates community. It is recognised that the the strategies for NDP 11. global development discourse is moving towards the integration of the 7.2 As the central concept in this environmental, economic and social chapter, sustainable environment is defined systems. Following the end of the as the meeting of current generation’s needs Millennium Development Goals period, without compromising the ability of future the main focus globally will be on generations to meet their own needs. A achieving Sustainable Development sustainable environment, therefore, Goals. During NDP 11, Government’s provides development opportunities priorities under the Sustainable through the following: Environment thematic area will be to Efficient use of natural capital for the contribute to these broader productive sectors to use as part of the commitments for the benefit of local factors of production. The ability to and global communities. generate more goods and services, while allowing the natural capital to

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REVIEW OF THE THEMATIC AREA PERFORMANCE DURING NDP 10

7.4 The assessment of the performance laws were reviewed during NDP 10: Forest of the thematic area on Sustainable Policy; Waste Management Policy; Environment during NDP 10 focused on Multilateral Environmental Agreements two broad areas: environmental protection (MEAs) Implementation Strategy; National and management of natural resources. Meteorological Services Act; and the Mines and Minerals Act of 1999. The latter was Environmental Protection Programme reviewed in order to address, amongst 7.5 The Environmental Protection others, issues of illegal sand mining. Programme focused on mainstreaming climate change in relation to both 7.8 In order to create a balance between mitigating the effects of emissions, and environmental management expectations developing adaptation strategies for and the business environment/industry, the economic diversification, agriculture Environmental Impact Assessment Act of growth, malaria eradication, control of 2005 was amended in 2011 and regulations communicable diseases, and development produced in 2012. The review of the law of policies and strategies. Due to its and development of regulations are increasing levels of economic activity, expected to streamline and improve the Botswana has experienced an increase in process of implementing the EIA Act, thus the discharge of climate threatening addressing some of the concerns about emissions in the form of greenhouse gases delayed project implementation due to the and their pre-cursers. These have had a EIA requirements. negative impact on the environment, including flora and fauna. 7.9 In order to ensure sustainable management of Botswana’s biodiversity, 7.6 Efforts to sensitise the general which is one of the bases of the tourism public, business communities, Government industry, the National Biodiversity Strategy agencies, and Non- Governmental and Action Plan (NBSAP) was reviewed Organisations (NGOs) to actively and implemented during NDP 10. It participate in environmentally friendly enhances the implementation of practices continue to be made; but these Botswana’s obligations under the United have not yielded the desired impact. Nations Convention on Biological Initiatives to support arable agriculture, Diversity (UNCBD) and the Convention on renewable energy, reduction of water and International Trade in Endangered Species land pollution, as well as the associated (CITES). In addition, Botswana has ratified negative health impacts commenced during the Nagoya Protocol on Access and Benefit NDP 10, and will require further support in Sharing (ABS) and the Cartagena Protocol the next Plan. on Biosafety. Furthermore, reports were prepared periodically on the Environmental Governance Programme implementation of Botswana’s obligations 7.7 During NDP 10, there were a under the UN Convention on Combating number of environmental policy reviews, Desertification (UNCCD), the Ramsar which were undertaken with the objective Convention on Wetlands of International of ensuring that Botswana’s policies are Importance, and the Stockholm Convention aligned with national and international on Persistent Organic Pollutants developments, as well as emerging issues. (UNPOPs). In this regard, the following policies and 133

7.10 In realisation of the need to provide established a trans-frontier conservation a foundation for broad based and inclusive area. This has ensured sustainable development, a National Framework on management of the system and improved Sustainable Development (NFSD) has been community livelihoods in the process. developed. The NFSD is a flexible framework, which domesticates Waste Management and Pollution Botswana’s obligations under the United Prevention and Control Programme Nations Commission on Sustainable 7.13 Efforts to sensitise the general Development (UNCSD). It is a cross- public, business communities, Government sectoral instrument that informs the agencies and NGOs on the need to actively national development path. The Framework participate in environmentally friendly seeks to drive sustainable development practices continued, though there has been through: national and local planning minimal impact. Among the challenges frameworks; the private sector (including encountered in this area were: poor the investment and financial services management of all household waste, sector); changing behaviours and commercial waste, industrial chemicals, production and consumption patterns; chemical waste, and other hazardous waste; building resilience; integrating and inadequate programmes and sustainability into the key sectors administration of MEAs dealing with underpinning the country’s development; chemicals. These risks can lead to greater tracking real development progress by public exposure to pollution from toxic accounting for all forms of capital chemicals and hazardous substances, as (including natural capital) in budgeting well as non-compliance to international systems; and innovations that exploit obligations. sustainable development-oriented markets and opportunities, among other approaches. Mainstreaming Environment and Climate Change into the Development Process 7.11 Other initiatives undertaken include 7.14 Botswana is considered to be highly the domestication of some MEAs through: vulnerable to the negative impacts posed by adoption of the Libreville Declaration on climate change across many of its Health and Environment; implementation ecological zones and economic sectors. It is of national plans such as land use therefore paramount to strengthen the management plans; amendment of the resilience of economic sectors, Public Health Act in 2013; preparation of communities and institutions to enable the energy efficiency programme; and them to adapt to the changing climatic integration of the water resource scenarios. The ability to adequately commit management programme. resources and capacity to respond to the

impacts of climate change is at present 7.12 During NDP 10, Botswana inadequate. As a result, the impact of continued with efforts to partner with its climate change on the country is expectedly neighbouring countries in establishing very high and likely to compromise the trans-frontier conservation areas. This was country’s sustainable development in recognition of the trans-boundary nature programmes, if not managed holistically. of ecosystems. Trans-frontier conservation areas are management mechanisms that Review of Climate Change Legislation in focus on a single ecosystem, which Botswana transcends boundaries. A case in point is 7.15 An international review of the state the Kavango-Zambezi wetland system of climate change legislation in 2015 found through which Botswana, Zambia, that, although Botswana’s desertification is Zimbabwe, Angola and Namibia have 134 being exacerbated by climate change, a supply remaining to be developed. This comprehensive response to climate change necessitates an integrated water resource has still not been formulated. The review management and comprehensive water noted that, a national climate change policy demand management. and strategy and action plan, whose preparation started in 2015 with the support 7.18 The Botswana National Water of the United National Development Master Plan Review (BNWMPR) provides Programme (UNDP), will assist in dealing a guide on national water demand, use, and with this problem. development strategies. During NDP 11, the BNWMPR will be reviewed to give 7.16 Evidently, the preparation of sector more perspective and to emphasise on the plans in NDP 10 did not adequately address role that trans-boundary water resources the need for adaptation and mitigation play in Botswana’s water security as the measures, as well as the promotion for their country will depend heavily on adoption by different sectors. However, international waters. So far, the country has efforts to improve on the management of managed to sign and ratify four River Basin the natural resources continued during NDP Commissions set up with the riparian states 10, with the establishment of a in the management of shared water Parliamentary Portfolio Committee on resources. Wildlife, Tourism, Natural Resources and Climate Change in November 2011. In 7.19 The development of the Botswana addition, Botswana compiled a second Integrated Water Resources Management report to the Secretariat of the United and and Water Efficiency (IWRM/WE) Nations Framework Convention on Climate Plan was completed in 2013 and Change (UNFCCC) entitled Botswana’s implementation will continue during NDP Second National Communication (SNC). 11. In addition, the water accounting The SNC identified sectors of the economy component of the natural capital accounting which emit greenhouse gases, as well as programme, which is implemented in mitigation strategies to reduce such gas cooperation with the World Bank under the emissions. It also undertook vulnerability Wealth Accounting and Valuation of assessments of key economic sectors to Ecosystems Services (WAVES) effects of climate change and identified programme, will provide information about relevant adaptation measures. Furthermore, water supply and use (flow accounts) as in order to address the challenges of climate well as costs and revenues (monetary change and natural disasters, the Ministry accounts) in order to improve the of Agriculture continued to develop crop performance indicators and management of varieties that are adaptable to Botswana as the resource. The information will assist in well as conserving plant and animal gene the monitoring of the IWRM/WE Plan, the plasma, while some of the constraints to National Water Master Plan and the Water agricultural productivity such as pests and Policy. diseases were controlled. Rural and Urban Sanitation (Solid Waste Water Quality, Conservation, Supply and Management Collection) Programme Efficiency Programme 7.20 The programme sought to protect 7.17 Water has become an increasingly the environment through the reduction of scarce resource in Botswana. The situation pollution by ensuring proper management is exacerbated by the inefficient use and and safe disposal of waste. The management of water, especially by development of infrastructure in this area institutional consumers, resulting in high resulted in an increase of access to water losses. There are few sources of water sanitation from 311 164 households in 2001 135 to 514 952 households in 2011, established. The purpose of these funds is representing an increase from 76.9 percent to provide financial support to civil society to 92.7 percent. Waste collection in cities organisations in promoting and and towns decreased from 81 percent in implementing environmental management 2001 to 76 percent in 2011. During the activities. same period, waste collection improved from 6 percent to 14 percent in rural areas. 7.23 To conserve wetland systems in There was also growth in the participation Botswana, the Makgadikgadi Framework of the private sector in waste collection Management Plan (MFMP) was developed, countrywide. Despite the improvement in whose main objective is to improve some areas, the offsite waste water sector peoples’ livelihoods through the wise use of performed poorly during NDP 10. Some of the wetland’s resources. It continued to be the challenges encountered were concerns implemented with financial support from about inadequate maintenance and limited Government, development partners and capacity of waste and sanitation civil society organisations. infrastructure. Broadly, there is a persistent negative public attitude ‘out of sight, out of 7.24 The Okavango Delta was listed as mind’, which cut across the area of the 1000th UNESCO World Heritage site in environment protection. This leads to 2015. The listing is expected to have indiscriminate littering, illegal dumping, several spinoffs on the domestic economy and pollution, amongst others through the contribution to the growth of the tourism sector and improved livelihoods Natural Resources Management for the communities residing in the Delta. Programme Environmental awareness and education 7.21 The main objective of this forms a key part of implementation of the programme is to create a balance between national environment agenda. The the consumption patterns of natural environmental awareness and education resources, and the ability of the programmes are currently being environment to continue to recharge itself implemented with guidance from the in order to meet demands on it. Efforts in revised National Environmental Education this area focused on community-based Strategy and Action Plan (NEESAP). natural resources harvesting. During NDP Activities such as workshops, seminars, 10, the Community-Based Natural exhibitions, campaigns, and Resources Management (CBNRM) commemorations were held during NDP programme was implemented on a nation- 10. wide scale, and it also reached out to remote area organisations. Additional community 7.25 NDP 10 marked a period when trusts were established, and more capacity Botswana implemented a number of building assistance was extended to programmes geared towards management committee members on issues of and promotion of forest resources. Projects organisational governance. Furthermore, that have been implemented included land the programme supported the establishment reclamation, developing an inventory of and growth of trusts that are not based on forest resources, locating of rare and wildlife resources. endangered plants species, and planting of indigenous plant species. Additionally, 7.22 In line with the need to enhance sustainable land management projects were civil society involvement in natural introduced in the Ngamiland District and resources management, the National the Makgadikgadi in the Boteti sub- Environment Fund (NEF) and Tropical District. Efforts to improve on fire Forest Conservation Fund (TFCF) were management approaches also continued 136 during the Plan period. In this regard, there communities is exacerbated by limited were wider involvement of communities, water points in protected areas. A deliberate capacity building initiatives, increasing the decision was therefore taken to establish number of fire management officers, and water points in protected areas. procurement of modern fire fighting equipment. 7.28 In an effort to reduce pressure on resources and to improve management 7.26 Botswana’s wildlife is central to the approaches, management plans for success of the tourism industry. As a result, protected areas were developed. This there have been a number of initiatives included the Chobe National Park implemented during NDP 10 with the Decongestion Strategy. In addition, the objective of enhancing national flamingo bird sanctuary in Southern Sua- management approaches in this regard. The Pan was gazetted and is now a protected initiatives included wildlife aerial surveys, area. which are used to determine the wildlife species population and trends. 7.29 The main challenge with regard to wildlife management has been poaching, 7.27 Government also introduced several which has been escalating across Southern initiatives to communities geared towards Africa. The current sophistication level of human-wildlife conflict. These included the techniques used by poachers is extremely use of chili pepper, bee-hive, kraaling of high. Botswana has been experiencing a livestock and herding dogs. These fluctuating trend of poaching incidents as initiatives were also intended to reduce reflected in Figure 7.1. The focus during Government’s cost in compensating the NDP 10, therefore, was to build the affected communities. It has also been capacity of anti-poaching units to ensure observed that the movement of animals to that they not only match, but surpass the sophistication of poachers.

Figure 7.1: Trends of Poaching Incidents (2010 – 2015)

433 411

341

284

152 117

2010 2011 2012 2013 2014 2015

Source: Department of Wildlife and National Parks

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Monument Development 7.30 During NDP 10, the monuments and Botswana; Bankable Feasibility Study for a heritage sites continued to be preserved and 200MW CSTP Plant in Botswana; A opened up for cultural tourism. The Feasibility Study for Production and Use of monument development programme was Biofuels in Botswana; Botswana Biomass implemented on a nation-wide scale through Energy Strategy; and a Renewable Energy construction of infrastructure. Additional Feed-in Tariff for Botswana. Through the up- caves were discovered at Gcwihaba Hills scaling of renewable energy sources, the during NDP 10. Government will not only address its energy security concerns, but will meet its climate Energy Conservation and Demand Side change protocol targets. Management Programme 7.31 The Botswana Power Corporation 7.34 Small scale off-grid and grid and the Department of Energy are connected solar technologies have been continuously undertaking energy efficiency deployed in the country during NDP 10. campaigns through media and direct Capacity building has also been undertaken, interactions with the public; walk about, earth though at a limited pace, due to limited hour commemorations, national exhibitions, human resources and funding. Restructuring and schools outreach campaigns. Through has enabled the introduction of a unit the demand side management initiatives, responsible for renewable energy 50MW savings were realised, a bulk of which independent power producers. The results occurred during the peak of the regional from the pilot Solar Power Plant located in power crisis in 2014. Phakalane, showed that between commissioning in 2012 and October 2015, Renewable Energy Programme the amount of carbon dioxide saved was 1 7.32 Energy is vital to Botswana’s 613 319 Kg- CO2 and the total energy economy and development, underpinning generated since the plant started operating industry and commerce. Given Botswana’s was 5 129 779 kWh. high levels of insolation, solar power is an obvious option for sustainable energy 7.35 Alternative energy sources are costly production as it has few negative and capital intensive to implement and environmental impacts. However, solar is therefore the public is unable to invest highly capital intensive at large scale and it is adequately in renewable energy. However, therefore better suited to small-scale niche data shows that the cost of renewable energy developments (e.g., houses, buildings and technologies is declining globally, creating tourism lodges). opportunities for renewable energy to be more competitive. 7.33 With the support of the World Bank, the Government started developing a Cleaner Fuels comprehensive renewable energy strategy 7.36 Through an international strategic that will provide a sound basis to spur partnership with the Japanese International investments in this sector. A number of Cooperation Agency (JICA), Botswana studies have been undertaken by the Government engaged in a 5 year scientific Government to promote renewable energy in research project that is to be completed in the country. These include: Country Wide April 2017, to develop a Jatropha species Survey – Solar Water Heating Systems in adapted to Botswana’s climatic conditions. A

138 decision to proceed with production of review the feasibility of developing CBM Jatropha biodiesel will be informed by the and CTL industries. results of the research. Improvement of Energy Planning Biofuels 7.39 Botswana adopted implementation of 7.37 Currently, there are about fifteen the Integrated Energy Planning (IEP) concept known biogas plants in Botswana. Two (2) of during NDP 8, as was proposed by the these plants are used for research; two (2) are Botswana Energy Master Plan (BEMP). at waste water treatment plants, whilst the Through IEP and the complimentary process rest are used for cooking and lighting at hotel of Integrated Resource Planning (IRP), the and household scales. In 2016 , about 15 000 two approaches, energy demand-side and litres per month of biodiesel is produced by supply-side options are compared on an the private sector using waste vegetable oil equivalent basis, considering the full from food processing outlets as a feedstock. economic, environmental and social impacts. The Glen Valley Waste Water Treatment Implementation of the IEP during NDP 10 plants produce 876 000 m3/year (2 400 has been constrained by a number of m3/day) of biogas. Up to 26 percent of the challenges, including; lack of energy data gas produced is used for maintaining the base and inadequate energy modelling to digester temperature and for incineration, facilitate forecasting. while the rest is flared. Land Management Programme Clean Coal 7.40 Land Management programme aimed 7.38 Botswana has large coal resources at the preparation of land use and spatial estimated at 212 billion tonnes, which are development plans. The Programme also still largely unexploited. Presently, there is focused on the Improvement of Land only one operational coal mine, Morupule Administration, Procedures, Capacity and Coal Mine, which was expanded during NDP Systems (LAPCAS). It commenced the 10. In 2011, a Coal Road Map was preparation of the National Spatial Plan, and developed, which identified eight potential continued with the national mapping options for increasing the contribution of this programme and the national reference resource to the economy, with the ultimate framework. objective of adopting clean coal technologies. The options were classified Legislative and Policy Review based on their overall attractiveness with coal 7.41 The Land Policy, whose overall goal exports, power exports and domestic power is to protect and promote land rights for land supply being highly prioritised, followed by holders and promote sustainable human Coal Bed Methane (CBM) and cement. A settlements, was approved in 2015. In Coal- to- Liquids Programme (CLP) was addition, the revised Town and Country Plan found attractive provided the technology Act (2013) has decentralised physical could be proved commercially viable at small planning functions to Local Authorities in volumes, but less favourable to CBM and order to facilitate ease of doing business, and cement. The study found coal to gas and it provided for regulation of practicing fertiliser production unattractive to both planners. Further, the revised Land Tribunal investor and Government during NDP 10. Act was approved in 2014. The act amongst The Government will however continue to others provided for determination of planning appeals.

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Land Use Planning 7.42 A total of 31 Settlement a distance of 285 km of the targeted 534 km Development Plans have been prepared and land based boundary in 2016, while that of completed for the following settlements; Namibia has been reaffirmed, and at the end Bobonong, Mahalapye (Review), Palapye of NDP 10a boundary treaty was being (Review), Nata, Mmamabula, Letlhakane, formulated with the assistance of the African Mabutsane, Sehithwa, Kasane/Kazungula Union Border Programme. (Review of Animal Corridors), Kopong, Matsiloje, Matshelagabedi, Tati Siding, National Mapping Programme Shashe Bridge, Mochudi (Review), River 7.45 Under this programme, the following Villages, Gaborone (Review), Greater projects have been realized; Aerial Francistown, Charleshill-Makunda, Kuke, photography for 200 settlements was Jwaneng (Review), Mathangwane/ acquired for use in the revision of maps Borolong/ Chadibe/ Shashe- Mooke, Dukwi, across the country; 170 settlements were Maunatlala, Mosetse (awaiting Strategic mapped at a 1:5000 scale; and 700 Environmental Assessment - SEA), Toteng, topographic map sheets at a 1:50000 scale, Mabutsane, Masunga, Kasane/Kazungula covering the eastern and western part of the (Review), Ramotswa (Review) and Oodi/ country were also produced. In addition, Matebele/ Mmamashia/ Mokatse/ Modipane/ satellite imagery was procured for revision Dikwididi. purposes and production of land cover/land use mapping, which covered all districts in 7.43 The National Spatial Plan, to replace the country. Furthermore, the revision of the the National Physical Planning Master Plan, Botswana map (1: 1 m scale) was also was drawn in NDP 10 and its implementation completed. commenced in January 2016 and is scheduled to be completed in 2018. The Plan is a National Reference Framework sustainable land management tool that is 7.46 The project entails the densification meant to guide and coordinate all major of the national control frame and developments to ensure efficient planning of establishment of Continuous Operating settlements, infrastructure and investment Reference System (CORS) using the Global where land would be earmarked and reserved Navigation Satellite System (GNSS) for all major and strategic projects up to technology. This is intended to have an 2036. The National Spatial Plan is an efficient and effective reference frame to interpretation of Government development facilitate ease of surveying by the geo- strategies and policies into a spatial information community. The system was dimension and is expected to guide socio developed and currently, 58 of the targeted 68 economic development of the country. preliminary stations across the country were constructed and connected to the system in Demarcation of International Boundaries 2016. The system was operational and 7.44 The reaffirmation of Botswana stakeholders capacitated to use it. It was used international boundaries with its neighbours successfully in the implementation of the is ongoing, the Botswana/South Africa national land registration excise surveys. boundary has been inspected and plans have been formulated to reaffirm and demarcate the boundary. The Botswana/Zimbabwe boundary reaffirmation exercise had covered

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Improvement of Land Administration, construction practices, loss of biodiversity, Procedures, Capacity and Systems and fragmentation of ecosystems. The cost- 7.47 In a quest to improve land benefit analysis done on infrastructure administration, Government commissioned development programmes was done the land management reform through sporadically, and did not adequately address development and implementation of the Land their environmental and socio-economic Administration, Procedures, Capacity and impact. Furthermore, congestion of traffic in Systems (LAPCAS) programme during NDP some road ways increases carbon footprint 10. The LAPCAS project has made strides in and contributes to both climate change and delivering some of its components as pollution. follows: the project has developed unique numbering standard, location address Behavioural Changes and Environmental structures and piloted them for Compliance implementation across the country; the 7.50 Environmental problems such as Cadastral Information System has been unsustainable utilisation of natural resources upgraded to implement Plot IDs, sectional continued to increase. This was mainly due to titles, location addressing and the the effects of urbanisation and social implementation of the national land economic challenges. There was also lack of registration; the development of the Land enforceable legislation to effectively manage, Information System comprising seven allocate and protect water resources. The Modules namely: Deeds Registry; Plot and continued illegal activities in the Plan; Land Applications; Land transactions; environment sector also affected key Mapping; Asset and Leases management; economic sectors such as tourism, and and, Physical Planning. The first four threatened their contribution to the economy. modules were at different stages of testing Lack of coordination amongst stakeholders and were expected to be delivered by the end led to pollution threats to water resources and of 2016. The LAPCAS is expected to be deterioration in water quality. completed in June 2019. Environmental Information Management EMERGING ISSUES FROM NDP 10 for Decision Support 7.51 Botswana has produced a 7.48 The review of NDP 10 shows that considerable amount of environmental data achievements under the Sustainable over the years. However, there were Environment thematic area were hampered challenges with regards to integrated by a number of challenges, some of which are management and use of this data, and its highlighted below. continuous updating, processing and accessibility thereof. This impacted Infrastructure Development Impact to the negatively on national decision making Environment processes, thus, compromising the quality of 7.49 The absence of strategic planning on public investments and development of infrastructural development has manifested alternative sources of growth. in developments that impact negatively on the environment and thus negating efforts Coordination and Governance of towards sustainability. This has resulted in Environmental Management poor waste management practices, illegal 7.52 During NDP 10, the implementation mining, unfriendly environmental of environmental management programmes

141 was hampered by lack of an overarching from the implementation of the programmes legislation, and coordination challenges and projects during NDP 10. among the players in the sustainable environment sector. Conflicting policy A Healthy Environment for a Healthy signals and duplication of efforts resulted Population from a silo approach to planning and 7.56 Under this area, Government will execution of sustained monitoring, continue with measures to address evaluation and enforcement of environmental environmental health risks, which are mainly legal instruments. brought about by poor waste management (solid, liquid, and gaseous), as well as public Un-Sustainable Agricultural Practices sanitation and hygiene, indoor and outdoor 7.53 The country continues to face urban air pollution throughout the value challenges of land degradation, due to chain from the source of environmental overstocking, loss of productive arable and contaminants to the affected populations. livestock grazing land, diminishing soil The focus will be on strengthening and/or productivity and natural resource base developing policy frameworks that cut across (woodlands, forests and aquatic systems) that the sources and impacts of environmental support poorer communities. In addition, health risks, including prevention and total dependence on rain-fed agriculture and mitigation, as well as harnessing the poor soil increased vulnerability of farming economic opportunities from the systems and predisposed rural households to management of waste. In addition, the issues food insecurity and poverty, by eroding their of institutional framework and capacity will productive assets and weakening their coping also be strengthened to facilitate an effective strategies and resilience to climate change. and efficient implementation process of these frameworks to realise the expected outcomes. Land Management Initiatives such as waste reduction, reuse, 7.54 The effectiveness of the existing recycling, and other green technologies will regional plans in guiding the development of be implemented during NDP 11. The human settlements and economic activities implementation of these measures is fell short mainly because they lacked legal expected to contribute to the reduction of authority. As a result, development activities environmental health associated risks in the continued to put pressure on the country. environments which manifest itself in land degradation, land use conflicts, loss of Sustainable Management of Natural and biodiversity, poor sanitation, uncontrolled Cultural Resources pollution and unsustainable extraction of 7.57 Prudent management of natural natural resources. resources is desirable to ensure conservation and the equitable realisation of benefits by STRATEGIES FOR NDP 11 the majority of the country’s population. Under this priority, the focus will be on the 7.55 Despite the country’s relative good strengthening and/or development of performance in the thematic area of policies, legislation and strategies to address Sustainable Environment, there is still need the threat as well as measures to enhance the for more efforts to achieve the goal of state of the environment. Among the areas of developing sustainably, as a country. This is focus will be: land, water, minerals, energy, also indicated by some of the emerging issues biodiversity and cultural resources, which are

142 key to economic development. Government Climate Change Adaptation and will also promote the adoption of indigenous Mitigation knowledge (IK), following the approval of 7.60 There is no doubt that global climate the Policy during NDP 10. This is the local change has implications for human survival knowledge that is unique to a given culture or through its impact on weather patterns, society, which facilitates communication and thereby adversely affecting various economic local-level decision-making in agriculture, sectors such as agriculture and health. There health care, food preparation, education, are also gender differentiated impacts of natural-resource management, and a host of climate change that require gender other activities. responsive policies and projects. Botswana’s second national communication to the 7.58 The development of knowledge and UNFCCC shows the vulnerability of key skills is critical in the area of sustainable economic sectors to the impacts of climate environment. During NDP 11, Government change as well as the sectors that contribute intends to increase expertise in the area of the most to greenhouse gas emissions. To applied research and innovation. This will address the challenges associated with assist in managing the environment as well as climate change, Government is currently creating and harnessing opportunities, formulating the climate change policy, its generating sustainable jobs from strategy and action plan. The focus during environmental management activities such as NDP 11 will be on implementing the waste disposal. provisions of the policy. The implementation of the policy will also help to address issues 7.59 While infrastructure development is of sustainable management of natural inherently hydrocarbon dependent, it is resources. Furthermore, consideration will be possible to adopt eco-friendly methods in made to adopt “smart agriculture”, which is delivering infrastructural projects. To this an approach that will help Botswana to end, during NDP 11, Government will ensure transform her agricultural systems towards that eco-friendly methods are part of the more productive, efficient, resilient and project delivery system in order to achieve sustainable systems. the goal of sustainable development across all Government sectors, based on the Sustainable Human Settlements following: 7.61 Sustainable and integrated human Adopting eco-friendly construction and settlement planning is concerned with asset maintenance methods to safeguard creating a balance around socio-economic the environment and minimise the development of people, their location on exploitation of natural resources; space, and their relationship with the Efficient use of natural and financial environment. To this end, the Government resources in eliminating waste, both in has embarked on the development of the processes and materials; and, “National Spatial Plan”, which is intended to Focusing on best value delivery, by provide robust spatial solutions to socio- minimising on the whole life costing, economic development into the future. including capital expenditure, and operation costs, which will guarantee 7.62 To exploit the full economic potential longevity of the country’s natural and of the country and deliver sustainable man-made assets. development, the strategy is to promote a three tier planning hierarchy of; the national 143 spatial planning, regional planning and local facilitating south-south and triangular planning. This approach is provided for in learning and cooperation. the revised Town and Country Planning Act (TCPA) (2013), save for the need for a 7.66 Cross-sectoral collaboration will also further revision of the TCPA to be pursued to build on the synergies that exist accommodate national spatial planning to between sustainable environment priorities strengthen its implementation. and other priorities thereby increasing the efficiency and effectiveness of the limited 7.63 In order to advance research and public sector resources. Examples include the knowledge on land management issues, Local Economic Development approach cooperation with international partners and under Economy and Employment, which has research institutions will be actively pursued the potential to foster sustainable use of and promoted during the Plan period. natural capital in the process of developing local enterprises. There are also strong Financing of Sustainable Environment synergies between tourism as an economic Programmes sector and preservation of cultural heritage. 7.64 To deliver on the planned strategies and programmes planned under the PROGRAMME SUMMARIES FOR NDP Sustainable Environment thematic area 11 during NDP 11, Government will engage other stakeholders, such as the private sector, 7.67 The list of programmes discussed civil society and development partners, to below is not exhaustive, but rather provide a ensure their active involvement in summary of some of those planned to support implementing national priorities and Government efforts to achieve the goals programmes. As a matter of fact, under the thematic area of Sustainable Government’s role in this regard, would be to Environment. Detailed projects are contained create a conducive environment, while the in Volume II of the Plan. non-state actors commit to aligning their activities in a way that delivers on national Programmes for Environmental development priorities. Protection

7.65 Working with non-state partners, Clean Air Programme Government will also access global financing 7.68 Air quality has a direct relationship mechanisms, such as those provided by the with health outcomes. Exposure to polluted Global Climate Finance for mitigation and air continued to have negative health adaptation, and the resources under the outcomes and to cause environmental Global Environment Facility (GEF). degradation. During NDP 11, programmes Botswana has been successful in accessing will be put in place to strengthen coordination some of the global financial resources, with activities / projects geared to controlling air Government providing co-financing where pollution. The following will be critical goals there are clear synergies between proposed of the air pollution programmes: activities and the existing Government Strengthening air pollution control policy agenda. Development partners will have a and legislative framework; key role in supporting access to knowledge Development of standards and and technologies that will help the effective intensifying compliance efforts; realisation of national priorities, including

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Development of air quality monitoring biodiversity. The intention of the programme technology; will be to protect the environment and public Institutional capacity building for health from negative impacts emanating from improved coordination; chemicals and waste mismanagement. Intensification of public education and awareness as well as stakeholder 7.71 Efforts under this programme will engagement; and include: Maintenance of existing air pollution Implementation of the national waste monitoring infrastructure. management policy; Development and implementation of the Chemicals and Waste Management national chemicals strategy and Programme management plan; 7.69 In recognition of the need to put in Adoption and domestication of place better management practices for multilateral environmental agreements handling large general waste, efforts will be dealing with chemicals and waste made to develop chemical management management; systems with the intention to reduce the risks Development of hazardous waste and burden of diseases from chemical treatment and disposal facilities; exposure. Currently, Botswana does not have Finalisation of the Chemical Substance a legislation to regulate the use of both and Products Bill, and commencement of domestic and industrial chemicals and as its implementation; such chemical safety guidelines are the Country capacity building on health internationally recognised reference point. A impact assessment and industrial study was conducted on the legal and chemical assessment; administrative framework for the Privatisation of chemical treatment and management of industrial chemicals in disposal facilities; and Botswana during NDP 10. The findings of Establishing a coordination mechanism the study revealed that the current legal for Multilateral Environmental environment is not sufficiently supportive of Agreements (MEAs) on chemicals implementation objectives for all MEAs. The management in compliance with the study highlighted the need for an integrated country obligations on the MEAs. chemicals management framework in Botswana. The implementation of the Programmes for Management of Natural recommendations will take place during NDP Resources 11. Clean Water and Sanitation Programme

7.70 Chemical waste management is also 7.72 During NDP 11, Government will perceived as a high risk threat to human continue with efforts to ensure that the health in urban areas of Botswana. There is country’s water resource quality is limited policy approach when it comes to the issues of chemical waste management with maintained. The quality of water is capable of many waste sources having certain amounts supporting biodiversity. This can be achieved of chemical waste awaiting their safe through, among others, minimal polluting disposal. Sound management of chemicals matter emanating from anthropogenic and waste is critical to sustainable health and activities such as discharges from waste and to support good quality of life and enhance sanitation. This programme aims to prevent 145 water pollution and to protect the natural international institutions, academia and the water bodies from contamination as follows: private sector to strengthen information, effective implementation of institutional research and capacity. arrangements and role clarity; revival of onsite sanitation programme in remote areas Cultural Heritage Preservation without sewer line coverage; implementation 7.75 In view of the importance of cultural of best available technologies and best heritage preservation to sustainable development, Government will continue to practices; strengthening of water quality promote its utilisation, with a view to surveillance; and capacity building. empowering communities living around the

monuments. During NDP 11, more heritage Species Management sites will be developed and utilised to 7.73 Species management has an impact promote the tourism sector. Better on the population of particular species. A management practices will also be explored good management of species results in an to enable the communities to utilise the increase or balance on the population of heritage sites in a sustainable manner. To species, thus contributing to better and achieve the goal of sustainable management sustainable management of such species. of heritage sites, Government will intensify During NDP 11, programmes will be put in public education and awareness as well as place to improve the status of the species stakeholder engagement. The management (flora and fauna). A deliberate effort will be plans will be implemented to enhance the made to: improve the legislative framework; utilisation of the heritage sites, while existing develop appropriate standards; improve ones will be reviewed and updated, where inventory; and intensify compliance efforts necessary. by monitoring the status and diversity of species within the predetermined localities. Conservation of Agricultural Resources In order to attain sustainable environment, Programme public education and awareness will be 7.76 The programme seeks to put intensified. mechanisms in place to harness indigenous knowledge and utilise local resources to Water Resources Management efficiently and effectively manage and 7.74 Water resources management ensures conserve agricultural resources. This will be efficient allocation and effective attained through involvement of local management of the limited water resources. farming communities. Efforts will be Programmes will be implemented to promote undertaken in conjunction with the local water conservation and water demand communities, to rehabilitate degraded management. This would involve the agricultural lands with a view to increasing intensification of the implementation of the agricultural production, thereby attaining National Water and Wastewater Policy of food security. 2012, Botswana Integrated Water Resource

Management and Water Efficiency (IWRM- Integrated Planning and Land WE) Plan of 2013 and the review of Management Programme Botswana National Water Master Plan and 7.77 This programme entails land related legislations. In order to attain management practices that address the sustainable water resources, Botswana will country’s current and future socio-economic establish a platform to facilitate strategic needs, while reducing negative impacts on partnerships among national and 146 the environment. The implementation of Climate Change Resilience Programme some of the outputs of the NSP will address 7.80 During NDP 11, the Government will the land use requirements for the country, integrate its efforts in infrastructure planning including land for residential, commercial, and design in order to mitigate the effects of industrial, specific hubs and civic and climate change. Through the inclusion of community. In addition, the framework will thermal comfort technologies within the built evaluate all national land policies and environment, the effects of global warming programmes towards consolidating land will be mitigated within buildings. policies. The development of a land Government will further integrate climate information system will be completed during resilient buildings in the country’s NDP 11. This will enable efficient land construction landscape through the inclusion allocation, data sharing, data exchange and of energy efficiency principles in the dissemination across Government agencies. Building Regulations, and formulation of the A land information centre will be established National Minimum Energy Performance to improve land management. Government Standards. Climate change and resilience will continue to review land related acts and programmes will take gender mainstreaming policies to close gaps, and to create an into consideration at all levels. enabling environment for land use and development, and synergies with other 7.81 The programme will also improve on sectors. weather forecasts and warnings through the implementation of the numerical weather 7.78 Additionally, Government will prediction function (weather modelling), the continue with the national mapping expansion and upgrading of the programme to provide geo-spatial meteorological network, monitoring of ozone information to stakeholders for depleting substances (ODS), and the implementation of development projects and implementation of clean development decision making. Satellite imagery and aerial mechanisms. Absence of ODS Regulations photography for revision of maps across the necessitates a review of the Meteorological country will be acquired. Services Act of 2009. The regulations will be put in place to effectively control ODS 7.79 The programme to demarcate consumption and to minimise emissions, as Botswana’s international boundaries with her stipulated under the Montreal Protocol on neighbours will cover dry land and rivers. On Substances that Deplete the Ozone Layer. dry land, the boundary will be marked by beacons, which are not readily visible. There Renewable Energy Programme are instances where a fence marks the 7.82 The Government of Botswana has boundary line. To address the problem of entered into an agreement with the World ever increasing cross border crimes and Bank to develop a renewable energy strategy. illegal border crossings at un-gazetted points, The goals of the strategy will be to unlock the Government will continue to reaffirm, country’s potential, and to provide a firm rehabilitate and survey boundary beacons and basis for the scaling-up of the deployment of construct boundary fences along the common renewable energy technologies in the boundaries with neighbouring countries. country’s energy supply mix, as presently reflected in Figure 7.2.

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Figure 7.2: Projected Energy Supply Mix

Source: Botswana Power Corporation

7.83 Through the Renewable Energy schemes. Through energy audits, Programme, Government will be up-scaling Government buildings will be retrofitted with the use of renewable energy sources, with a the ultimate objective being to achieve a 20 view to meeting its climate change protocol percent energy saving during NDP 11. targets. Figure 7.2 shows the projected Estimates indicate that the extension of the energy supply mix for the NDP 11 plan retrofitting programme to all Government period, and beyond. Of significance to note buildings would yield a 20 percent saving in from the graph is the expected gradual electricity consumption, which will translate increase in the role of solar energy in the into a cost saving of P80 million per year, national power supply. using the 2014 tariff of P1.34 per kwh.

Energy Efficiency Programme CONCLUSION 7.84 The objective of the programme is to 7.85 During NDP 10, Sustainable stimulate, promote and encourage energy Environment focused on the two broad areas efficiency and conservation by removing of: environmental protection and barriers for energy efficiency within the management of natural resources. The domestic and large power consumers. This Environmental Protection Programme will be achieved by assisting the private focused on the mainstreaming of climate sector to undertake financially viable energy change both in relation to mitigating the efficiency projects that provide significant effects of emissions, and to developing energy and/or emissions savings in the adaptation strategies for economic country. These will be implemented through diversification, agriculture growth, malaria energy performance contracts or any eradication, control of communicable identified fit for purpose model/s in order to diseases and development of policies and achieve financial sustainability for national strategies. Efforts to sensitise the general energy efficiency initiatives. Financial public, business communities, sector services providers will also be identified to ministries and Non- Governmental partner with the Government to finance the Organisations (NGOs) to actively participate

148 in environmentally friendly practices were environmental legislations to address some of also made. the problems. This will be done taking into consideration, the linkages between natural 7.86 Through the programme of resources and their utilisation. environmental governance, a number of legislations, policies and strategies were 7.89 Furthermore, Government will reviewed to ensure their alignment with increase expertise in the area of applied national and international developments, as research and innovation to ensure sustainable well as emerging issues. These included: the environment. To ensure sustainable Forest Policy; Waste Management Policy; management of natural and cultural Multilateral Environmental Agreements resources, as well as prudent management of (MEAs); National Meteorological Services natural resources, Government will focus on Act; and the Mines and Minerals Act of 1999. the strengthening and/or development of policies, legislation and strategies that 7.87 Some of the challenges experienced address this threat, as well as undertake during NDP 10 in the implementation of the measures that enhance the state of the programmes under the thematic area of environment. Sustainable Environment were in areas of wildlife management, with: increased 7.90 To the extent that infrastructure incidences of poaching across the Southern development is inherently hydrocarbon African region; increased unsustainable dependent, during NDP 11, Government will utilisation of natural resources; and land adopt eco-friendly methods of delivering degradation, due to overstocking, loss of infrastructural projects. productive arable and livestock grazing land, diminishing soil productivity; and depletion 7.91 A number of programmes are planned of natural resource base (woodlands, forests under the thematic area of Sustainable and aquatic systems) that support poorer Environment during NDP 11 to support the communities. implementation of the strategies, with a view to achieving the goal of developing 7.88 To address some of these challenges, sustainably, i.e., expanding the economic several strategies will be executed during base of the country, while balancing the NDP 11. In this regard, Government will needs of the current and future generations. develop, review and implement relevant

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CHAPTER 8

GOVERNANCE, SAFETY AND SECURITY

INTRODUCTION

8.1 Among the critical ingredients of REVIEW OF THE THEMATIC AREA development are good governance, PERFORMANCE DURING NDP 10 observance of the rule of law, and stable security environment. In recognition of Achievements under the Governance these principles, Government of Botswana Sector will continue to strengthen the country’s 8.4 Good governance enables a country systems of effective governance, as well as to implement the most appropriate policies support efforts to improve governance at in order to achieve sustainable regional and international levels. Under the development. This is achieved through thematic area of Governance, Safety and mobilisation, proper use and coordination Security (GSS), Government will continue of all available resources in the public, to provide an enabling environment during private and civil society sectors, both NDP 11, with a view to achieving the Plan domestically and internationally, in the theme of “Inclusive Growth for the most effective and efficient way. Good Realisation of Sustainable Employment governance, safety and security are Creation and Poverty Eradication”. In this cornerstones of a country’s development. regard, Good Governance and National Security have been identified as key 8.5 The Governance sector consists of developmental priorities to be pursued the traditions and institutions by which during NDP 11 in order to contribute authority in a country is exercised. This towards the achievement of the Vision 2036 includes the process by which governments pillar of Governance, Peace and Security. are selected, monitored and replaced. The capacity of governments to effectively 8.2 Some of the key elements of good formulate and implement sound policies, governance and national security include: and the respect of citizens for such policies participation; consensus; accountability; is also important. The state of institutions transparency; responsiveness; effectiveness that govern economic and social and efficiency; equitability; inclusiveness interactions also matters. and respect for the rule of law. 8.6 The Worldwide Governance 8.3 This Chapter provides a review of Indicators (WGI) project reports aggregate the country’s performance under this governance indicators for over 200 thematic area as well as challenges economies on six dimensions of encountered during the Plan. It then governance. These are; voice and summarises the planned strategies for NDP accountability, political stability and 11. It is noteworthy that, despite continued absence of violence, government development challenges faced during NDP effectiveness, regulatory quality, rule of 10, which were exacerbated by the global law, and control of corruption. As indicated financial and economic crisis of 2008/09, in Table 8.1, Botswana’s performance in the country performed relatively well in respect of these indicators during NDP 10 both the governance and safety areas. has been commendable and stable.

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Table 8.1: Country Data Report for Botswana on Aggregate Indicators, 2009-2015 Aggregate Indicator 2009 2010 2011 2012 2013 2014 2015

Voice & Accountability (%) 59.20 61.10 59.60 64.50 62.60 61.60 62.20 Political Stability and Absence of 82.90 82.10 83.50 88.20 85.80 85.40 84.80 Violence/Terrorism (%) Government Effectiveness (%) 67.90 67.50 67.80 67.00 65.60 64.90 62.20 Regulatory Quality (%) 66.00 67.00 69.70 74.20 73.20 72.10 73.20 Rule of Law (%) 68.20 68.70 69.50 70.40 68.20 74.00 68.30 Control of Corruption (%) 68.20 68.70 69.50 70.40 68.20 74.00 68.30 Source: www.govindicators.org

National Monitoring and Evaluation System 8.7 In an attempt to align itself with 8.10 The establishment of an effective Vision 2016, whose stated overarching Monitoring and Evaluation System will objective was “Towards Prosperity for enable the country to track and provide All”, the National Development Plan 10’s feedback on national performance theme was “Accelerating Achievement of including public sector performance. This Vision 2016 Through NDP 10”. will promote credibility, accountability, transparency and public confidence in the 8.8 Despite the strategic need for a governance system. It is therefore robust National Monitoring and Evaluation necessary to institute a culture of System (NMES) in NDP 10, this system monitoring and evaluation across all sectors could not be fully implemented due to the of the economy to enhance national some challenges. Most significant was the performance. fact that there was no standardised and systematic measurement of the expected Public Sector Management plan results, nor was there a proper projects 8.11 During NDP 10, the key issue and programme evaluation process. In confronting public sector management was addition, there was inadequate monitoring the need to design and implement and evaluation capacity on the ground. The competitive strategies, and to align the institutional infrastructure to support this public sector human resource in such a way monitoring and evaluation system was also as to increase its impact. The strategies for weak. improving public sector performance focused on managing and developing 8.9 Going forward, a new NMES will Public Service personnel to: deliver quality be implemented through the establishment service; adopt new processes and of monitoring and evaluation units in technology; continuously learn and respective ministries. The central innovate; and providing appropriate terms monitoring and evaluation unit will be and conditions of employment. located at the National Strategy Office (NSO) for overall coordination. The Public Sector Reforms monitoring and reporting of results will 8.12 Robust international competiveness take place at ministerial level, while rule can be achieved through growth in setting, facilitation of measuring and productivity and improved efficiency reporting of results will be done by NSO in among domestic economic entities. In this collaboration with the Ministry of Finance regard, Government will continue to and Economic Development (MFED). implement public sector reforms, and 151 undertake other structural reforms to Act was reviewed to integrate the various improve productivity in the economy. appointing authorities into one. This Government has intensified public sector resulted in the commencement of the Public modernisation, and this includes Service Act No. 30 of 2008 in May 2010. implementation of reforms for improving The Act established the Botswana Public the ease of doing business in Botswana. Service Bargaining Council (PSBC). As a Some of the initiatives included: reviewing result, public service salary increments and of various pieces of legislation; leveraging improved conditions of service are information and communication negotiated with the Unions at the PSBC. technologies to improve productivity in the economy; business process reengineering; Industrial Relations rationalisation of institutions; outsourcing; 8.16 The labour sector supports the privatisation; and administrative reforms attainment of sustainable economic growth for service delivery. by putting in place a set of laws, regulations and policies, which fully embrace the 8.13 Ongoing sectoral reforms at the end principle of openness. Labour laws ensure of NDP 10 included: public financial harmonious and peaceful industrial management; the education and training relations, resulting in enhanced sector transformation; land administration; productivity and rapid socio-economic human resource management; e- growth and development. Government; initiation of a decentralisation policy; water and energy sector reforms; 8.17 The following achievements were and introduction of the village scorecard to made during NDP 10: the signing of the involve communities in determining Decent Work Country Programme; parameters for service delivery. amendment of the Employment Act; Performance management systems completion of the project on the continued to be strengthened. Elimination of Worst Forms of Child Labour; the merging of the Employment of Review of Conditions of Service Non-Citizens Act with the Immigration 8.14 During NDP 10, conditions of Act; the introduction of the Point Based service for the Public Service continued to System for objective assessment of be improved for attraction and retention applications for work and residence purposes. This improvement included permits; the amendment of the Trade introduction of housing allowance, Disputes Act (TDA) to facilitate speedy extension of repayment period for loan resolution of trade disputes; the contracted under the Government establishment of a Labour Inspectorate Employees Motor Vehicle and Housing Division to strengthen the coordination of Schemes (GEMVAS), and extension of labour inspections in the country; and salary advances to certain levels in the establishment of eight labour offices across Public Service. the country.

Employer/Employee Relations Capacity Building and Human Resource 8.15 A harmonious working Development environment is critical to the productivity 8.18 During NDP 10, the Botswana of the Public Service as well as to attract Public Service College (BPSC) developed foreign direct investment. As a result, the training programmes at all leadership levels Government of Botswana is committed to being; Service Leaders Development ensuring a harmonious employer /employee Programme (D-Band), Senior Management relationship. To this end, the Public Service Programme (E-Band), as well as Executive

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Leadership Programme (F-Band). These instrument was introduced across the Public were based on the leadership competency Service to harness direct feedback from framework as well as competency gaps customers. In addition, twenty revealed by competency assessments. Ministries/Departments were restructured Emerging critical issues were identified and during NDP 10 to continually improve resulted in the development and delivery of performance in the Public Service. training programmes in employment relations, project management, customer 8.21 As a further means of modernising service, supervisory skills, among others, to and improving efficiency and effectiveness enhance operational efficiency. The BPSC of the Public Service, a Public Service engaged international partners such as Civil Outsourcing Programme was introduced Service College of Singapore, RIPA during NDP 10. The programme started in International and others, to augment its the areas of gardening, office cleaning and capacity and to benefit from their security guarding. The implementation of international experience. More than sixteen the programme benefitted from the thousand (16 358) employees across all partnership with the Public Enterprises levels in the Public Service have been Evaluation and Privatisation Agency. trained by BPSC since 2009. In an endeavour to institutionalise good work Oversight Institutions ethic in the Public Service, public officers 8.22 A number of oversight institutions at all levels were also trained on smart work exist in the country responsible for laws to ethic. promote peace, order and good governance in Botswana. These include the National 8.19 The Assessment Centre process and Assembly, the Ombudsman, the Directorate competency based interviews continued to on Corruption and Economic Crime be used for selection of candidates to public (DCEC), and the Independent Electoral offices, owing to their reliability. Commission (IEC). In terms of mandates, Furthermore, the BPSC capacitated the National Assembly exists to make laws Ministries and Departments on effective for the peace, order and good governance of implementation of competency based Botswana, while the primary mandate of interviews. Other local institutions the Ombudsman is to investigate including the Institute of Development maladministration against public Management (IDM) and the Botswana institutions and to recommend remedial National Productivity Centre (BNPC), were action once maladministration is also instrumental in capacitating Public established. The DCEC, on the other hand, Service employees. Another endeavour at is mandated to fight corruption using the promoting accountability and effectiveness three pronged strategy of; corruption of the Public Service was the introduction prevention, public education, and of contract appointments for executive investigation in pursuance to the goal of officers, which commenced in 2013. zero tolerance for corruption. The IEC’s mandate is to deliver free, fair and credible 8.20 With a view to enhancing efficiency elections, and, thus strengthening and effectiveness of the Public Service, two democracy. hundred and eighty one (281) business processes were re-engineered and fifty-two National Assembly (52) of them developed into service 8.23 During NDP 10, the National standards. The process is critical to Assembly passed laws to drive the national eliminate wastage of resources and to development process. In line with engender public confidence in the rendered constitutional requirements, all laws that public services. The customer feedback had a bearing on cultural and customary 153 issues were referred to Ntlo-ya-Dikgosi for Ombudsman advice. Most of the laws that were passed 8.26 The Ombudsman exists to promote have been implemented with the exception good governance by promoting increased of a few that are yet to commence. It is openness, transparency, accountability, envisaged that in NDP 11, the National fairness and improved efficiencies. Major Assembly will focus more on pre and post development projects undertaken during legislative activities to strengthen the NDP 10 included the provision of staff and legislative process. office accommodation for the Francistown branch office, which enabled the office to 8.24 A number of novel legislative provide better service delivery from oversight reforms were introduced in NDP premises which are both modern and 10 to strengthen the national governance centrally located for easier access. The system, notably improved accountability, office also secured additional resources to transparency and effectiveness in the use open an office in Maun, which started and management of national resources. The operations during the 2014/15 financial National Assembly partnered with various year. legislative bodies and Inter Parliamentary Bodies to enhance Parliamentary oversight, 8.27 The Government also took a legislation and the global development decision to expand the mandate of the agenda. It also collaborated with the Office of the Ombudsman to include Swedish Development Agency (SIDA) on Human Rights during NDP 10. Work improving public participation and commenced towards the end of the Plan to engagement in the national decision making amend the Act, with a view to conferring it processes. In addition, Ntlo-ya-Dikgosi with the human rights mandate. collaborated with the Chinese Government in a programme aimed at promoting Directorate on Corruption and Economic cultural exchanges and community Crime development. 8.28 The Directorate on Corruption and Economic Crime (DCEC) continued to 8.25 During NDP 10, the National deliver its mandate through the three Assembly reviewed Parliamentary pronged strategy of investigation and Procedures and other Legislative processes prosecution of offenders, education of the to improve the quality of laws passed in public about the evils of corruption, and support of the National Assembly. With prevention of corruption and economic regard to legislative oversight, the National crime. Between 2011 and 2015, Botswana Assembly introduced various Portfolio made strides in its fight against corruption, Committees which are aligned to various as evidenced by the ratings from the sectors of the economy to improve Transparency International Corruption oversight and scrutiny of Bills and Perception Index, as shown in Table 8.2. subsidiary legislations. During NDP 11, the National Assembly will develop a robust monitoring and evaluation system to enhance legislative oversight and implementation of the National Development Plan. It will also improve the monitoring of implementation of Government Assurances to improve service delivery.

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Table 8.2: Corruption Perception Ratings for Botswana: 2009 - 2015 Year Rating (out of 10) World Ranking 2009 5.6 37/180 2010 5.8 33/178 2011 6.1 32/183 2012 6.5 30/174 2013 6.4 30/177 2014 6.3 31/175 2015 6.3 28/168 Source: Transparency International Corruption Index

8.29 The DCEC has established Anti- further strengthen the anti-corruption Corruption Committees, which have since efforts, the Directorate of Public been extended to all Ministries, Prosecutions (DPP) established a Independent Departments and Parastatals. Corruption Prosecution Unit, and the By the end of NDP 10, twelve anti- Judiciary assigned a High Court judge to corruption units were established in some preside over cases of corruption. Ministries and their functioning was visible. Botswana achieved some 8.31 The Commonwealth Secretariat milestones through accession to the United launched the Commonwealth Africa Anti- Nations Convention against Corruption Corruption Centre in Botswana. The Centre (UNCAC) in 2011, and to the African serves as the main base for all anti- Union Convention on Preventing and corruption initiatives by Commonwealth Combating Corruption in 2014. The countries in Africa. The Government of Government is aware that the fight against Botswana, through the DCEC provides the corruption is highly challenging and very Secretariat, office accommodation and crucial, and should therefore continue, if training facilities for the Centre. The choice the country is to remain a responsible and of Botswana to host the Centre was based accountable nation. The country stood out on the country’s achievement on issues of as a benchmark for other countries in Africa anti-corruption. in terms of control of corruption. Independent Electoral Commission 8.30 The Corruption and Economic 8.32 The 2009 and 2014 General Crime Act was amended and passed by Elections were successfully conducted in a Parliament in 2013. The Amendment of the transparent, credible, free and fair manner. Proceeds of Serious Crimes Act (POSCA), In these elections, voter turnout increased [CAP 08:03] into Proceeds and Instruments from 76.5 percent in 2009 to 84.6 percent in of Crime Act, 2014 (PICA), will 2014. To enhance participation of youth in tremendously add impetus to the fight the electoral process, the IEC introduced against corruption. Botswana continued to the Democracy Youth Clubs and Youth review and develop legislation aimed at Ambassadors, targeting school going and strengthening the fight against corruption out of school youth, respectively. A and white collar crime. In this regard, the Commonwealth Local Government Whistle Blowing Bill was developed and Conference was held to promote and approved by Parliament in 2016. However, strengthen democratic local government since the fight against corruption cannot be across the Commonwealth and to left to the DCEC alone, the development of encourage the exchange of best practice- a National Anti-Corruption Policy was through conferences, programmes and completed during the Plan period. To projects, and research and information.

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8.33 The capacity of the Independent possible, employing paralegals to undertake Electoral Commission was enhanced non-complex legal functions, such as debt during NDP 10 in terms of human resources collection, taxation of bills of cost and and office/residential accommodation in enforcement of court orders in favour of the districts. In an endeavour to enhance the Government. In addition, implementation electoral process, the IEC staff compliment of an Integrated Case Management under the Division responsible for elections System, provision of focused and skills increased by 25 officers (Assistant Election oriented training, including the Officers), 76 officers were trained in establishment of dedicated in-house Certificate in Management of Democratic training systems will be undertaken. Elections in Africa. Attorney Generals’ Chambers Judiciary Institutions 8.36 During NDP 10, Government business continued to generate a large Administration of Justice demand for commercial agreements. The

8.34 With the advent of e-Government, Attorney General’s Chambers (AGC) concerted efforts were made to improve played a leading role in drafting these efficiency by implementing developed ICT commercial agreements and ensuring that systems that enabled both the Government the position of Government was protected. and the public at large to access services With the “Whole of Government” approach speedily. The Administration of Justice to project and programme implementation installed Video Conferencing Equipment in becoming more and more entrenched, the Gaborone Central Prison, Maun Magistrate demands on the AGC to be more closely Court and High Court Divisions in involved in contract management will Gaborone and Francistown. Judicial Case experience a faster growth going forward, Management (JCM)) and Court Records than was the case in NDP 10. Management System (CRMS) were also developed and were under implementation 8.37 A secondment strategy was at the end of NDP 10. A Corruption court developed by the AGC, with a view to was introduced to expeditiously resolve decentralising legal services to Ministries. corruption cases and the court operated in Two legal units were established and nine Francistown. Furthermore, the Judiciary officers were seconded to some Ministries. established a dedicated Sheriff’s Office The challenges faced in establishing these managed by a Senior Assistant Registrar to units include, amongst others, shortage of closely monitor, regulate and supervise experienced attorneys, as well as the deputy sheriffs. However, the full benefits difficulty facing Ministries in creating posts of these systems have not been realised due for the seconded officers. The United to capacity constraints, and some of the ICT Nations Office on Drugs and Corruption projects were deferred to NDP 11. (UNODC) collaborated with the Attorney

General’s Chambers to train prosecutors on 8.35 The Justice sector will continue to emerging crimes such as human trafficking, improve and ensure customer satisfaction terrorism, corruption and money by engaging key stakeholders in coming laundering. up with compatible turn-around times, and targets during NDP 11. These key 8.38 An outsourcing strategy for the stakeholders include the Botswana Police Attorney General’s Chambers was Service, the Directorate of Public developed and implementation will Prosecutions and Directorate on Corruption continue into NDP 11. In addition, the AGC and Economic Crime. The objectives outsourced the revision of the whole Statute include; increasing capacity, and where 156

Book, which is expected to be completed by Hukuntsi, Kang, Nata and Shakawe. the end of 2017. Specialised courts were also established as follows; two maintenance courts and two Directorate of Public Prosecutions small claims courts in Gaborone and 8.39 The offices of the DPP in Francistown; seven stock theft courts in Francistown and Gaborone were built Francistown, Jwaneng, Selebi-Phikwe, during NDP 10, while new offices in Maun, Molepolole, Mochudi, Serowe and Lobatse and Palapye were opened through Bobonong as well as five mobile courts. rental of office accommodation from the private sector. In addition, two units, Quality Legislation and Agreements namely, the Anti-Corruption and the Asset 8.43 Several initiatives to improve the Forfeiture Units were established. quality of legislation were implemented during NDP 10, which included: Industrial Court updating of the Laws of Botswana; 8.40 The Industrial Court established the development of the Guidelines for Francistown Division of the court, which Drafting Instructions and the Drafting operated from rented premises from the Manual; development of Legislative private sector. Circuit Courts were Drafting Standards; accelerated training conducted where the Court does not have a of legislative drafters; establishment of a permanent presence. The Circuit Court Statute Law Revision Unit and e-laws; and locations were increased to seven (7), and elimination of the law reporting backlog. cover the following places; Kasane, The Laws of Botswana and Botswana Law Letlhakane, Ghanzi, Palapye, Jwaneng, Reports are now available for sale on CD- Maun and Selebi Phikwe. In addition, the ROM, with search control. Although most Industrial Court collaborated with the of the initiatives achieved their intended UNDP in the review of the Rules of the objectives, some of them will be Court. Improvements were also introduced implemented again during NDP 11 to in the Industrial Court proceedings by using ensure their sustainability and to monitor the Court Recording System in the compliance. The AGC has transferred the Gaborone Division. The e-laws website law reporting function to the was also developed. Administration of Justice, as originally planned in NDP 10. Legal Aid Botswana 8.41 The Legal Aid Botswana became a Achievements under Safety and statutory entity and a parastatal under the Security Sector

Ministry of Defence, Justice and Security 8.44 Even though the Governance Sector (MDJS) during NDP 10, with offices in faced some challenges, some notable Gaborone, Francistown and Tsabong. The achievements were realised under the Alternative Dispute Resolution (ADR) Safety and Security Sector as outlined mechanism was set in motion through below. consultation and benchmarking. Crime Reduction

Improved Access to Justice 8.45 An integrated crime control strategy 8.42 The Court of Appeal and the that entailed crime prevention and Headquaters of the Administration of detection, law enforcement and related Justice relocated from Lobatse to Gaborone collaboration with other partners was and a third division of the High Court was implemented during NDP 10. Specific opened in Gaborone, during the Plan crime reduction strategies included: period. In addition, six (magistrate courts strengthening of law enforcement agencies; were established in Bobonong, Gumare, robust communication for effective 157 information dissemination; strategic enacted. These included: the Counter- partnerships; and taking advantage of Terrorism Act No. 21 of 2014; Proceeds advances in technology to improve service and Instruments of Crime Act No.28 of delivery procedures. Progress made under 2014; Forensic Procedures Act No. 31 of the implementation of strategies adopted 2014; Anti-Human Trafficking Act No. for NDP 10 included the following: 32 of 2014; Chemical Weapons In order to strengthen law enforcement Prohibition Act of 2014; and Private agencies to deal effectively with crime Security Service Act of 2015; through a rigorous proactive strategy, a The efforts made to mobilise number of units were established to deal communities and to promote support for with emerging policing challenges beneficial consultation and cooperation including stock theft; diamond have resulted in an increase in the level protection, illicit drugs, poaching, and of community involvement in the fight cybercrime; against crime. This particular The automation of identification of development is attributed to the fingerprints was concluded in 2009, and complementary efforts of Special this has improved turnaround times of Constables, Police Clusters and Police processing of security clearance and Volunteers; and criminal identification; The cumulative effect of the integrated A Safer City Programme is being rolled strategy led to a positive impact on crime out for use in crime prone public places. reduction. There was a significant The benefits of this CCTV based crime reduction in the risk of exposure to management initiative include: violent, intrusive and serious crimes improved crime detection; reduction of from 107 incidents per 1 000 population public disorder, general crime and road in 2009 to 42 incidents per 1 000 accidents; improvement in the response population in 2015. A similar trend systems; and improved quality of obtained for serious crimes, where crime investigations; per 1000 population dropped from 31 in In order to enhance the effectiveness of 2009 to 26 in 2015 as shown in Table law enforcement, a number of laws were 8.3.

Table 8.3: Violent and Serious Offences per Population: 2009 - 2015 1 2 ViolentViolent & & SeriousSerious ViolentViolent & intrusive & intrusive1 per per SeriousSerious2 crime crime Year PopulationPopulation IntrusiveIntrusive CrimeCrime 1000010000 pop pop per 10000per 10000 pop pop 2009 18 18 947 947 5 5439 439 1 776 1 776 494 494 107 107 31 31 2010 14 14 928 928 5 5753 753 1 800 1 800 098 098 83 83 32 32 2011 13 13 655 655 5 5414 414 2 024 2 024 904 904 67 67 27 27 2012 13 13 893 893 5 5562 562 2 066 2 066 406 406 67 67 27 27 2013 10 10 920 920 5 5535 535 2 107 2 107 484 484 52 52 26 26 2014 10 10 036 036 5 5340 340 2 147 2 147 906 906 47 47 25 25 2015 9 9 126 126 5 5620 620 2 187 2 187 477 477 42 42 26 26 Source: BotswanaBotswana Police Police Service Service Statistics Statistics

1 Violent and intrusive = burglary, house breaking, store breaking and robbery 2 Serious crime = murder, rape, theft of motor vehicle, stock theft and threat to kill2 158

Road Transport Safety 8.46 During NDP 10, efforts continued offices in Mochudi and Molepolole. to be made to ensure safety of all road users. However, due to resource constraints, This was done through public education, the two projects were shelved. Instead, a effective law enforcement and use of road mobile testing station was purchased to worthy vehicles. Despite some challenges augment the services in that area; and experienced in this subsector, satisfactory Security services in registration offices progress was achieved during the Plan were improved drastically as tight period, as outlined below: security measures were put in place in all The Road Traffic Act was reviewed and registration and licensing offices country fines for offending motorists were raised wide. in order to address issues such as drunken driving and violation of speed 8.47 A number of initiatives were limits. The result was enhanced implemented in order to influence positive deterrence effect of the Road Traffic road user behaviour under the three road Law; safety themes of education, engineering and The Plan had envisaged the extension of enforcement. In respect of law enforcement the existing children’s traffic school as the initiatives targeted irresponsible, well as the construction of an additional dangerous and unlawful behaviour that puts one in the northern region of the country other road users at risk. to cater for children in that area. These projects did not materialise due to the 8.48 During NDP 10, there was a financial and economic crisis. However, significant decrease in risks associated with the services provided were augmented the use of motor vehicles in Botswana as through the purchase of a mobile traffic shown in Table 8.4. For instance, accident school; risk declined from 55.7 accidents per 1 000 There were four testing stations at which vehicles in the year 2009 to 29.6 accidents vehicles are tested for roadworthiness to per 1 000 vehicles in the year 2015. The ensure that they are safe for road use. associated health risk also went down from During NDP 10, the plan was to 26.7 fatalities per 100 000 population to construct an additional vehicle testing 18.8 fatalities per 100 000 population station to cater for the vehicle population during the same period. in the Maun area as well as registration

Table 8.4: Motor Vehicle Road Accidents Trends and Rates: 2009 - 2015 Table 8.4: Motor Vehicle Road Accidents Trends and Rates: 2009 - 2015 Year Crashes Fatalities Registered Estimated Accident risk Health risk Year Crashes Fatalities Registered Estimated Accident risk Health risk vehicles population vehicles population Crashes/1000 Crashes/10000 Crashes/1000 Crashes/10000 Fatalities Fatalities/100 Vehicles Population Fatalities Fatalities/100 Vehicles Population /100 000/100 000 000 Population 000 Population VehiclesVehicles 20092009 2020 000 000 475 475 359 359 223 223 1 776 1 494776 494 55.7 55.7 112.6 112.6 132.2 132.2 26.7 26.7 20102010 1818 978 978 397397 394394 401 401 1 8001 098800 098 48.1 48.1 105.4 105.4100.7 100.7 22.1 22.1 20112011 1818 001 001 483 483 430 430 592 592 2 024 2 904024 904 41.8 41.8 88.9 88.9112.2 112.2 23.9 23.9

20122012 1717 527 527 404404 473473 530 530 2 0662 406066 406 37.0 37.0 84.8 84.885.3 85.3 19.6 19.6

20132013 1717 062 062 411 411 515 515 270 270 2 107 2 484107 484 33.1 33.1 81.0 81.079.8 79.8 19.5 19.5 2014 2014 1616 641 641 377377 556556 737 737 2 1472 906147 906 29.9 29.9 77.5 77.567.7 67.7 17.6 17.6

2015 17 654 411 596 883 2 187 477 29.6 80.7 68.9 18.8 2015 17 654 411 596 883 2 187 477 29.6 80.7 68.9 18.8 Source:Source: Botswana Botswana Police Police Service Service Statistics Statistics

159 Radiation Safety and Security and impounded radioactive sources in 8.49 An increase in usage of ionising collaboration with the United States of radiation sources and radioactive material America through the global threat in Botswana was observed during the Plan reduction programme. period. This has called for organised and coherent measures to regulate and control Disaster Management its application to prevent illicit uses such as 8.50 As a disaster prone country, nuclear terrorism and public exposure to Botswana continued to implement ionising radiation. A wide range of measures to protect the lives and strategies were employed during NDP 10, livelihoods of its citizenry. Among the which included accession and signing of common types of disaster in the country are international instruments as follows: veld-fires, floods, storms, drought and Accession to the Convention on Early diseases. During NDP 10, the country had Notification of a Nuclear Accident (11th to contend with the outbreak of the foot and November 2011); mouth disease in the North East, floods in Accession to the Convention on Chobe and Ngamiland, Matsha College Assistance in Case of a Nuclear students’ disaster, intermittent drought and Accident or a Radiological Emergency storms that destroyed people’s shelters. (11th November 2011); There were also new threats such as the Joining of the International Atomic Ebola pandemic and the Zika virus. Energy Agency Illicit Trafficking Database in 2009 and acceptance of 8.51 In an effort to reduce the impact of Botswana’s Integrated Nuclear Security these, and to enhance the resilience of Support Plan (INSSP) (November Batswana to hazards, the following disaster 2011); risk reduction measures were developed in Ratification of the 2005 Amendment of areas of prevention, mitigation, the Convention on the Physical preparedness, response and rehabilitation: Protection of Nuclear Material, which A National Disaster Risk Management was signed in November 2014; Plan was developed; Review of the Radiation Protection Act Sector specific plans were developed, of 2006 and its Regulations of 2008 was which comprise of epidemics, structural on-going by end of the Plan; fires, wild land fires, floods and geo Radiation monitoring of occupationally hazards; exposed workers by the National Strengthening of disaster management Dosimetry Laboratory was accredited to committees at all levels; ISO/IE 17 925 in 2012, and still A disaster public awareness programme maintained that accreditation by the end was implemented to reach out to the of 2016; public; Monitoring of radioactivity in the An early warning system in conjunction general environment was initiated with mobile service providers was put in through establishment of an place to issue SMSs on impending Environmental Monitoring Laboratory disasters; through the assistance of the Risk and vulnerability assessments were International Atomic Energy Agency. conducted in disaster prone areas; Once, the laboratory is operational, soil, Pre-positioning of disaster relief food, water and vegetation analysis will supplies at national and district levels; be undertaken to determine radiation 906 houses were constructed for families levels, and Botswana acquired a affected by disasters; temporary storage container for disused

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Signing of Memorandum of 8.54 The sector achieved partial success Understanding with National Disaster in rehabilitation of offenders through Management Office, Department of introduction of a fisheries programme, an Water Affairs and Department of artwork programme, stakeholder Meteorological Services for severe collaboration, and recruitment of weather, flood warning and emergency professional staff dedicated to offender management; and, rehabilitation. An Offender Rehabilitation Signing of the Sendai Framework for Policy was crafted, which provided a Action (SFA 2015-2030), which took framework that informs offender over from the Hyogo Framework for assessment, treatment, training and Action (HFA 2005-2015). reintegration efforts. The introduction of the Offender Case Management was Internal and External Security delayed due to capacity constraints, and will be carried out during NDP 11. National Defence 8.52 During NDP 10, a marked 8.55 Security features of prison facilities improvement and considerable were improved through installation of high achievements were noticeable in the areas technology security equipment, erection of such as: building a force that is capable of more secure perimeter fences and promptly responding to a wide range of acquisition of additional vehicles, including both internal and external security threats specialised ones to cater for the service’s such as anti-poaching and intrusion of the operational needs. Service dogs were also airspace, resulting in the BDF being able to; introduced to assist in conducting searches. enhance its level of capability by acquiring These interventions contributed to a decline modernised ground and air systems, sustain in the number of escapees recorded in the equipment at its disposal by following prisons from 43 in 2009 (0.74 percent) to 25 sound maintenance plans and maintaining (0.53 percent) in 2015. the correct stock levels for feeding its personnel, recruit and develop personnel 8.56 During the Plan period, stations with the desired levels of competencies and were cabled and connected to the skills in key specialised areas. Government Data Network. Procurement of ICT equipment and development of a Prisoner Welfare and Rehabilitation scale of user requirements for Prison 8.53 One of the priorities of the sector Information Management System (PIMS) during NDP 10 was to develop was completed. Development and infrastructure, upgrade and maintain procurement of software for PIMS will be existing facilities in order to address the completed during NDP 11. The intended problem of overcrowding in prisons. purpose of this application is to enhance Prisoner accommodation was increased by data processing and management to make 2.8 percent from 4 219 to 4 337. This information readily available to inform coupled with intensified use of pre-release decision making and policy formulation. programmes led to a reduction in overcrowding rates from an average of 85 Civil and National Registration, percent above capacity to an average of 0.5 Immigration and Citizenship Control percent below capacity by the end of the 8.57 During NDP 10, the sector Plan period. A condition survey of prison committed to: developing a Migration facilities was carried out during NDP 10, Policy; implementing the National NGO and with the help of the survey results a Policy; computerising; decentralising number of prisons underwent maintenance provision of services; enhancing security to make them more habitable. 161 features of all documents; and, addressing prevention, preliminary investigation, and perceived corrupt practices with anti- corruption risk management. corruption measures and capacity building. 8.61 Two temporary border posts were Decentralisation of Services opened at Tshidilamolomo and Mabolwe 8.58 The Department of Civil and during NDP 10 bringing the total number of National Registration opened two district border posts to 36, which includes airports. offices at Nata and Shakawe. In addition, onsite registration of births and deaths was Implementation of the National NGO decentralised to the following health Policy facilities; Princess Marina, Molepolole, 8.62 The NGO Policy of 2004 was Lobatse, Gantsi, Ramotswa, Mochudi, reviewed in 2012, and the Botswana Serowe, Mahalapye, Bokamoso, Lesirane National NGO Council was established as clinic in Mogoditshane, Francistown, one of the strategic issues recommended in Maun, and Selebi Phikwe. Furthermore, the Policy. mobile registration was introduced in remote and difficult to reach areas, and two 8.63 The review of the Policy Guidelines border posts were opened at for financial support is on-going. The Tshidilamolomo and Dobe, and a new guidelines are being reviewed with a view Regional Immigrants Selection Board was to providing an accountable, transparent established in Chobe. and result oriented framework for administration and management of funds to Computerisation of all Critical Functions NGOs. 8.59 The Department of Immigration and Citizenship managed to computerise its 8.64 The process to develop a National functions such as issuance of passports, Endowment Fund for civil Societies is on- immigration and citizenship processes going. The main purpose of this Fund is to (visa, permanent residence and citizenship) enable availability of resources to support through Passport and Border Control civil society initiatives including, among System and Immigration and Citizenship others, policy dialogue and citizen System. As a result, turnaround time for engagement, project design and delivery, issuance of passports has improved from training and capacity building, five days to three days in Gaborone. On the organisational and operational other hand, Civil and National Registration infrastructure, as well as planning, enhanced national identification, birth and monitoring and evaluation. deaths registration systems, which earned the country two awards (Radiant Vision Information Management Award in Identity Management and 8.65 The management of information has Champion of Civil Registration in Africa). become a matter of national security as well as an enabler of good governance through Anti-Corruption Measures effective communication. In keeping with 8.60 The sector embarked on a holistic the Vision 2016 pillar of building an capacity building strategy that addressed Educated and Informed Nation, gaps brought upon by corruption, Government was able to expand public bureaucratic processes, etc. These included, access to information through new among other issues, development of MLHA interactive online, as well as broadcast and Anti-Corruption Strategy and Policy, print media platforms during NDP 10. This training of trainers on corruption expansion resulted in an increasing number of international, as well as the majority of domestic customers being able to access 162 public information and to provide feedback strategic locations. The increased on a daily basis. representation resulted in an increase of activities in various spheres including the 8.66 There is still need to improve the promotion of trade and investment, high- coordination and quality, as well as overall level exchanges, development assistance, reach of Government communications. It is and tourism. Botswana also collaborated further recognised that the growth of global with other countries both in the region and communications networks will require globally to address issues of peace and greater local effort to project matters of security through various bilateral and national interest at home and abroad, while multilateral frameworks like Joint further countering emerging threats posed Permanent Commissions on Cooperation by potentially hostile external networks. In (JPCCs), Joint Permanent Commissions on this context, breakdowns in the flow of Defence and Security (JPCD’s) and Bi- proactive and reactive communications can National Commissions. ultimately pose a threat to the country’s peace and prosperity. CHALLENGES DURING NDP 10

International Relations Governance Sector Challenges 8.67 Botswana, as a member of the international community, has to strive to Public Sector Management play an effective and instrumental role in 8.69 The Directorate of Public Service shaping the global environment. Given the Management had planned to establish the complexity of the international system and Public Service Assessment/Development the development challenges that the Centre for selection and for development country has to contend with, it is critical purposes during the Plan period. The that Botswana becomes an active objective was to have competent people in participant in the regional and multilateral leadership positions as well as to curb costs system to derive more meaningful benefits. that are currently incurred as a result of Equally, it is important that Botswana using outsourced services. However, the continues to nurture and foster bilateral major challenge has been attracting relations with her neighbours and her relevant personnel with required strategic partners to advance issues of competencies to operationalise the Centre. development. Effective engagement with The development of human resource the international community (e.g., through policies and systems was also delayed by SADC, African Union, the Commonwealth insufficient capacity in the area of public and the United Nations) will help Botswana policy formulation and evaluation. Another to contribute towards the attainment of challenge was in the area of fostering strategic outcomes that include: peace and sustainable and good relations between the security; democracy and good governance; employer and the unions. respect for human rights; respect for international law and norms; peaceful Oversight Institutions coexistence with neighbouring countries; 8.70 The Office of the Ombudsman and sustainable development. faced a number of challenges during NDP 10, which informed the proposed strategies 8.68 During NDP 10, Botswana and priorities for NDP 11. Public awareness increased her representation abroad through about the role and function of the Office the establishment of diplomatic relations on continued to be low. This was mainly a non-residential basis and the because the Office is seriously constrained establishment of diplomatic missions in in terms of resources to carry out public education and outreach activities. The 163

Office operates from two offices, namely Safety and Security Sector Challenges the Gaborone headquarters and a branch office in Francistown. This poses a Crime Reduction challenge of accessibility for some of the 8.73 The global financial and economic public who are unable to utilise the services crisis of 2008/09, which saw a rise in offered by the two offices due to distance unemployment ushered a complex and and cost. ambiguous safety and security landscape for the country and its citizenry. This Judiciary Institutions development presented the need for 8.71 The biggest challenge in the enhanced management of criminal delivery of quality judgements was the activities such as violent and serious gender heavy case load per officer, which led to based violence, cross border, and high resignation rates of both experienced transnational crimes, and cyber-crime. Government lawyers and judicial officers. The need to redistribute part tried cases 8.74 Law enforcement agencies had to exacerbated the problem of backlog of contend with: low uptake of crime cases. To address this problem, the prevention tips by the community; the Prosecutions and Civil Litigation Division increasing involvement of youth in crime; developed a backlog reduction strategy, alcohol abuse; unemployment; inadequate whose implementation will continue into police visibility; slow disposal of cases NDP 11. The process of takeover of through the justice system; and the effects prosecution of cases from the Botswana of inadequate border security. In addition, Police Service by the DPP continued during there was an emergent protection the Plan period. requirement arising from the relocation of the Diamond Trading Company 8.72 Another source of attrition from the International from London to Gaborone, as judiciary sector was the competitive well as the increased threat of poaching in remuneration and attractive conditions of the country. service in the private sector, which affected both the support and professional staff in Road Transport Safety Government. This, combined with a 8.75 During NDP 10, the main cause of considerable increase in litigation, has led road traffic accidents remained human to increased outstanding cases, both civil error, which was characterised by careless and criminal cases before the courts. This driving, excessive speed, unlicensed has resulted in extreme pressure on the driving, and driving under the influence of available human resources and an alcohol and/or drugs. These remain the unacceptably high workload among judicial major source of concern in road safety. officers, litigating lawyers and support staff. The net effect of this has been delays Radiation Safety and Security in the disposal of cases and a huge backlog 8.76 Under this subsector, the challenges of cases in the magistrate, industrial and encountered included: the suspension of the customary courts. In some cases, the end construction of the Orphan Radioactive result of this situation has been miscarriage Sources Storage facility by the High Court of justice. in August 2014, following objection by the Pilikwe community; low usage of hand held radiation detectors at ports of entry; and low-compliance with the basic safety standards, and the Radiation Protection Act, 2006, and its regulations.

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Disaster Management transparency and accountability, and the 8.77 The main challenges experienced in rule of law during NDP 11. disaster management included: inadequate mainstreaming of disaster risk reduction 8.82 Good governance enables a country into the development planning processes; to implement the most appropriate and insufficient adherence to building codes equitable policies to achieve sustainable and safety procedures, which resulted in development. This is achieved through storms easily destroying people’s shelter; mobilising, using and coordinating all and inadequate capacity to implement available resources in the public, private mitigation/ prevention and preparedness and civil society sectors, domestically and measures that can reduce the impact of internationally, in the most effective and disasters. efficient way.

Prisoner Welfare Rehabilitation Participatory Democracy 8.78 The sub-sector faced numerous 8.83 Promoting citizen participation challenges in achieving its goals and entails involving all citizens in open objectives. Significant impediments discussions on the development or included: escaping of prisoners from lawful improvement of policies and strategies. It is custody; overcrowding of prisoners an integral part of good governance since it experienced at maximum security prisons; facilitates ownership, full participation and inadequate rehabilitation facilities; and the meaningful engagement in decision wide and diverse officer/ prisoner ratios. making. Citizen participation also builds informed and active citizens who International Cooperation understand how to voice their interests, act 8.79 Despite the achievements made in collectively, and hold public officers the country’s engagement with the accountable, and conversely, be also international community, there were a accountable as citizens and as a nation. number of challenges which included: moderate representation abroad; 8.84 Government will further enhance heightened competition for foreign direct citizen participation in various spheres investment; and the financial and economic during NDP 11. The focus will be on crisis. inclusiveness and nation building. Inclusiveness means full participation in STRATEGIES FOR NDP 11 the development and implementation of 8.80 Under the Governance, Safety and policies and the outcome of such should be Security thematic area, there were a number visible social and economic development of achievements during NDP 10, as goals. Furthermore, the Electoral Act and indicated in the review of the performance electoral processes will be reviewed during of this thematic area. However, there NDP 11 with a view to improving electoral remain some challenges, some of which are service delivery in preparation for the 2019 expected to be addressed through the NDP General Elections and beyond. 11 strategies below. Transparency and Accountability

Governance Sector 8.85 The promotion of transparency and 8.81 In line with the Vision 2036 pillar of accountability is a key dimension of Governance, Peace and Security, democratic governance. Transparency is Government will continue to focus on about accessibility to the general public of improving participatory democracy, clear information about Government, private sector and civil society activities, in order to increase citizen participation and 165 enjoyment of the services provided. 8.88 A project of interfacing the Election Accountability for development results Management System and the Land rests on the establishment of criteria for Information System specifically for plot evaluating the performance of public, number details of voters was initiated in private sector and civil society institutions, preparation for the 2019 General Elections so that they can be held responsible for their to ensure an accurate and credible voters actions or inactions. roll. In addition, upon the introduction of the Electronic Identity Card, its interfacing 8.86 During NDP 11, efforts will be with Election Management System will be made to increase Government’s ability and continued. capacity to provide information about Government business across all sectors to Improving Productivity through Public encourage more effective and accountable Sector Reforms institutions and better outcomes for 8.89 Public sector reforms are critical in citizens. Through transparent systems, improving productivity and achieving access to quality information would enable efficient public service delivery. Hence, a citizens to more actively participate in comprehensive Public Sector Reform policy making. Citizen participation and Coordination Programme is being transparency would assist citizens to inform developed and will be implemented during the decision-makers, by making sure they NDP 11. These reforms are expected to have the necessary and accurate improve service delivery within the public information to influence policy sector and thus, have a positive bearing on formulation, improvement of service labour productivity and economic growth. delivery, and management of national resources for the benefit of all, including Improved Labour Administration poverty eradication. 8.90 During NDP 11, Government will ensure that there is harmonious and 8.87 Two new audits will be introduced, peaceful industrial relations to promote and these are forensic and environmental socio-economic growth and development. audits. Forensic audits will produce robust To achieve this, the following will be audit reports that can withstand the rigours carried out: amendment of the Workers’ of law in the prosecution of people involved Compensation, Trade Unions and in acts of fraud, embezzlement and other Employers Organisations and the misappropriations. This will be to Employment Acts; strengthening of the strengthen accountability and promote labour inspection system in the country good governance. Environmental audits, on through the Decent Work Country the other hand, will identify environmental Programme (DWCP); establishment of an compliance and management systems independent dispute resolution structure; implementation gaps and recommend establishment of a National Tripartite corrective actions. This will ensure Social Dialogue Structure; development of achievement of sustainable development a National Employment Policy; goals and safeguard the environment for implementation of an Occupational Broad future generations. Audit of performance Based Pension Scheme; development of a information will evaluate the efficiency and National Policy on HIV/TB and effectiveness in the execution of budgets. Employment; and development of a This would give an indication of the extent National Occupational Health and Safety to which goals and objectives as captured in Policy. The latter policy will: guide the the national priorities are being achieved. development of an efficient and effective occupational health and safety service delivery; enactment of a clear, 166 comprehensive and harmonised legal and Protection and Promotion of Human Rights regulatory framework for all sectors of the 8.93 Despite the country’s good human economy; accessible and equitable rights record over the years, NDP 11 will compensation and rehabilitation of refocus efforts and commitment towards workers; and enhanced awareness, the protection and promotion of the education and training at all levels. citizens’ human rights. Consequently, therefore, the country will be implementing Rule of law strategies for effective protection and promotion of human rights, including a Respect for the Rule of Law review of all relevant legislation and 8.91 The respect of the Rule of Law expanding the mandate of the Ombudsman means the absolute supremacy or Office to deal with human rights issues. predominance of regular law, as opposed to the influence of arbitrary power, and Promotion of Gender Equality excludes the existence of arbitrariness. 8.94 Government recognises the need for These are critical components that need to equal participation and representation of be put in place in order to achieve justice women and men in all development for all. It entrenches the concept of equality processes. Furthermore, Government before the law, or the equal subjection of all recognises the unique challenges faced by classes to the ordinary law of the land. It women and men, and the need to develop enjoins all, including the Government to targeted interventions to effectively address respect and timeously comply with, and them. During NDP 11, Government will enforce the decisions of the courts, whether promote gender equality and empowerment favourable to them or not. of women through mainstreaming of gender as outlined in the National Policy on 8.92 During NDP 11, Government will Gender and Development. Concrete adopt a more robust approach to bring the measures and mechanisms will be put in courts to modern and effective ways of place to facilitate the participation of dispensing justice and interacting with women in all governance structures. litigants through measures as such as e- Government will also strengthen the Government, simplified rules of courts, National Gender Machinery to facilitate reduced costs of litigation, reduced distance capacity building, inclusiveness and between the litigants and the courts’ service empowerment of citizens including centres. These critical components will be vulnerable groups in all development put in place in order to assure a first class processes. judiciary. The Judicial Case Management system that has been running for a number National Security and Safety Sector of years now will be increasingly utilised. 8.95 As regards the Vision 2036 In an effort to improve public confidence, outcome of a peaceful society with low the Administration of Justice will train levels of crime, Government will continue court personnel on Rules of Court, continue to strengthen measures to improve on the to conduct public education on its services, country’s territorial integrity, and public as well as implement and roll out Court safety and protection. Annexed Mediation to other courts. In addition, the Bogosi Act of 2008 will be 8.96 The contemporary environment has reviewed during the Plan period to clearly ushered in a complex and ambiguous define powers vested to the Minister for international security landscape. This has effective implementation of the Act. led to asymmetric threats that continue to pose a serious threat to the desired levels of peace and security. It is therefore critical to 167 ensure that, during NDP 11, the nation National Defence continues to feel safe and secure by having 8.100 The following are strategies for confidence in their national security NDP 11 to support the national security structures and frameworks’ capacity to deal requirements: with emerging threats. National security Capacity Building and Human will be underpinned by clearly defined Resource Development - The national national values and strategic national defence sector highly subscribes to the interests, and these will be informed by concept that people are its key assets in changing domestic needs, interests and delivering its mandate. Therefore, it socio-economic dynamics, as well as will endeavour to recruit and retain the regional and international trends. right people who have the potential to remain faithful to the core values of the Combating Corruption national defence force and will be able 8.97 Even in the face of relatively to meet future challenges; favourable rankings by Transparency Develop and nurture relevant International, locally, there are disturbing operational capabilities - The defence trends of corruption, which need to be sector has various operational missions tackled aggressively. The country will in place. The defence organisation guard against any downward trends as these needs to be structured into agile, can adversely affect its ability to mobilise flexible and ubiquitous entities to be resources for growth, as well as attracting able to counter contemporary threats. foreign direct investment. The idea is to maximise the national defence effectiveness in successful 8.98 During NDP 11, DCEC will: accomplishment of various missions; enhance its capacity for corruption and, prevention; facilitate strengthening of legal Revitalisation of capabilities - It is framework; strengthen investigations, asset critical that the defence sector has the tracking and recovery; implement right and working equipment to community outreach programmes; as well effectively deliver its mandate. The as examining policies, systems, procedures defence sector will refurbish and or and practices prone to corruption. upgrade its equipment that is still economic to repair. Where such is not Protection of Territorial Integrity possible the defence sector will procure 8.99 The emerging contemporary global new equipment following all the best security threats are inherently transnational practices and all the necessary rules and in nature, extending beyond the rigid regulations set by the national oversight territorial framework of the modern state entities. system. This calls for effective coordination and cooperation with neighbouring Countering Terrorism countries. During NDP 11, Government 8.101 Terrorism is undoubtedly an issue at will ensure the permanent inviolability of the forefront of international security. Its the national territory and its effective effects have manifested themselves within control by employing all available our borders in so many diverse ways. To instruments of national power. This will respond to this challenge, Government has require the adoption of specific measures, enacted the Counter Terrorism Act of 2014. such as border control, surveillance, and During NDP 11, it would be imperative to protection of the welfare of the populace. expeditiously set up structures as prescribed in the Act in order to ensure that the country is protected against this threat.

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Combating Cyber Crime network. The diamond hub will be 8.102 Cybercrime is a global growing recognised as a critical infrastructure that threat as experienced with computer viruses requires the physical protection of its entire such as Melisa and Chernobyl, which have supply chain. In this regard, the current attacked isolated and networked legislation on diamond security will be information systems through the internet or enhanced during NDP 11 in order to protect through software carriers and devices. the diamond hub. Many vital decision-making processes of Government are now ICT based, and Strengthening proceeds of crime legislation therefore vulnerable to this threat. 8.105 There is a need to deal effectively Jurisdictional issues across nations with serious crimes including financial regarding cybercrime still present a crime, and endeavour to deny criminals the challenge. The fact that cyberspace has no opportunity to benefit from the proceeds of borders renders the domestic cybercrime crime. To this end, laws that specifically laws ineffective since many cybercrimes target proceeds of serious crimes will be are committed outside the jurisdiction of strengthened and structures put in place to the local law enforcement authorities. enforce these laws with a view to making it During NDP 11, Botswana will engage difficult for fraudsters to operate in the other countries with a view to adopting country. Appropriate strategies in this consistent laws and to form inter- regard will be developed during NDP 11. jurisdictional task forces to deal with cybercrime that crosses national Strengthening Border Control and Security boundaries. Specific measures will be put 8.106 Persistent illicit activities such as in place to guide and protect critical cattle rustling, smuggling of goods, infrastructure assets from potential threats poaching, human trafficking, illegal drugs, and possible breaches. firearms and other emerging threats continued to be experienced during NDP Formulation of a National Security 10. It is, therefore, necessary to continue to Strategy effectively collaborate with international 8.103 The new and emerging crime law enforcement organisations and other related challenges facing the country will stakeholders through existent mechanisms be addressed through the National Security to alleviate these detrimental deeds. In Strategy that will be formulated during addition, Government will develop a NDP 11. The strategy will address security comprehensive control system with clear challenges and will also act as a policy delineation of functions and roles of key template from which other policy issues stakeholders during NDP 11, as this is will be drawn. The strategy will also necessary for effective border control and facilitate an enhanced and coherent national security. security agenda that will inform and guide policies of the different security and Enhancing Detection of Nuclear materials defence agencies and avoid duplication of and Weapons of Mass Destruction efforts among them. 8.107 The proliferation of weapons of mass destruction is a threat to global Public Safety and Protection security. Radioactive materials and nuclear 8.104 The relocation of the Diamond technologies are more accessible and might Trading Centre (DTC) from London to end up in the public domain, hence, Gaborone has presented peculiar and threatening public safety and security. The complex security challenges. It is therefore relative ease of production of both chemical important to vigorously intensify safety and and biological weapons has made these security of diamonds and their distribution attractive to terrorists. During NDP 11, 169

Government will put in place measures to Controlling internal and transnational enhance detection and surveillance of organised crime nuclear materials, particularly at ports of 8.110 With the era of globalisation, entry. In addition, safe storage and security transnational organised crime has of nuclear and radioactive materials will proliferated. The advent of technologies has continue to be accorded priority during provided an enabling platform that NDP 11. The Radiation Protection Act of facilitates organised crime across all 2006 and its Regulations will be fully sectors, locally and internationally. There is reviewed to incorporate elements of nuclear a distinctive interplay between human security and enforcement. Furthermore, trafficking, drug trafficking, money regional and international partnerships and laundering, terrorism, fraud and corruption. networks will be strengthened through the Conversely, crime within the country has proposed SADC protocol on Nuclear and become predominantly violent and Radiation safety. intrusive, which often leads to the violation of the physical wellbeing of people. To Management of Irregular Migrants address the situation of emerging violent 8.108 There has been an influx of crimes within society, there will be a migrants into the country for various complete paradigm shift in the resourcing reasons such as economic and political and capacitating of law enforcement benefits. These migrants, especially the agencies. Furthermore, a situation where illegal ones, pose some security risks such crime recycles the same offenders’ calls for as increased crime, terrorism activities, improved rehabilitation for those labour market saturation, and increased incarcerated. This will be addressed competition with local populace for social through new approaches and strategies amenities. The latter can create conflict during NDP 11. with the local populace, which could be a recipe for instability. To address this Combating Human Trafficking migration challenge, Government will 8.111 Human trafficking is a serious develop a rigorous migration policy during security challenge that is both local and NDP 11 to deal with this issue before it transnational in nature. To respond to this degenerates into a more complex situation. challenge, Government enacted the Anti- Human Trafficking Act of 2014, which is Improving security features of security being implemented. During NDP 11, documents Government will set up structures geared 8.109 Despite the success achieved during towards safeguarding the interest of NDP 10 in protecting the country’s witnesses and victims. security documents such as national identity cards, passports, birth and death Improving Disaster Preparedness and certificates, work and residence permits, Responses there is need to continuously monitor the 8.112 There is a need for well - situation, with a view to improving on it. coordinated and capacitated multi-sectoral Security documents acquired fraudulently response teams and sharing of intelligence can facilitate criminal activities such as to avert future disaster situations. In this identity theft, organised trans-national regard, Government will put in place crimes, terrorism, etc. During NDP 11, measures to mitigate disasters as well as Government will review the system of improving preparedness levels. managing security documents to enhance Partnerships with neighbouring countries their security features through the use of will be explored to improve preparedness modern technology in order to make it on trans-boundary disasters as well as difficult for them to be tampered with. taking advantage of modern technologies 170 for early warning and disaster response PROGRAMME SUMMARIES FOR initiatives. The development of a Disaster NDP 11 Command Centre will be given priority during NDP 11 to improve on the disaster 8.115 To address the two national coordination mechanisms. Public priorities of Good Governance and Safety awareness programmes will be enhanced to and Security, Government plans to improve the response to disasters by undertake a number of programmes and members of the public. Sector specific projects during NDP 11 aimed at improving plans will be developed and implemented to participatory democracy, transparency, rule prepare and respond to disasters. of law, as well as territorial integrity and public protection. Some of the major Combating Gender Based Violence programmes are summarised below. 8.113 Gender based violence (GBV) remains a threat to sustainable Governance Sector Programmes development, hence the need for a multi- sectoral, multi-pronged and integrated Participatory Democracy approach for its elimination and prevention 8.116 The IEC will enhance citizen at both domestic and national levels. participation through strengthening the Government will therefore develop and engagement of youth through Youth implement strategies targeting the various Ambassadors Programme and Democracy components of GBV. Strategic and Youth Clubs. The introduction of sustainable partnership with Non-State Electronic Voting Machines and the Actors (NSA) will be strengthened for Electoral Risk Management Tool will effective implementation, monitoring and strengthen the electoral process. evaluation of transformative GBV responses. Human Resource Management Programme

International Relations 8.117 The world of work is changing fast 8.114 To ensure that Botswana remains a in response to developments at both respected and influential player in world national and global levels. As a result, in affairs, as well as to provide a conducive order to be competitive, the country needs environment for national development, to build a workforce that is innovative, strategies such as: development of foreign highly productive and versatile. The policy guidelines; development of following five focal areas have been guidelines for participation in regional and identified for implementation during NDP multilateral systems; increased diplomatic 11. representation abroad in strategic locations; Efficiency of the Public Service and increased participation in peace building initiatives and conflict prevention 8.118 This will be realised through the mechanisms will be pursued during NDP development of human resource 11. These strategies will serve to enhance management policies, systems and Botswana’s international profile and processes, right sizing the Public Service, improve mechanisms to engage in capacity building, development and bilateral/multilateral cooperation implementation of retention strategies and agreements, which will result in exchange organisational design. programmes, information sharing, development assistance, as well as promote Competency Based Human Resource trade and investment opportunities. Management 8.119 This will be carried over from

NDP10. The focus remains the critical need

171 to build and retain the right competencies Establishment of a National Monitoring within the Public Service and the and Evaluation System development of an effective talent 8.124 A robust monitoring framework is management strategy. required as a tool for the Public Service to evaluate implementation of human resource Productivity Improvement management strategies and policies, as well 8.120 Productivity in all its facets is as identifying the factors that contribute to critical for the country’s progress and its service delivery outcomes. The key global competitiveness. Central to this will assumption is that the human resource be the development of an organisational information system will have adequate culture that is customer centric, and management information on critical areas grounded upon an agreed Public Service of human resource management, to value system that promotes excellence, facilitate effective public service high levels of work ethic, professionalism management. and integrity. Rule of Law Modernising the Public Service 8.121 In order to effectively serve the Capacity Building and Human Resource nation, the Government needs to build a Development public service that is relevant and suitable 8.125 This strategy aims at recruiting to the needs of the country. In this regard, enough professional and support staff, there is a need to develop a workforce plan improving training and developing staff that will guide the human resource function within the justice system. Provision of both in the Public Service. This will be a public office and staff accommodation during service that provides for flexibility, NDP 11 is also a requirement, particularly versatility, innovative use of ICT and for effective dispensation of justice effective partnerships with the private countrywide. In addition, capacity building sector in the delivery of services to the for Bogosi is still a priority area in NDP 11, nation. taking into account the new developments on legal matters. The Attorney General’s Employer/Employee Relations Chambers is in the process of recruiting 8.122 Government will continue to foster staff to establish a Law Reform Unit. employer/employee relations by improving Simultaneous with the retention initiatives, conditions of service, strengthening holistic strategies will be developed to train employee engagement strategies and middle management to cope with the reinforcing the work of the Public Service current work load and career paths for Bargaining Council. Emphasis will be on technical area experts who lack valuing an employee as a key asset in management expertise. service delivery. Quality Dispensation of Justice Improving Productivity through Public 8.126 The Justice sector will endeavour to Sector Reforms improve access to justice through: (i) 8.123 Public sector reforms are critical in extending the reach of Legal Aid Botswana improving productivity and efficient public by establishment of offices and satellite service delivery. Therefore, a offices, gradual and controlled extension comprehensive Public Sector Reform of legal aid to the more serious criminal Coordination Programme will be cases in the magistrates’ courts, and the implemented during NDP 11. extension of the electronic reach of Legal Aid Botswana, augmented by giving basic legal education on their rights and 172 obligations; (ii) reviewing the Bogosi Act Kanye as well as expand circuit courts to to address the shortfalls in the current Act; Tsabong and Ghanzi. and (iii) restructuring the Justice System to achieve effective and efficient dispensation 8.129 To improve access to its services, of justice during NDP 11 through the Office of the Ombudsman will programmes that include the establishment implement strategies to take its services of the Office of the Receiver and Asset closer to the people, such as circuit Forfeiture Fund, and the finalisation of the investigations and setting up offices in sentencing policy. strategic places to reduce the time and cost incurred by people in accessing those. New Implementation of a Court Records offices will also be opened in Maun, Management System Tsabong, Kasane, and Palapye during NDP 8.127 During NDP 11, Government will 11. The Ombudsman will also partner with activate some modules in the CRMS to other stakeholders to leverage on improve on the Judiciary’s service delivery. information and communications The e-filing will make the files and technology to improve the speed and ease products more accessible to the judges and of service delivery. This would also magistrates and ensure efficient use/access conform to the Government drive for of information through ICT. Furthermore, integrated services (e-Government). the e-filing will be piloted, before being rolled out to all the stations, while court Customer Satisfaction files will be scanned, emailed and captured 8.130 During NDP 11, the Justice sector into the CRMS. The Fission module will will strive to improve and enhance assist the court clerks to capture cases right customer satisfaction by engaging key away in the CRMS. In addition, there is stakeholders in order to come up with need to manage cases from customary compatible turn-around times. courts and to computerise all cases that have been tried in customary courts. Real Building effective and inclusive institutions time recording equipment which was under at all levels piloting at the end of NDP 10 in the 8.131 An empowering legislative Gaborone High Court Headquarters will be framework will be essential for the rolled out to other High Court Divisions, as effective discharge of the mandate assigned well as magistrate courts. It is expected that to the Office of the Ombudsman. The the equipment will speed up case disposal. existing legislation will therefore be reviewed during NDP 11 to expand the Privatisation and Decentralisation of mandate of the Ombudsman to cover Services human rights, as well as to grant the Office 8.128 During NDP 11, the outsourcing of sufficient powers to deliver on its mandate. specialised services will continue to better service delivery. In order to bring services Refugee Management closer to Ministries and Departments, the 8.132 During NDP 11, the management Attorney General Chambers (AGC) will review certain aspects of the secondment of refugees will be strengthened by strategy and the creation of legal units in enhancing the operational efficiency of the some Government institutions. The Refugee Advisory Committee in the Administration of Justice will establish screening and interviewing of asylum magistrate courts in Serowe and Kasane, seekers to ensure that only genuine refugees whilst the Industrial Court will establish are granted asylum in the country. The new offices in Selebi Phikwe, Maun and current Refugee (Control and Regulation)

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Act underwent review and amendment to monitoring, and where appropriate, align it with Government policies, such as responding to such reputational challenges first country of asylum and enactment as may emerge at home and abroad. Existing strategies will also be reviewed to policy and international refugee ensure enhanced whole Government instruments such as the 1951 UN communication. Convention on the status of refugees and protocols and 1967 protocol relating to the Border Re-affirmation status of refugees. 8.136 The need to secure Botswana’s borders with her neighbours cannot be Safety and Security Sector Programmes underscored. In that regard, Government will continue the border affirmation National Defence exercise during NDP 11 with the aim of 8.133 The National Defence Programme entering into border treaties with these is designed to enable the defence sector to neighbours. In order to facilitate law achieve its mandate. The programme enforcement, the exercise to create patrol comprises the following: development of routes along the borders will also continue. modern and effective capabilities to deter potential aggressors; development of Strengthening Border Control Security national defence strategy to inform the 8.137 Security at ports of entry will be development of the national military strengthened through the computerization strategy; development of an effective of the remaining border posts (Two Rivers, counter terrorism strategy; provision of the Bokspits, Tshidilamolomo, Mabolwe, necessary infrastructure and other Dobe, Linyanti, Parshalt, Zanzibar and all amenities to effectively and efficiently Airstrips). In addition, installation of a operate in cyberspace; provision of aid to Public Key Directory will enable a civil authorities, including humanitarian systematic authentication of travel and disaster relief; the provision of suitable documents for non-citizens entering and and affordable infrastructure; and leaving the country. refurbishment and upgrading of equipment. Public Safety and Protection Crime Domestication of the Rome statute of the reduction International Criminal Court 8.138 During NDP 11, new approaches 8.134 Botswana has been an active and strategies that address internal and supporter of the International Criminal organised crimes such as human Court, and has at all times, cooperated with trafficking, drug trafficking, money the court in executing its mandate as set out laundering, cybercrime, terrorism, fraud in the Rome Statute. During NDP 11, and corruption will be introduced. Projects Botswana will domesticate the Rome under this programme include cybercrime Statute of the International Criminal Court policing, diamond security and the safer so that the statute could have effect in its city project. national laws. Road Transport Safety Information Management 8.139 Botswana will implement the 8.135 During NDP 11, Government Botswana National Road Safety Strategy communications will continue to leverage (2011-2020) during the Plan period, which on the convergence of digital technologies focuses on: safe road users; safer vehicles to communicate public policies, and safer roads; strengthening legislative programmes and perspectives, while instruments to address the current road

174 usage challenges; and the use of 8.144 A development of a Food Security technology. Strategy within the Prison Service is currently at formulation stage and will be Civil and National Registration and implemented during NDP 11. This will see Immigration & Citizenship Control the Prison Service acquiring farming 8.140 During NDP 11, Government will equipment and implements so as to increase review the system of managing security farm production to become self-sufficient documents to enhance their security in food production and no longer having to features through the use of modern rely on Government for funding for inmate technology in order to make it difficult for feeding, with excess production sold to the them to be tempered with. This will public, thereby, contributing to the national include: design and development of food security. integrated systems; training of system users; and piloting and rollout. Measures to Prisons Security strengthen border control processes will 8.145 The following strategies and also be included in the integrated system. programmes will be employed during NDP 11: development of Prison Security Migration Policy Strategy that entails use of high technology 8.141 The Migration Policy is intended to security equipment; procurement of secure manage the influx of both legal and illegal prisoner transportation platforms; migrants, who compete with locals for upgrading and modernising infrastructure social amenities thereby posing security and construction of maximum security threats. The development of the policy wings in some of the existing low and started in NDP 10, and will be finalised and medium security prisons. The strategy also implemented during NDP 11. recognises the need for computerisation of the service processes and the development Establishment of a Secretariat Unit of Prison Information Management System 8.142 The Immigration Act and the (PIMS). Employment of Non-Citizens Acts were repealed in 2011 and were combined to Enhancement of Regulation of Private make the new Immigration Act. This Security Services created an opportunity for the 8.146 During NDP 11, the regulation of establishment of a single unit that processes private security services will be enhanced permits that recognises both immigration and their role in the national security of the and labour officers, as authorised officers country will be assured. The National for the purpose of implementing the Act. Security Policy will delineate a clear role and place for the private security services. Prisoner Welfare and Rehabilitation 8.143 During NDP 11, there will be Disaster Risk Reduction enhanced rehabilitation and reintegration of 8.147 The programme prioritises the offenders through the implementation of development of a robust and proactive the offenders’ rehabilitation policy, the disaster risk reduction strategy in line with implementation of the alternatives to the Sendai Framework for Action. It sentencing policy, and the introduction of includes, amongst others: review of the offender case management programme. National Policy on Disaster Management; Relevant programmes aimed at equipping enactment of unitary legislation on DRR; offenders with life skills will be introduced, and the establishment of a National and partnerships with relevant stakeholders Command Centre, which will also take will be strengthened. advantage of new technologies such as telecasting to enhance early warning 175 mechanisms and other aspects of Disaster Risk Management. Disaster risk reduction 8.149 Despite these achievements, more policies, programmes and projects will be efforts are required to consolidate the gains gender responsive to address the gender made so far, and to ensure that Botswana related impacts. continues to display a positive image through the promotion of good governance, CONCLUSION democracy and the rule of law. The various strategies in this Plan were therefore crafted 8.148 During NDP 10, Botswana taking into account the need for continued continued to be a beacon of democracy and improvement of the governance climate. good governance in Africa. This was due to the country’s commitment to the concept of 8.150 The main security challenges facing separation of powers, which is the the country relate to the unfolding global foundation of Botswana’s democracy, as security environment, which, among enshrined in the Constitution of the others, include: cybercrime; terrorism; Republic. The country continued to be trafficking (drugs and persons); money awarded high ratings by Transparency laundering; poaching; and heightened need International through its Corruption for protection of key national resources and Perception Index, Ibrahim Index of African installations. The successful Governance, World Justice Project, etc. As implementation of a comprehensive a result, the country has received national security strategy, as well as the international accolades and recognition in other strategies that are outlined in this being: politically stable; governed through Chapter will ensure, amongst others, that the rule of law and participatory the current security threats do not democracy; accountable; and the least undermine the country’s sovereignty and corrupt country in Africa. These attributes territorial integrity. are critical for the promotion of economic growth and quality of life.

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CHAPTER 9

SOCIAL UPLIFTMENT INTRODUCTION

9.1 The overall goal of the country food security, malnutrition, income under the thematic area of Social inequality, prevention of gender based Upliftment in NDP 10 and beyond is to violence, economic participation of all achieve a dignified life for all citizens citizens including women, youth, remote through the delivery of programmes and area communities and people living with projects that ensure the upliftment of disabilities. economically marginalised, as well as socially vulnerable. Consequently, social REVIEW OF THE THEMATIC AREA development will be the Key Result Area PERFORMANCE DURING NDP 10 under this thematic area during NDP 11.

9.4 This section reviews the country’s 9.2 Social development is defined as a performance under the thematic area of process of enhancing the well-being, as Social Upliftment during NDP 10. well as developing and sustaining strategies that endeavour to enhance social responsibility for the nation. It Achievements under Social Development Focal Area encompasses all policies that seek to ensure 9.5 During NDP 10, various social the equitable access of citizens to services protection programmes were formulated and opportunities that improve their and strengthened through enhancement of welfare and wellbeing. Though not policies, strategies and initiatives aimed at primarily focused on the most needy, social cushioning vulnerable and disadvantaged development does emphasise social populations. These included; social safety inclusion. It covers equitable access to nets such as Ipelegeng, Orphan Care, mainstream social services such as Destitute Programme, Old Age Pension, education and health, as well as special World War II Veterans, Disability programmes for disadvantaged or excluded Allowance and Poverty Eradication social groups. It builds on notions of Programmes. The other achievement was individual and community rights and the amendment of the Children’s Act of entitlements, as well as on the state’s 2009 in order to enhance the protection of responsibilities to all its citizens children’s rights.

9.3 The chapter therefore focuses on 9.6 Table 9.1 shows that there was an two main areas: Social Development; and upward trend in the number of beneficiaries Health. The priority areas covered include: under the Old Age Pension programme enhancement of prevention and during the Plan period, even though the rehabilitation interventions; eradication of outturn was below target. On the other poverty; adequate social protection; gender hand, the actual numbers of beneficiaries equality and women’s empowerment; and under the Destitute Programme were the youth empowerment. Some of the key same as projected in NDP 10, and trended issues to be addressed involve access to slightly downwards. basic services for all citizens, household

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Table 9.1: Social Protection Programmes Area of coverage 2009/2010 2010/2011 2011/2012 2012/2013 2013/2014 2014/2015 2015/2016

Targ Act Tar Act Tar Act Tar Act Targ Actu Targ Actu Target Actual et ual get ual get ual get ual et al et al Old Age 96 68 94 74 91 79 93 86 98 93 101 100 101 108 pensioners 118 550 252 189 385 396 207 346 199 066 471 448 208 273 World War II 2 1 2 1 2 1 1 1 1 1 2 1 Veterans 1 640 1 640 469 677 166 658 216 676 949 699 963 707 077 724 44 44 33 33 30 30 29 29 31 31 32 32 32 32 Destitute 376 376 237 237 732 732 749 749 114 114 696 696 896 896 Oprhans and vulnerable 48 48 45 45 42 42 40 40 35 35 34 34 32 32 children 119 119 816 816 069 069 030 030 400 400 441 441 865 865 Source: Department of Social Protection

9.7 The figures for the beneficiaries effectiveness of the anti-retroviral under the World War II Veterans programme, and other related interventions. programme displayed an increasing trend over the Plan period. This is due to the fact 9.8 Figure 9.1 depicts the trends in the that when the veterans die, their surviving enrolment figures for Ipelegeng in NDP10, spouse/spouses or their children aged which indicates an increase from 233 172 below twenty-one years receive the in 2009/10 to 741 783 in 2015/16, an allowance. As should be expected, the increase of over 30 percent per annum over numbers of veterans are actually the seven year period. The figure achieved decreasing. On a positive note, the numbers in 2015/16 was 96.3 percent of the target of of beneficiaries under the Orphan and 770 292. Home Based Care programmes declined during the Plan period, due mainly to the

Figure 9.1: Ipelegeng Employment Figure 9.1: Ipelegeng Employment 800000 800000 700000 700000 600000 600000 500000 500000 400000 400000 300000 300000 200000 200000Number employed Number employed 100000100000 0 0 2009/2009/ 2010/2010/ 2011/2011/ 2012/2012/ 2013/2013/ 2014/2014/2015/2015/ 20102010 20112011 20122012 20132013 20142014 20152015 20162016 ActualActual Achieved Achieved233172233172 418376 418376 538754 538754 620151 620151 713206 713206 748756 748756 741783 741783 TargetTarget 480000480000 480000 480000 600000 600000 662000 662000 727801 727801 771254 771254 770292 770292

Source: MlGRD (Department of Local Governance and Development Planning)

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9.9 Another social development be delivered during the Plan period under programme pursued during NDP 10 was the this programme, a total of 680 houses were delivery of houses to remote area delivered, or 82 percent. Out of the 680 communities or settlements. Table 9.2 houses delivered, 97 of them or 14.0 shows the actual number of houses percent were delivered the Presidential delivered under the Destitute Housing Housing Appeal Programme. Programme. Of the 829 houses planned to

Table 9.2: Destitute Housing in RADP Settlements

2009/2010 2010/2011 2011/2012 2012/2013 2013/2014 2014/2015 2015/2016

Target actual Target actual Target Actual Target Actual Target Actual Target Actual Target Actual RADP Housing - - 0 0 - - 222 222 195 193 222 191 194 68

Presidenti al housing ------72 - 14 - - - 11

TOTAL 6 6 0 0 - - 222 294 195 207 222 191 205 79 Source: MLGRD (Department of Community Development)

9.10 The Destitute Housing Programme provision of houses under the disaster went beyond the remote area management response. In total, 2 250 communities/settlements and covered the houses were delivered under the three entire country. As indicated in Table 9.3, programmes; out of the 2 745 planned the Programme performed extremely well during the Plan period, representing 82 on a country-wide scale, supported by the percent delivery rate. Presidential Housing Appeal and the

Table 9.3: Country-Wide Destitute Housing Table 9.3: Country-Wide Destitute Housing 2009/2010 2010/2011 2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 2009/2010 2010/2011 2011/2012 2012/2013 2013/2014 2014/2015 2015/2016

Target actual Target Actual Target Actual Target Actual Target Actual Target Actual Target Actual Target actual Target Actual Target Actual Target Actual Target Actual Target Actual Target Actual Country Country widewide destitutedestitute housinghousing 194194 194194 0 0 0 0 120120 120120 229229 229229 210 199199 242 242 227227 211211 92 92 Presidential Presidential housinghousing appealappeal 0 0 0 0 15 15 15 15 114114 114114 116116 116116 138 138138 74 74 74 74 186186 126126 DisasterDisaster HousingHousing 425425 425425 0 0 0 0 0 0 00 481481 481481 0 00 0 0 0 0 0 0 0 0

Source: MLGRD (Department of Community Development)

9.11 In addition to the Destitute Housing under the District Housing, SHHA, Programme, a number of other housing Turnkey and Home Improvement programmes were implemented during the programmes, and the Poverty Alleviation Plan period, with a view to improving on Housing Scheme, from 2009 to 2016. Out the quantity and quality of the housing of the 9 703 housing units planned over the stock in the country. To this end, Table 9.4 Plan period, 5 879 or 61 percent were contains a summary of housing delivery delivered through these programmes.

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Under the SHHA programme, the and from P60 000 to P90 000, for the Home thresholds for loan amounts per beneficiary Improvement, and Turnkey Programmes, were increased from P45 000 to P60 000, respectively during the Plan period.

Table 9.4: Country-Wide NDP 10 Social Housing Projects NDP10 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Table 9.4: Country-Wide NDP 10 Social Housing Projects Social NDP10 Targ 2009/10Actual Targe2010/11Actual Targe2011/12Actual 2012/13Targe Actua2013/14Targ Actual2014/15 Targe Actual2015/16 Targe Actual Housing et t t t l et t t Social Targ Actual Targe Actual Targe Actual Targe Actua Targ Actual Targe Actual Targe Actual Home Housing 444 et 649 444t 744 444t 487 t444 l 403 et 500 413 t 500 352t 500 0 ImprovemenHome 444 649 444 744 444 487 444 403 500 413 500 352 500 0 t Improvemen t Turnkey 1000 874 1000 0 1000 858 1000 824 1000 0 1383 0 1226 24 Turnkey 1000 874 1000 0 1000 858 1000 824 1000 0 1383 0 1226 24 Poverty 2 2 2 0 2 1 2 4 2 2 2 1 2 0 Poverty 2 2 2 0 2 1 2 4 2 2 2 1 2 0 Alleviation Alleviation and Housingand Housing schemescheme DistrictDistrict 175 175 175 175 0 0 0 0 0 0 0 0 75 75 66 66 0 0 0 0 0 0 0 0 0 0 0 0 HousingHousing Totals Totals 1621 1621 1 700 1 700 1446 1446 744 744 1446 1446 1 1 346346 15211521 1 1297 297 15021502 415 415 1885 1885 353 353 1728 172824 24 Source: Ministry of Infrastructure and Housing Development (Department of Housing)

Empowerment of People with Disabilities x Pre-positioning of disaster relief 9.12 In an effort to include people with supplies at national and district level; disabilities in mainstream society, the and Government introduced three initiatives, x 906 houses (see Table 9.3) were namely: disability allowance; disability constructed for families affected by data base; and inclusive education policy, disasters. which targets children with special needs. Sports Disaster Risk Management 9.14 During NDP 10, Government 9.13 The Government addressed disaster identified the need for organised sport and risks through prevention, mitigation, recreation to contribute to initiatives meant preparedness, and response and to address the problems of youth, rehabilitation initiatives, which included improving health, and creating a sense of the following: unity and pride. The following x A national disaster risk management achievements were realised: plan was developed; x For the first time in the history of x Development of sector specific plans, Botswana, the country won a silver which comprise epidemics, structural medal at the Olympic Games; fires, wild land fires, floods and geo- x The country qualified for the Africa hazards; Cup of Nations football tournament x An early warning system in conjunction for the first time in its history; with mobile service providers was put in x Medals were won at the place to issue SMS on impending International Association of disasters; Athletics Federation (IAAF) x Risk and vulnerability assessments Samsung Diamond League in 2012, conducted in disaster prone areas; 2013 and 2014, whilst the first gold 180

medal was won at the leadership, gender based violence and Commonwealth Games in 2010; human rights. Government further Botswana received two gold medals developed the National Policy on Gender and one silver medal in the and Development, National GBV Strategy, Commonwealth Youth Games in GBV Assessment Tools, the Gender Samoa 2015; and Mainstreaming Curriculum, and the For the first time, the country hosted Regulations for the Domestic Violence Act, the African Youth Games in 2014 among others. which were held in Gaborone. Youth Empowerment Schemes Gender Equality and Women 9.16 In an effort to build resilient and Empowerment empowered youth that are able to take 9.15 The women’s empowerment charge of their personal development, programme aims to empower women to Government introduced and strengthened advance their social and economic well- various programmes designed to reduce being. During NDP 10, Government poverty and vulnerability among youth by through the national gender programme, promoting employment opportunities, and supported capacity building for gender enhancing their capacity to start projects for equality and women’s empowerment on their self-sustenance. In this regard, a issues such as poverty alleviation and Youth Development Fund was established participation of women in economic to assist youth with funding of their activities, women’s participation in projects.

Figure 9.2: Performance of the Youth Development Fund 4500 4264 4000 3756 3500 3000 2500 2000 1500 865 955 1000 713 743 668 314 500 0 2010 2011 2012 2013 2014 2015 total

Funded Business Operational

Source: Ministry of Youth Empowerment, Sports & Culture Development

9.17 The performance of the Fund is as Programme. These were intended to depicted in Figure 9.2. Out of a total of 4 prepare the youth for the job market, most 264 funded businesses, 3 756 or 88 percent of who already have the right were operational in 2015. Also, to address qualifications, but lack the experience the challenges of youth unemployment and required by the labour market, resulting in the mismatch between the industry the incidence of high unemployment demands and the experience possessed by among this group. The uptake of the the youth, Government introduced two Internship Programme over the Plan period main programmes, namely, the National is summarised in Figure 9.3, which shows Service Programme and the Internship the continued expansion of the programme.

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Figure 9.3: Number of Interns Offered Permanent Employment 1394 1400 1099 1200 1000 635 603 800 492 539 600 400 Number of Interns offered 200 0 Employment 0

Source: Ministry of Youth Empowerment, Sports & Culture Development

Achievements under the Health Focal Area 9.18 In the area of health, there were Development Goals, Vision 2016 and NDP notable achievements, as indicated by the 10. A summary of the health sector country’s performance under the health achievements during NDP 10 is contained related United Nations Millennium in Table 9.5.

Table 9.5: Progress on the Achievement of Health Indicators Key Performance Performance Indicator Infant Mortality Rate Reduced from 48 per 1000 live births (2007) to 17 per 1000 live births (Statistics Botswana, Population Census 2011), against an MDG target of 16 per 1000 live births. Under-five mortality rate Reduced from 76 per 1000 live births (2007) to 28 per 1000 live births (2011) against an MDG target of 27 per 1000 live births. Maternal Mortality Ratio Reduced from 189 per 100 000 (2009) to 152 per 100 000 (2014), against an MDG target of 81 per 100 000. According to Botswana Health Survey (2007), 95 percent of women deliver in health care facilities, while 94 percent of pregnant women attend ante-natal care (Figure 9.4). HIV Incidence Reduced from 1.45 percent (2008) to 1.35 percent (2013), translating to reduction of 15 000 new infections to 10 000 annually. Malaria Reduced from 6.69 cases per 1 000 Population in 2010 to 0.13 cases per 1 000 Population during 2015 (Malaria Surveillance Reports). Tuberculosis (TB) Reduced from 503 per 100 000 population 2010 to 385 per 100 Incidence Rate 000 in 2014. % Access to health 95 percent of the total population (89 percent of rural services population) live within 15 kilometres radius to the nearest health facility. Source: Statistics Botswana

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9.19 In addition to the achievements Medical Services and Mortuary and outlined in Table 9.5, there were notable Forensic Standards (2014); and milestones as reflected below: reduced mother to child Parliament passed the Public Health transmission of HIV to less than 2 Act (Revised - 2013); percent; Revision of the National Health HIV estimates showed a 72 percent decrease in AIDS deaths between Policy (2011); 2003 (21 153 deaths) and 2013 (5 Revision of the National Policy on 790 deaths); HIV and AIDS, which was Accreditation of five health approved by Parliament in 2013; facilities (Mahalapye and SLH, Development of the Integrated Phuthadikobo, Xhosa and Airstrip Health Service Plan (2010); Clinics) by an accredited institution (Council of Services Accreditation Implementation of Maternal Health for Southern Africa (COHSASA); Road Map; Implementation of initiatives to Finalisation of the School Health reduce disease morbidity and Policy; mortality such as Communities Development of the Botswana Acting Together to Control HIV National Health Monitoring and (CATCH), Maternal Mortality Evaluation Plan and the National Quality Improvement Initiative, Health Data Management Policy Accelerated Child Survival and (2015); Development Strategy and STOP Development of the Food Safety TB; and Policy commenced which took Attracting companies such as the place in 2014; pharmaceutical industry and Dispensing of ARVs in 564, out of condom manufacturers into the 565 health facilities (clinics and country. These are very resource health posts). TB treatment success intensive industries, whose rate of 86 percent against the WHO establishments are also determined target of 85 percent; by the market and Botswana being a Access to ART was more than 95 small population is disadvantaged percent of those who are eligible to in this area. receive treatment; Undertook the Mid-Term Review of 9.20 However, despite the achievements the National Strategic Framework outlined in the preceding paragraphs, the (NSF) II for HIV/AIDS in 2014; country experienced some challenges in the Enactment of Drugs and Medicines area of maternal mortality, as indicated in Act (2014); Figure 9.4. In addition, the annual maternal Development and implementation mortality rates consistently exceeded of the National Quality Health targets during NDP 10, which is a major Standards for hospitals, clinics, concern for the Government of Botswana. Environmental Health, Emergency

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Figure 9.4: Maternal Mortality Rate Trends 200 180 160 140 120 100 80 60 40 20 0 2009 2010 2011 2012 2013 2014 2015

Target Annual MMR

Source: Botswana Health Survey, Statistics Botswana

CHALLENGES EXPERIENCED the overlapping eligibility criteria DURING NDP 10 used to determine access to basic services by those residing in remote 9.21 Despite the achievements recorded areas; during NDP 10 under the Social Upliftment Poor monitoring and evaluation of thematic area, there were some challenges, programmes and projects as indicated below. compromised the effectiveness of policies and interventions; Challenges in the Social Development Lack of national mainstreaming Focal Area strategy for cross cutting and 9.22 The main challenges that were emerging issues; encountered in the implementation of NDP Insufficient specialists or 10 under social development are as follows: psychologists and appropriate Dependence on support facilities to conduct assessments; programmes; although appreciable Social ills amongst the youth; strides have been made to uplift the Lack of early detection and wellbeing of citizens, increasing intervention for learners with dependence on support programmes special needs; has been observed, and the current High unemployment rate among the relief programmes tend to compete youth; and with those that have an Feminisation of poverty and empowerment component; economic marginalisation of Poor harmonisation of social women, particularly female-headed development policies and households. programmes. There were various policies and programmes that were aimed at enhancing the welfare of citizens, which were not adequately coordinated and harmonised. This resulted in multiple dipping, due to 184

Challenges in the Health Focal Area contracts for outsourced services was 9.23 Despite the achievements realised difficult and hence required a tight contract over the years, the following issues management system to be put in put in continued to be major challenges in the place. This will be given high priority health sector: during NDP 11. Such strategies will include Mismatch between expenditure on conducting readiness assessment and health care and health outcomes; strengthening contract management. Rise in the burden of chronic non- communicable diseases such as; 9.25 The other lesson learnt is that there cancer, cardiovascular diseases, is a need to strengthen case management of chronic respiratory diseases, patients’ referrals, both internally and diabetes and their associated externally, in order to realise cost lifestyle risk factors; effectiveness. Continuous burden of communicable diseases like 9.26 Another lesson is the need to scale HIV/AIDS, TB, diarrhoeal diseases, provision of integrated services (HIV, TB, acute respiratory infections and Reproductive Maternal New- born and malaria; Child Health (RMNCH)/Sexual Increasing health security threats Reproductive Health (SRH)/NCDs) to such as Ebola, Zika virus, and minimise the barrier to access Avian flu; comprehensive services, patient monitoring Lack of public ownership on taking and follow up. Lastly, it is acknowledged health as their responsibility; that improved health information High levels of Gender-Based management systems will improve data Violence, particularly, on women, quality, flow and utilisation. which limits their capacity for self- development and HIV prevention; STRATEGIES FOR NDP 11 Shortage of skilled manpower in 9.27 Building on the achievements and some disciplines; drawing upon the above challenges, the Inadequate access to health services NDP 11 Strategies outlined below are by special groups such as people aimed at improving on the outcomes of with disabilities, youth and the social development in the medium term. aged; Transport shortages (ambulances Social Development Strategies and other vehicles for outreach 9.28 In order to address the challenges services); experienced during NDP 10, as well as Inadequate maintenance of health lessons learnt, a number of strategies will facilities; be employed during NDP 11, some of Congested health facilities which are outlined below. particularly at referral levels; Limited palliative care services in Implementation of the Rural Development Policy the communities; and 9.29 The implementation of this policy Inadequate access to medical since 1973 has been a major tool in the fight rehabilitation health services by against the scourge of poverty in the people with disability. country. Because the strategies for rural development remain relevant as we move 9.24 One of the major lessons learnt from into NDP 11 and beyond, it is important that the implementation of programmes under the policy continues to be responsive and this thematic area was that management of aligned to the new Government priorities.

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In this regard, some of the key elements of Development and Support of Small the policy that will be pursued during Business NDP11 are stated below: 9.30 Government will continue to Accelerate implementation of the support development of the informal sector Revised National Policy for Rural and SMMEs as well as the business sector Development as well as ensuring the in general, which will increase income policy is in harmony with and earning opportunities. In addition, complements sectoral relevant policies; transformative citizen economic Align and accelerate the Rural empowerment programmes will be Development Strategy with enhanced to grow household and business Government priorities of citizen sector incomes. economic empowerment, job creation, addressing income inequality and Provision of social safety nets poverty; 9.31 Social safety nets will be continued, Diversification of rural economies to primarily, to address the needs of the most create sustainable jobs and reduce rural- vulnerable members of society. However, urban migration; emphasis will be placed on coordination, Decentralisation to support effective harmonisation, monitoring and evaluation, and responsive service delivery; which will, inter alia, ensure better alignment of the various interventions and Continued engagement and mobilisation of rural communities to avoid multiple dipping. enhance their participation in the Eradication of absolute poverty development process as well as aligning projects and programmes to the felt 9.32 Government will continue to needs of the people; promote policies, and where necessary, develop new policies to stimulate citizen Mutually beneficial and strengthened participation in socio-economic activities, market linkages between rural areas and aimed at eliminating poverty in all its towns/cities; forms. During NDP 11, social protection Identify and exploit comparative systems will be strengthened through advantages of respective regions to help enhancement of policies and strategies guide investment decisions and catalyse aimed at cushioning vulnerable and rural enterprise development; disadvantaged groups. Strengthen extension services to effectively support service deliver; Implementation of inclusive education Accelerate coordination across sectors policy and stakeholders to ensure harmonious 9.33 More emphasis during NDP 11 will delivery of services in the rural areas; be on inclusiveness of the education system Help build resilient rural communities by employing strategies that are aimed at to mitigate droughts, illiteracy, improving delivery of education and ignorance, malnutrition, disease, etc.; training for special needs groups. These Develop long term drought mitigation will include access to education and strategies and contingency plans; and training, starting from early childhood Continue to strengthen institutions and learning to tertiary education. structures for rural development to keep pace with new demands and challenges Development of vocational and life skills of the rural population. 9.34 The vocational training will be elevated to a level where it can cater for industry relevant skills and effectively prepare the youth for employment 186 opportunities. In recognition of the encouraging research in this area. In inadequacy of the current system of addition, priority will be given to striking a vocational training, measures will be put in balance between health service provision place to improve skills development and and community empowerment efforts vocational training for youth. Retooling during NDP 11. In view of challenges programmes will also be introduced for related to both communicable and non- adults. communicable diseases, a paradigm shift in the country’s health care approach from Promotion of access to basic services curative to preventative will be adopted. 9.35 To promote access to basic services More emphasis will be on preventative by citizens, Government will put in place health care services, and this will be policies and procedures that support the achieved by implementing, among others, provision of basic services such as water, the following: shelter, sanitation and health. These will Strengthening collaborative include laws that govern and encourage partnerships and addressing social investment in the provision of adequate, determinants of health in all sectors affordable and quality services. through an engagement of civil society organisations and non-state actors in Harmonisation of social protection health sector response; programmes Addressing key drivers of the HIV 9.36 Government will embark on a epidemic such as Gender Based policy and programmes harmonisation Violence, substance abuse and other exercise that will involve reviewing of social ills; existing eligibility criteria. A single social Revitalising the primary health care register will be developed to consolidate all approach including decentralisation and social protection interventions and to enhancing structures at district level on streamline eligibility criteria, amongst primary health, strengthening others. A comprehensive monitoring and integration and coordination of evaluation system will also be developed to services; guide future programme development and Promotion of healthy life style to impact. increase public ownership and responsibility on health issues and Health Strategies reducing morbidity and mortality from 9.37 There will be a four pronged preventable diseases; strategic approach to health service delivery Adequate provision of nutrition and during the NDP 11 period. The key ensuring food security; components of this approach will be: Promotion of good sanitation and use of strengthening prevention interventions; potable water; and improvement of access to quality health Promotion of gender and age sensitive care services for all; strengthening health care services. rehabilitation services; and sustainable health and health care services for all. In Improvement of access to quality health order to facilitate and sustain better health care services outcomes, the sector will embrace 9.39 Over the years, Botswana has innovative and transformative solutions. demonstrated high levels of effectiveness in the provision of social services as Strengthening of Prevention Interventions demonstrated by its marked performance in 9.38 Government will continue to invest the universal access to health services. As in efforts to promote healthy living by at the end of NDP 10, ninety-five percent of providing prevention infrastructure and 187 the total population lived within 15 promotion of preventative, curative, and kilometres radius to the nearest health rehabilitative care. Successful facility. However, there is a need to implementation of the EHSP, particularly, critically appraise the quality of health care for universal coverage will: improve services with a view to improving health access; reduce referrals and unnecessary outcomes during NDP 11. This will be done delays; enhance equity; and promote through provision of quality gender utilisation of health services by all. This sensitive health care services, strengthening will be achieved through: social infrastructure, and improving human Expanding and rehabilitating the current capital. In order to improve the quality of infrastructure to make them more health care, the following will be addressed: habitable through maintenance; health management systems; pre-hospital Expanding specialised services to the care including Emergency Medical districts, including implementation of Services(EMS); standardisation of medical specialist referral guidelines; equipment; strengthening of specialised Ensuring the availability of minimum services; quality assurance through medical equipment package at all levels accreditation of health facilities; of service delivery; implementation of health care standards; Improving outreach services; and promotion of good work ethics. Overhauling of supply chain management;

9.40 Additional measures will be Implementing quality improvement employed towards the prevention, frameworks and initiatives; treatment, rehabilitative and palliative care Enhancing integration of health services of those affected by non-communicable in priority areas, i.e., HIV, TB, sexual diseases. With the growing problem of reproductive health and rights, mental alcohol and substance abuse, especially by health, maternal and child health and the youth (both in and out of school), and rehabilitation; some sections of society, robust education Maximising efficiency gains in the and rehabilitation services will be health sector; implemented during NDP 11. Fully-fledged Strengthening the stewardship role of centres will be established to improve Government in the health system and access to quality rehabilitation services. effectively regulating both public and

private health providers; Sustainable health and health care Monitoring and evaluation of health services sector initiatives; 9.41 Sustainable health and healthcare is Strengthening of health promotion a function of numerous factors including: initiatives with a focus on gender disease burden; cost of care; access to sensitivity, age appropriateness and reliable information for decision making; socio-economic status; and effectiveness of available preventative Strengthening provision of youth strategies and indirect determinants of friendly services. health, a number of which are social and environmental; as well as various contributions from partners in healthcare Strengthening of rehabilitation services 9.43 Rehabilitation services are an service delivery. integral part of the primary health care

system. However, the services are currently 9.42 During NDP 11, The Essential provided in tertiary and district hospitals, Health Service Package (EHSP) will be and by a few partners with very limited reviewed and be made the cornerstone of services at community level. There is a health service provision through the 188 gross uneven distribution of these services engage the private sector in the provision of in the country. Therefore, a restructuring of housing, especially, for the needy. the rehabilitation services will be Moreover, to enhance the provision of undertaken during NDP 11 to improve housing, innovative methods of coordination and accessibility, as well as to construction will be adapted to the local strengthen community based rehabilitation environment to improve on housing services. delivery and to reduce costs.

PROGRAMME SUMMARIES FOR Water NDP 11 9.47 Efforts to explore ways of harnessing scarce water resources for 9.44 The execution of the NDP 11 domestic, industrial and agricultural use strategies outlined in the preceding section will be continued. Initiatives that will be will require resources. To this end, promoted include harvesting of rain water, Government will be undertaking a number construction of community dams, and of programmes under this thematic area drilling of boreholes especially, in remote during the NDP 11 period, as summarised areas. The reuse and recycling of waste below. Detailed projects to support these water will also be explored to augment programmes are contained in Volume II of available water supplies. this Plan document. Sanitation Social Protection Programmes 9.48 Government will continue to fund construction of landfills and waste disposal Access and provision of quality basic sites to promote use of alternative sewage services disposal technologies, where there is no 9.45 This programme aims at providing intergraded sewage network. communities with basic services such as education, health, shelter, water and Energy sanitation, and electricity for the wellbeing 9.49 Consented efforts will be made to of individuals. Access to these services develop cost effective sources of energy depends on sustained affordability by which are affordable and environmentally government and individuals. It is thus sustainable for social and economic imperative to explore the available natural development. Government will continue to and community resources to aid subsidise provision of electricity in low sustainability and affordability. Adequate income urban/semi urban and rural areas. resources will be directed to basic social services. Government will review policies Social security, insurance and welfare in place and procedures that support the 9.50 This programme focuses on social provision of these services. These will security (policies and laws e.g., Children’s include laws that govern and encourage Act; Deserted Children and Spouses Act; investment in the provision of adequate, Domestic Violence Act); social insurance affordable and quality services. (cash transfers e.g., disability cash transfer, destitution cash allowance); and social Housing welfare (provision of material benefits e.g., 9.46 The programmes to provide basic food and clothing). It also focuses on services through different housing schemes economic empowerment of individuals and such as SHHA, poverty alleviation scheme communities e.g., Ipelegeng, RADP and destitute housing for the low income projects, disability and women’s economic groups will be continued during NDP 11. empowerment programmes. To this end, Government will continue to 189

9.51 During NDP 11, an integrated at all times to maintain a healthy and monitoring and evaluation system, as well productive life to citizens. Strengthening as a single register will be developed to stakeholder collaboration for adequate ensure better alignment of the various nutrition and food safety provides the interventions to avoid among other foundation for optimal health throughout challenges, multiple dipping. This will life. Malnutrition contributes significantly include reviewing of existing eligibility to morbidity and mortality and is a cause criteria. There is a need to reduce and a result of poverty. dependence on support programmes by up- scaling the provision of life skills to 9.54 During NDP 11, food security and empower beneficiaries. A deliberate nutrition will be pursued through improving strategy for graduating people out of such access to agricultural productive resources dependence will need to be developed with such as land, finance, agriculture inputs, a view to making the schemes sustainable. infrastructure and information to citizens. The practice of cluster farming and agro Health Programmes ecological zones will be promoted and replicated across the wide spectrum of Essential Health Service Package farming. Conservation and nutrition 9.52 During NDP 11, The Essential sensitive agriculture will be explored Health Service Package (EHSP) will be further to address climate change and reviewed and be made the cornerstone of nutrition issues. health service provision through promotion, preventative, curative and Strengthening Health Promotion rehabilitative care. Successful Interventions implementation of the EHSP particularly, 9.55 During NDP 11 Primary Health for universal coverage will improve access, Care will be revitalised by shifting reduce referrals and unnecessary delays, emphasis from curative to preventive health enhance equity and promote utilisation of methods. As a result, there will be large health services. The health sector therefore scale implementation of preventive will, during the Plan period, develop and services. Consequently, behaviour change implement health quality standards across interventions, youth focused programmes, all levels of care and policies such as gender sensitive programmes, nutrition and emergency medical service policy, immunisation campaigns will receive more maternal health road map, rolling out of attention. These preventive interventions specialties’ programme (5 specialties; will be enhanced by mainstreaming health obstetrics and gynaecology, surgery, in all policies by tackling broader social and anaesthesia, paediatrics, medicine) to all environmental determinants of health. district hospitals. In addition, operational Community engagement and research will be strengthened through empowerment, as well as facilitation of capacity building and resource mobilisation participation across all sectors will be to facilitate implementation of the research strengthened to address health challenges. agenda. Concerted efforts will be made to facilitate collaboration and coordination of 9.56 A Health Promotion Foundation health and health related research to will be established with the primary aim of maximise benefits of research findings. funding health promotion initiatives. Accordingly, the following initiatives and Household Food Security and Nutrition programmes such as measles, Vitamin A, 9.53 The overarching goal of household Human Papilloma Virus (HPV), non- food security and nutrition is to ensure communicable diseases awareness (healthy access to sufficient, safe and nutritious food lifestyles), immunisations, and gender 190 based violence and alcohol and substance disease complications and improve health abuse campaigns will be prioritised during outcomes. The NCD training curriculum NDP 11. The Fund will also be used to put will be developed for capacity building and up infrastructure for physical activity in task shifting for generalist clinicians. In communities. addition, the monitoring and evaluation of NCDs will be strengthened to ensure 9.57 Policies and strategies such as: evidence based management of these School Health Policy; SRH/HIV Linkages; conditions. malaria elimination; early child development programme, eye health care National Response to HIV and AIDS strategy; and strengthening of port health 9.62 One of the achievements in the services will be implemented to attain the country’s response to the HIV and AIDS Sustainable Development Goals. New was in the area of PMTCT programme, policies will be developed to guide where Botswana recorded the very low rate neglected and other emerging issues such as of 3 percent, which is almost virtual healthy ageing. elimination during the Plan period. However, according to the Botswana AIDS 9.58 The re-establishment of Impact Survey (BAIS IV, 2013), there was community-based allied health workers a slight increase in the HIV prevalence from will be leveraged to intensify community 17.6 percent in 2008 to 18.5 percent in mobilisation and to support health 2013. The marginal increase is attributed to promotion interventions at community the impact of the success of the ARV level. Similarly, community structures will programme, where HIV positive people be harnessed to improve uptake of live much longer, while new infections community interventions. decrease. The BAIS IV estimated that prevalence rates are higher amongst 9.59 Government will strengthen health females at 19.2 percent than males at 14.1 surveillance systems and emergency percent. The survey also showed a decrease response preparedness for early detection in HIV incidence from 1.45 percent in 2008 and mitigation of global health threats (e.g. to 1.35 percent in 2013, translating to a Ebola, Zika, Yellow fever, food and water decline from 15 000 new infections to 10 borne diseases). 000 infections during the same period. Life expectancy has increased from 56 to 68 Prevention of Non-communicable years between 2001 and 2011. diseases 9.60 The national primary health care 9.63 As part of the continued fight against guidelines will be implemented as a vehicle HIV/AIDS the country has adopted the for integration of NCD services at primary Option B+ strategy where all HIV positive level. In addition, NCDs will require a women are enrolled on ARV for life. multi-sectoral approach to address cross Towards the end of NDP 10, the Government cutting issues and ensure collaborative also adopted a new strategy called Treat All, efforts. The Control of Smoking Act of where people testing HIV positive are put on 1992 will also be reviewed to align it to the Anti-Retroviral Therapy (ART) regardless of WHO Framework Convention on Tobacco level of the CD4 count. In addition, Control. Botswana adopted the 90:90:90 UNAIDS Strategy (2014), which aims at attaining 90 9.61 The primary prevention percent of people living with HIV knowing programmes, such as early detection of their HIV status, and 90 percent of those who cancers, hypertension and diabetes will be are HIV positive enrolled on ARV, and 90 emphasised to minimise the impact of 191 percent of those on ARVs being virally Strengthening Rehabilitation Services suppressed. 9.66 There was an uneven distribution of rehabilitation services in the country during 9.64 The focus during NDP 11 will be on NDP 10, with a notable increase in the prevention, with special focus on the youth, number of people with disabilities, which and women. The behavioural indicators are constitutes a public health concern. Re- not doing well, with a rise in number of structuring of the rehabilitation services sexually transmitted infections, increasing will therefore be a priority in NDP 11, with multiple concurrent partnerships, and a view to improving coordination and decrease in condom usage. The roll out of accessibility of the services. The key focus Option B+ will be intensified, and the areas include development of rehabilitation implementation of the Treat All strategy is policy and guidelines and strengthening of currently being implemented nationwide. community based rehabilitation The sector will continue to integrate HIV programmes. All these are necessary to services with others like TB and sexual guide implementation of rehabilitation reproductive health and to strengthen services such as those that are therapeutic, gender sensitive-response to HIV and psychosocial and prosthetic services. AIDS, with a focus on prevention for women and youth. As the programme Sustainable Health and Health Care matures, and as more healthy people are put Services on treatment, there is a likelihood of poor 9.67 Botswana has made great strides in adherence to treatment and emergence of improving many aspects of its health drug resistance, which could pose a system which, in turn, has placed the challenge. In this regard, Government will country at a level where the life expectancy be putting in place systems to proactively and other health outcomes have improved support adherence, and closely monitor over the past decade. Despite these emergence of drug resistance. A substantial gains, the country’s health combination of the strategies outlined system still continued to face challenges, above will put Botswana on the right path which included financial sustainability and to epidemiologic control of HIV by 2020, attainment of some of the health related and ending AIDS by 2030. MDGs. Increased demand for health services was also registered during NDP 10. Mental Health Building a sustainable health system is 9.65 During NDP 10, there was limited therefore necessary to attain universal emphasis on mental health. With the current health coverage to promote ‘people- rapid changes in lifestyles, there is a notable centred’ care, and ultimately, to improve increase in stressful life events coupled the country’s health and development with behavioural disorders all leading to outcomes. high consumption of alcohol and substance abuse and domestic violence. These are Universal coverage of essential Health significantly influencing the rise in mental services illnesses including suicide cases. This 9.68 The universal health coverage is a therefore calls for evaluation of the mental critical component of the Sustainable health programme and repealing of the Development Goals, which have been Mental Disorders Act of 1971 and adopted by the United Nations under the enactment of the Mental Health Act during health goal: “Ensure healthy lives and the NDP 11 period. promote wellbeing for all at all ages”. The goal of universal health coverage is to “Achieve universal health coverage, including financial risk protection, access 192 to quality essential health-care services, can support the Government to achieve and access to safe, effective, quality and sustainable health through provision of affordable essential medicines and support in terms of technical, service vaccines for all”. delivery and funding.

9.69 With the adoption of the revised 9.73 During NDP 11, partner National Health Policy of 2011, Botswana collaboration and coordination will be joined the movement across the globe for strengthened through Sector Wide universal health coverage, in which the Approaches (SWAPs). Specifically, Government committed itself to the Government will use existing structures attainment of universal coverage of a high such as Botswana Health Partners Forum quality package of essential health services. (BHPF) and High Level Consultative During NDP 11, Government will create Council (HLCC) to strengthen partner policies and programmes to facilitate access collaboration, coordination and health to all aspects of essential health services in sector dialogue. In addition, Government a cost effective and sustainable manner by will establish a National Health Council to all. facilitate the mainstreaming of cross cutting issues including gender, innovation, Health Financing population and health into all policies. The 9.70 In terms of health financing, need to strengthen bilateral and multi- Botswana had achieved the Abuja target of lateral engagements to foster partnership allocating 15 percent of total government will therefore be crucial going forward. budget to health by end of the Plan period. Seventy-five (75) percent of the total health Privatisation expenditure was funded by Government, 9.74 The Government of Botswana will while the remaining 25 percent came from accelerate the privatisation process during other sources over the same period. NDP 11 by continuing to outsource non- However, continued high expenditure on core services and promoting PPPs in health by the Government will be developing and operating health facilities. dependent on the future economic growth In this regard, Government will identify prospects. Declining donor funds, increased additional areas under the health sector for burden of diseases and other health outsourcing including cleaning services, challenges such as the need to attain maintenance of facilities, health care waste universal health coverage will continue to management and security services. increase pressure on public funds. CONCLUSION 9.71 During NDP 11, a sustainable health financing system will be created in 9.75 A review of achievements made order to achieve the principles of financial during NDP 10 attest to the fact that protection, high efficiency levels, equity existing social protection programmes were and quality as stipulated in the heath strengthened through enhancement of financing strategy. policies and strategies that were aimed at cushioning vulnerable and disadvantaged Strategic Partnerships groups of the society, restoring their 9.72 Over the past few years, Botswana dignity, and improving their quality of life. has been witnessing a decline in donor The review also reveals that various support, while at the same time the disease empowerment schemes were successfully burden has been increasing. This implemented, and this enhanced social underscores the need to have strategic wellbeing of the vulnerable and partners both local and international who disadvantaged groups. Furthermore, the 193 poor and vulnerable groups continued to be programmes; and increased dependence on supported with cash, food and material social protection programmes. Other transfers to empower them to manage risk challenges encountered included; and vulnerabilities. Major strides were also inadequate access to health facilities by made towards the achievement of health people living with disabilities and youth, related Millennium Development Goals increasing burden of communicable and and Vision 2016 during NDP 10. non-communicable diseases, gender based Significant progress was reflected by, inter violence, and declining donor support. alia, sharp declines in infant mortality rates, under five mortality rates, and a decline in 9.77 To address the identified cases of malaria and tuberculosis. Progress challenges, a number of strategies will be was also made in the fight against implemented during NDP 11. Such HIV/AIDS, although the prevalence and strategies include: improvement of the infection rates are still high, particularly efficiency and effectiveness of the social among women, when compared to other protection programmes; better targeting of comparator countries. beneficiaries of social welfare programmes; improvement of coordination mechanisms 9.76 Despite progress made in the social of programmes; strengthening of and health sector, a number of challenges rehabilitation programmes and services; were encountered during the NDP 10 and enhancing access to quality health care implementation period. These included: services by all. The involvement of other weak coordination of social development players in the delivery of social and health policies and programmes; ineffective programmes, as well as strengthening monitoring and evaluation systems; double monitoring and evaluation, will be integral or multiple dipping by beneficiaries of part of the strategies planned for various social welfare programmes; lack of implementation in NDP 11. impact assessment of all social

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CHAPTER 10

MONITORING AND EVALUATION

INTRODUCTION this, the Chapter provides a holistic M&E 10.1 With the country’s development framework and processes that are required to model expected to now focus on export and efficiently and effectively guide private sector-led growth during NDP 11, a implementation of policies, programmes and National Monitoring and Evaluation System projects. Furthermore, the Chapter identifies (NMES) is required. The System will assist in the capacities required to support the assessing progress made towards achieving achievement and measurement of the development goals such as; economic programmes and projects implementation diversification, employment creation, results during NDP 11. It also provides the eradication of abject poverty, and reducing Performance Framework that will guide the income inequality. Achieving these goals will collection, analysis and reporting of data and be consistent with the aspirations of Vision information needed to assess progress towards 2036 as well as realising the national priorities the realisation of impact. as articulated in this Plan document.

10.2 Efforts were made during NDP 10 to REVIEW OF M&E DURING NDP 10 move beyond the traditional Monitoring and Evaluation (M&E), where the focus was more 10.4 An Integrated Results Based on outputs towards a more results-oriented Management (IRBM) was introduced in approach of implemented policies, Botswana’s planning process during the programmes and projects. NMES however, preparation of NDP 10 to ensure that goes beyond the comprehensive M&E system planning, financing, implementing, and include: a policy framework and review monitoring and evaluation of the NDPs are guidelines; capacity building; harmonization results/impact oriented. Using the IRBM of policies and strategies; and information approach, the NDP 10 focused on the dissemination. During NDP 10, limited following: progress was made in developing such an Goal-orientation: setting clear goals and integrated and results based M&E system. results provides opportunities for change, and opportunities to assess whether change 10.3 This Chapter therefore sets out to has occurred; advance the integrated M&E agenda for NDP Causality (or “results chain”): various 11. The overall objective of this NMES is to inputs and activities leading logically to deliver the NDP 11 policies, programmes and outputs, outcomes, and impact; and projects more effectively through a more Continuous improvement: periodically evidence-based and results oriented public measuring results provides the basis for sector. The NMES is therefore intended to adjustment (tactical and strategic shift) to enhance public sector efficiency, keep programmes on track and maximize effectiveness, transparency and their outcomes. accountability, and strengthen development results that can be felt by citizens. To achieve

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10.5 Guided by experience from other experiencing significant revenue shortfalls. countries, the IRBM approach emphasised the This resulted in a more constrained fiscal need for country level results management to space for NDP 10 implementation, be anchored on strategic planning and necessitating external borrowing and a effective budgeting that reinforce the drawdown on reserves. In the event, many execution of agreed plans. Secondly, it NDP 10 programmes were under funded, and emphasised sector/programme level approach also experienced delays in implementation. that focuses on shifting from input/output This situation drew the attention of policy management to managing for development makers away from the systematic collection results. Thirdly, there was emphasis on the of information on programme and project need for a change of culture at the implementation and results, towards organisational level, especially in the nature addressing funding emergencies. of thinking, acting and managing within the public organisations about what needs to be 10.8 As the financial and economic crisis done to improve the outcome and impact began to abate, and revenues began to recover results. slowly, there was a realisation that institutionalising M&E across Government 10.6 At the same time, it was realised that required addressing important institutional there was need to monitor and evaluate not constraints, which included the following: only projects and programmes, but also the The absence of a governance framework to contribution of higher level strategies and support a clear understanding of how goals. A special effort was made in NDP 10 outcomes will be realised, quantified and to create a hierarchy of goals, cascading down accounted for (attribution, accountabilities from the high level goals of the Vision, and responsibilities, leadership, as well as through the NDP, to sector and ministry incentives); levels. To achieve this, Thematic Working Weak stakeholder involvement leading to Groups (TWGs) were established, with Lead sub-optimal dialogue among the Ministries under the guidance of the National development partners; Strategy Office (NSO) and the Ministry of Lack of capacity within the institutions Finance and Economic Development (MFED) responsible for monitoring, evaluation and to ensure well-coordinated inter-ministerial reporting; partnerships and involvement of non-state Difficulties in the development of a actors in harmonizing and promoting sectoral performance framework and theory of cooperation in planning, budgeting, change, with weak links between the lower implementation, monitoring, evaluation and level ones with the higher level Key reporting. The TWGs identified national goals Performance Indicators (KPIs), and data in key results areas and associated weaknesses; performance indicators. Moving from ministry to sector monitoring and reporting; and greater coordination to 10.7 The TWGs structure proved to be a avoid duplication and fragmentation; useful mechanism for bringing all the The fact that reporting is Government development partners together to discuss and focused with little input by the private consolidate contributions to the NDP 10 sector and civil society. process. However, before preparation of NDP 10 could be completed, the global financial and economic ensued, resulting in the country 196

10.9 In recognition of this deficiencies, a Achievements in establishing the NMES decision was taken to merge the Government during NDP 10 Implementation Coordination Office (GICO) with the National Strategy Office (NSO) in 10.13 Among the key milestones achieved 2010, thus expanding the mandate of the latter under the NDP 10 plan period included: to include strategic planning and implementation and monitoring of policies, implementing the M&E across Government. programmes, and projects; and initiating the Consequently, NSO developed a robust and development of the National Monitoring and inclusive M&E strategy. The first step was Evaluation System (NMES), which is still on- instituting regular ministerial performance going. Key performance monitoring reviews. instruments were also developed, these included, but not limited to, the new 10.10 Ministries now report regularly to the Ministerial Performance Reviews (MPRs), Office of the President through three monthly His Excellency the President’s quarterly and six monthly reports coordinated by the briefs, service delivery progress reporting, as NSO on performance of their core mandates well as responding to heightened demand for and other high priority programs and projects. performance and results in Government However, experience shows that service delivery by the private sector and the implementation of government programmes general public. In addition, periodic survey and projects continues to be problematic, with reports on social, economic and demographic projects experiencing cost overruns, delayed outcomes prepared by Statistics Botswana completion and being of poor quality. provided a wealth of information from which performance analysis could be done. Another 10.11 In 2014, Government re-established achievement was the transformation of the GICO as a separate entity within the Office of Central Statistics Office into an autonomous the President, with a mandate of coordinating body called Statistics Botswana. There was implementation of projects across also improved private sector participation in Government Ministries/Departments and Government activities as evidenced by ensuring efficient service delivery. This was structures such as High Level Consultative to enable NSO to focus on strategic planning Council. and management, including M&E. Challenges during NDP 10 10.12 In this regard, the NSO is leading the 10.14 Despite the above achievements, a establishment and implementation of the number of challenges were encountered. Government-wide performance M&E system. These included the following: Among its achievements in this area are the While NDP 10’s Macro Development coordination of different diagnostics, Results Framework sets out the country’s frameworks, and the development of a policy. strategic goals, the focus was on the set of The latter led to the design of the NDP 11 high-level indicators, but lacked sufficient performance framework, including M&E guidance for systematic measurement of tools and related capacity-strengthening and the expected results at the operational change management across Government. This level; was done in close collaboration with other The NDP 10 performance framework stakeholders. included high level targets and indicators, without any corresponding M&E policy, or

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any institutional architecture to guide the accountability in additional to weak process; internal accountability mechanisms. The regular Ministerial Performance Reviews focused primarily on internal Lessons Learnt during NDP 10 controls and less on achieving NDP 10 10.15 The following are some of the key performance targets; lessons learnt during NDP 10: The Mid-Term Review of NDP 10 confirmed that, there were data gaps for Comprehensive M&E Policy many indicators, which affected the quality Framework. The implementation of and relevance of performance information monitoring and evaluation requires a and progress towards meeting the results of formal M&E policy framework and the NDP goals; strategy, clear roles and responsibilities, The monitoring mechanisms needed to be tools and processes for M&E, which could further reviewed and expanded to ensure not be established in NDP 10. their effectiveness in tracking change under the NDP 10 performance Performance M&E’s contribution framework, and the strengthening of towards evidence-based management and results chain from inputs to outputs, and strengthening public sector efficiency, that there is a greater focus on outcomes effectiveness and accountability was and impact; weak. It was also not integrated with The evaluation function is still nascent. planning; budgeting; and public service The culture of evaluation, accountability management. M&E should guide policy and of evidence-based management is still making, design and implementation of to be established. This requires the design policies, programmes and projects, with of a menu of evaluations, guidelines and linkages to planning, budgeting and public capacity in conducting evaluations and service management. using their results to improve performance; While some Ministries have developed Comprehensive data availability and performance information systems, the use quality. Data management remained a of M&E findings remained uneven; challenge during NDP 10. Implementation The integration of M&E into the broader of M&E was not supported by statistical public sector management practices and systems, which would have generated the linkages with planning, budgeting and comprehensive, relevant and timely data. public service management remains a In particular, adequate baseline and challenge; though this is critical to the survey data to support performance targets sustainability of the NMES; are crucial components for effective While some efforts were made to make assessment of policy, programme and both human resources management and project results. It is therefore necessary to annual budgeting more performance improve on the quality of data collection, oriented, an integrated system of results- management, use, and dissemination at all based management has yet to emerge; and levels. Dissemination of results information and citizen feedback on public service delivery Performance Framework to monitor and remained limited, weakening external evaluate NDP implementation. The absence of a clear performance framework, the platform for 198

implementation of the Plan, resulted in well as sector goals to ensure greater limited effectiveness of the M&E system, coordination between Ministries. as whole. The results frameworks outlined in NDP 10’s thematic areas and ministry Institutional architecture of the M&E chapters varied in quality. There is system: The absence of a clear M&E therefore need for integration of sector institutional architecture during NDP 10 and institutional performance hampered reform efforts. It will be critical frameworks, which would outline the to have defined and clear roles as well as appropriate goals, specific indicators and collaboration between the NSO, GICO targets at all levels of reporting. The and MFED during NDP 11 in providing integrated performance framework will be leadership, coordination, and technical the basis for entity strategic plans, budget expertise to mainstream M&E across formulation and development of Government and beyond. Ministries, Departments and Agencies (MDA) Management Information The role of non-state actors. Involvement Systems. of stakeholders outside government in M&E was limited during NDP 10. In M&E capacity strengthening and change order to enhance the sustainability of the management towards performance M&E system, and to build greater M&E. Issues of capacity and change demand, further institutionalisation of the management were not substantially system is needed in Government and addressed during the NDP 10. In order to beyond. Stakeholders such as; private ensure the performance of the M&E sector, civil society, academia, and media system, greater capacity strengthening and are vital in providing external feedback. change management for M&E need to be prioritised going forward. Electronic tools for M&E data. The use of electronic tools to serve the public Moving from compliance to a focus on during the previous plan was hampered performance. The focus of M&E so far by various challenges. To facilitate the has been mostly reporting on inputs and use of M&E information, there is a need outputs, rather than using the information to develop electronic dashboards and a to enhance performance. There is need for greater integration of the electronic M&E change management and design of information into other e-Government incentives framework, which will enhance tools. In the short-term, it is necessary to demand for use of M&E tools. use simple tools complemented by more Focus on government outcomes and sophisticated tools as the performance impact. Due to lack of a formal M&E system matures. performance framework during NDP 10, there has been too much focus on inputs Gradual extension of the system over and outputs at each Ministry, and to lesser time. Government has been allocating a extent, on Government –wide large part of the budget to State Owned achievement on outcomes and impact. Enterprises (SOEs), some of which are Therefore, a performance framework is underperforming, hence the need to needed to assist focusing Government on include state-owned enterprises in the achievement of its country-wide goals as M&E system. Over time, there is need to further expand the M&E system and align 199

its functions and the public investment investment management. This function will management, and ex-ante and ex-post be integrated into the policy, planning and appraisals. budgetary reforms. A National Evaluation Strategy will be developed by NSO, as an MONITORING AND EVALUATION integral part of NMES, and will provide STRATEGIES DURING NDP 11 guidance to implementing entities. Furthermore, NSO will prepare a National 10.16 This section outlines the key elements Evaluation Plan each year, specifying the of the Monitoring and Evaluation priority policy, programme and project arrangements and system that will be pursued evaluations that are to be carried out. during NDP 11 implementation. They will be Implementation will be overseen by an Inter- further elaborated in the forthcoming M&E Agency Evaluation Committee. The MFED Policy Framework and a complementary will conduct a medium review of NDP 11, National M&E System Guidelines document working the NSO, with the latter focusing its produced by the National Strategy Office. input on the evaluation of NDP 11 in line with the M&E Framework. In the second half of M&E Policy Framework the NDP 11 implementation period, the NSO 10.17 During NDP 11, M&E will be guided will provide the final evaluation of NDP 11, by an M&E Policy Framework which will be and any other reports relevant to stakeholders based on defined principles. These principles for input and guidance in the preparation for include; comprehensiveness, demand-driven the next Plan - NDP 12. approach, performance focus, strategic incrementalism, simplicity, user-friendliness, M&E Tools credibility, and accountability. These 10.20 Under the M&E Framework, selected principles will be the backbone of the system, outputs will be produced to help track and and will guide the prioritised policy-direction, strengthen Government performance. tools, and actions going forward. Policymakers will also use these outputs as the source for extracting the necessary M&E Monitoring information. Relevant stakeholders will 10.18 Regular monitoring will be a core develop these products according to element of NDP 11 implementation at all standards, guidelines and templates set out by levels of Government, e.g., from policy NSO with the inputs of other stakeholders. through programme and project level. Monitoring will be undertaken routinely to National Performance M&E Framework ensure that implementation progress is on 10.21 M&E will be applied at all levels of track, and that corrective action is taken when public sector interventions: policy, progress is below expectations. Monitoring programme and project levels. Policy making will help implementing agencies to realise and implementation require alignment across NDP 11 and sector goals more effectively and different levels of public sector interventions. efficiently through continuous focus on The performance framework focuses on delivering NDP 11 goals and results. measurement of results at the national aggregate (macro) and sectoral (micro) levels Evaluations as per the M&E Policy Framework. These 10.19 Evaluations will be made a regular will include indicators for the NDP 11 goals, feature of policy, programme and project objectives, key result areas, sector level design and implementation as well as public outcomes and outputs. The Framework, 200

namely the, “National Development Plan sequenced manner. Training will be aimed at (NDP) 11 Performance Framework – 2017- building a critical mass of civil servants who 2023”, will be published separately by the are able to undertake M&E for both ongoing National Strategy Office, and will be used to service delivery programmes and individual measure and assess progress during projects that are part of the Public Investment implementation of this Plan. Management (PIM).

Linkages with Planning, Budgeting, 10.25 M&E specialized expertise will be Personnel Management and Public created and incorporated into Ministerial Investment Management Planning and M&E structures, and the staff 10.22 Monitoring and evaluation will be will be trained on a continuous basis. taken as part of a virtuous cycle of Implementing agencies will be expected to policymaking. The cycle contains five stages allocate more funds to M&E units to enable of: planning, budgeting, implementation, them to deploy adequate human and financial monitoring and evaluation. The effectiveness resources to facilitate the M&E function in of monitoring and evaluation depends on solid their respective institutions. There will also be planning, budgeting and implementation. a need to strengthen human resource management functions, including effective Capacity Strengthening job descriptions for staff directly assigned 10.23 The monitoring and reporting of M&E work. Performance information results will take place at ministerial level, generated by the NMES will also feed into while setting of standards, coordination of Government wide human resources measuring and reporting of results will be management, through more results-oriented done by NSO in collaboration with GICO and departmental and unit work plans, which can MFED. It is critical therefore that NDP be cascaded down to individual staff programmes and projects designed by assessments and career management. Over Ministries must be in consonance with the time, a gradual alignment between individual requirements of the Performance Indicator policy, programme and project through the Matrix institutional architecture. The human use of M&E will need to take place to ensure resources and capacity strengthening strategy alignment with national priorities. will ensure capacity building on the different M&E skills, as indicated in the strategy, and Data Development Strategy also ensure a clear career path in this area. The 10.26 For each NDP 11 performance implementing entities are expected to allocate area/indicator, there will be a need to identify adequate human and financial resources to appropriate measurement strategies that are facilitate monitoring and evaluation at the critical to the success of ongoing performance institutional level. monitoring within each Ministry/sector. Whereas indicators with existing data 10.24 During the NDP 11, M&E capacity collection system are preferred, any data gaps will be strengthened for all key stakeholders and system deficiencies will require the through a combination of formal training formulation of data development strategies courses and informal capacity-strengthening (nationally, sectorally and sub-nationally) and initiatives including on the job training. The investment in data collection. Statistics human resource strategy and capacity Botswana is critical to this analysis and strengthening strategies proposed under the development process. NMES project will be implemented in a 201

Change Management Strategy project performance while the DPSM will 10.27 Managing change needs to be done in monitor performance of the public service; such a way that it effectively introduces the and together with NSO and GICO also M&E framework and optimise progress monitor capacity building initiatives across towards agreed reform objectives. Most Government on Performance Monitoring and importantly, as the M&E framework is only Evaluation. Other key role players will be one element of the broader performance Statistics Botswana on Data Management and agenda, requiring effective integration with Ministry of Local Government and Rural other systems, such as planning, budgeting, Development on local Government level and public investment management. This performance. requires a change in the performance culture. This would entail working towards the 10.29 The key players however in development and institutionalisation of a delivering on the measurement, monitoring performance culture, in which the demand for and reporting on the performance of M&E tools is high. The M&E performance Government policies, programmes and information emerging from the use of these projects are clearly the individual ministries. tools is seen as a valuable input for policy These will feed the different sector strategies decision-making and for transparency and and national development goals. Eventually, accountability both within and outside these will inform the high level national Government. Generally, change management priorities or Vision goals. strategy is a threefold structure composed of: (i) stakeholders’ engagement, (ii) risk 10.30 For M&E to be sustainable, there is management; and (iii) communication. These need for ‘drivers’ of the system. For this to three complementary strategic areas forms a happen, clarity is required around the various solid basis for an enabling environment for uses and users of M&E information, including change towards a performance culture in articulation and agreement on the roles and Botswana. responsibilities of these various users. M&E revolves around a desire to develop and put in Institutional arrangements for M&E place a results-based management system that 10.28 There are many key players provides the necessary results-based participating in the development, performance information. To be successful, implementation and ongoing operation of an there is need for some element of oversight to M&E system to ensure that it is effective and ensure that performance information is not sustainable. NSO will provide leadership in only generated, but that it actually gets used in monitoring and evaluation of implementation Government deliberations and decision- of medium-tem and long-term National making. Development Goals and will be responsible for coordination of all other institutions and M&E processes, including setting of M&E Reporting requirements standards. MFED will monitor the performance of the budget in line with the Calendar of Performance Reporting NDP goals and ensure accountability for 10.31 Timelines for all the various disbursed resources against performance performance reporting processes, including targets. GICO will undertake performance public dissemination and briefings to the monitoring of projects and produce annual National Assembly, will be laid down and a and semi-annual reports to Government on calendar of performance reporting that will be 202

drawn-up and overseen by NSO. M&E sector and/or NSO and carried out by external information will be reported as outlined service providers, such as private sector, below: academia and/or civil society. Evaluation reports will be critical in ensuring that Bi-Annual and Quarterly Performance evaluation conclusions and recommendations Reports are used to design and implement the 10.32 These performance reports are a brief respective performance improvement plans summary of progress in achieving the agreed and to ensure that their findings are actually indicators and targets of policies, programmes used for policy design and implementation. and projects. They will focus mainly on the To achieve this, NSO will not only play an flow of funds (actual against planned), key important role in ensuring a credible process, sectoral deliverables, and selected lower level but also ensure that findings are outcomes that can be reported quarterly. The communicated in a manner that facilitates reports will not focus on activities at sectoral learning from experience. level. The Ministerial Planning Units will produce the reports for their respective Internal use of NDP 11 progress reports Ministries. Hence, these reports will be used 10.35 To ensure that the produced progress as ministerial mechanisms for learning and reports supports the improvement of service continuous improvement in the respective delivery to citizens, it is important to use them sectors. The reports will be submitted to NSO to inform policy-making, programme and GICO for quality assurance, coordination, planning, and project implementation. The dissemination, and further use to help achieve findings of the Annual Progress report on the national goals. These performance reports implementation of the NDP 11 will therefore will be the main information source for policy be used both for performance improvement and programme level reports. purposes across all sectors of the economy and also to inform annual budgeting process. Annual Performance Reports NSO in collaboration with MFED, and GICO 10.33 Annual performance reports are will lead this process working with line summary assessments of Government ministries. performance done each year to reflect the extent of achievement of national Results Reports Dissemination development goals. Beyond summarising 10.36 Transparency and accountability are quarterly reports, they also address additional key principles to effectively achieve the NDP strategic issues. These reports will be 11 development goals through efficient prepared by the Ministerial Planning Units service delivery to citizens. Timely and wide and consolidated by NSO into an Annual dissemination of NDP 11 summary and Report on the implementation of the NDP 11, regular progress to citizens is therefore a and they will be used to inform the annual central principle of the NMES. This will State of the Nation Address by His Excellency enable key stakeholders to continuous the President. monitor progress in service delivery at both national and district level. Sectoral and Evaluation Reports overarching performance progress reports 10.34 Evaluation reports are summaries of a will therefore be disseminated in both hard respective evaluation. On the basis of the and electronic copies by line ministries and evaluation plan, each year specific NSO. evaluations will be designed by the respective 203

Citizen engagement CONCLUSION 10.37 To assess progress made towards NDP 11 goals, regular citizen engagement will be a 10.39 Despite the challenges faced in critical part of the M&E arrangement for NDP institutionalising the M&E system during 11. This will mainly include regular progress NDP 10, Government remains committed to review meetings with NGOs and citizens at the adoption of an Integrated Results Based both national and district level. GICO, Management in the country’s planning together with NSO and line ministries will process. Hence, this chapter outlines the lead this process. During this process, sectoral process through which the M&E will be implementation progress reports will be implemented during NDP 11 in terms of presented and discussed with citizens giving development of the relevant framework, them the opportunity to provide feedback to establishment of relevant structures, as well as programme and project implementers and assignment of roles and responsibilities decision-making. among the key actors. The implementation of the M&E, as an integral part of the NDP 11, Implementation arrangements and funding is expected to empower the relevant requirements. stakeholders to be able to execute the Plan 10.38 To ensure that the outlined M&E efficiently and effectively. Furthermore, the arrangements for the NDP 11 will be use of the Integrated Results Based implemented effectively, the M&E function Management in monitoring of the should be institutionalized, staffed, and implementation of NDP 11 is expected to resourced adequately across ministries and ensure transparency and accountability for other implementing agencies. A NMES results by various implementing agencies, and manual will be produced by NSO, in ultimately, by Government to the citizen of consultation with all key stakeholders, which this country. Eventually, a National will contain a more detailed description of the Monitoring and Evaluation System should requirements for the M&E arrangements assist the country to transit from the current under the NDP 11, including roles and development model to the one focusing on responsibilities, relevant tools, expected export and private sector-driven, which is progress reports, dissemination modalities, critical in addressing the development types of engagement with citizenry, and challenges of unemployment, poverty, and lastly, the implementation arrangements and income inequality. costing framework.

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Volume 2

Public Investment Programme

April 2017 – March 2023

Preface

The Public Investment Programme (PIP) forms Volume II of the eleventh National Development Plan (NDP11). It covers the investment projects and other development expenditures for Central Government, Local Authorities and State-Owned Entities that are ﬁnanced wholly or partially by the Government. The PIP aims to ensure that:

v Public sector investment is aligned to Vision 2036; v NDP 11 strategies are translated into programmes and projects; v Resources are channelled to priority areas; v The commitments and resources are spread over the Plan period consistent with available funding and capacities; and v Resources are used to obtain outputs and outcomes. Terminology

v Vision 2036: Refers to the National Vision. The PIP shows linkage to the Vision 2036 at the level of the Government Ministry, Department or Agency (MDA). It identifies: v Vision 2036 Goals. The PIP shows relevant goals that relate to function and activities of the MDA. v Vision 2036 Key Performance Indicators. Shows those performance indicators to which the activities of the MDA relate. v Cluster Projects: A detailed list of projects grouped together in a small pack viewed to achieve specific objectives. The PIP provides a detailed listing of projects planned for implementation during NDP11 and these grouped under Cluster Projects, where appropriate, reflect the main functions of the MDA. For MDAs with narrower mandates, projects are typically grouped into one or two clusters. v NDP 11 Framework: The PIP shows linkage at cluster project level to the higher level NDP 11 Key Result Areas, Goals and Key Performance Indicators. v NDP 11 Key Results Area: The strategic cross-cutting policy areas in NDP 11 in which positive results could be realised. v NDP 11 Goals: The specific goals to be achieved within the Key Results Area. v NDP 11 Key Performance Indicators: The indicators to be used in measuring progress towards achieving NDP goals.

Project Funding Status: Proposed funding allocations are broken down into four categories: v Committed Projects. Refers to projects for which funds have been approved by the Minister responsible for Finance. Such projects can be considered to be firm commitments of NDP resources through to project completion. v Programmed Investment. Refers to similar on-going initiative with annual investment requirement and implemented in different locations (e.g. investment in IT upgrading, a school classroom construction programme, consultancies, operational subsidies and social transfers). The level of activity and spending is subjected to annual review linked to the annual budget process. v Appraised Projects. Projects for which a positive feasibility study has been prepared and accepted by the MFEP. These projects are awaiting financing and the formal approval prior to inclusion in the budget. v In-Preparation Projects. The investment project has been identified and assessed as consistent with NDP priorities, but has yet to be prepared in detail and appraised. v o/w = of which (refers to the breakdown of allocations by funding source).

ii TABLE OF CONTENTS

SUMMARY OF NDP 11- PLANNED DEVELOPMENT EXPENDITURE BY MINISTRY/ DEPARTMENT...... 1 NATIONAL ASSEMBLY ...... 3 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY TRANSPARENCY AND ACCOUNTABILITY ...... 3 Modernisation of National Assembly Facilities and Services ...... 3 MINISTRY PRESIDENTIAL AFFAIRS, GOVERNANCE AND PUBLIC ADMINISTRATION ...4 THEMATIC AREAS: GOVERNANCE, SAFETY AND SECURITY, ECONOMY AND EMPLOYMENT; SOCIAL UPLIFTMENT TRANSPARENCY AND ACCOUNTABILITY ...... 4 MoPAGPA Consultancies ...... 4 TERRITORIAL INTEGRITY ...... 4 Strengthening of DIS Capabilities ...... 4 TRANSPARENCY AND ACCOUNTABILITY ...... 5 Strengthening DCEC Capabilities ...... 5 Strengthening of Ofﬁce of the Auditor General ...... 6 ICT DEVELOPMENT ...... 6 MoPAGPA Computerisation ...... 6 TRANSPARENCY AND ACCOUNTABILITY ...... 6 Improvements to Broadcasting Services ...... 6 SOCIAL PROTECTION ...... 7 MoPAGPA Infrastructure ...... 7 TRANSPARENCY AND ACCOUNTABILITY ...... 7 Botswana Public Service College ...... 7 SOCIAL PROTECTION ...... 7 Social Protection and Disaster Preparedness ...... 7 MINISTRY OF FINANCE AND ECONOMIC DEVELOPMENT ...... 8 THEMATIC AREA: ECONOMY AND EMPLOYMENT ICT DEVELOPMENT ...... 8 MFED Computerisation ...... 8 RESEARCH ...... 8 Statistical Surveys and Studies ...... 8 MFED Consultancies ...... 9 TRANSPARENCY AND ACCOUNTABILITY ...... 9 MFED Infrastructure ...... 9 MINISTRY OF NATIONALITY, IMMIGRATION AND GENDER AFFAIRS ...... 11 THEMATIC AREA: ECONOMY AND EMPLOYMENT; GOVERNANCE, SAFETY AND SECURITY ICT DEVELOPMENT ...... 11 MNIG Computerisation ...... 11 RESEARCH ...... 11 MNIG Consultancies ...... 11 MINISTRY OF AGRICULTURE DEVELOPMENT AND FOOD SECURITY ...... 12 THEMATIC AREAS: SOCIAL UPLIFTMENT; ECONOMY AND EMPLOYMENT; SUSTAINABLE ENVIRONMENT SOCIAL PROTECTION ...... 12 Agriculture Support Schemes ...... 12 Animal Diseases Emergency Control Programme ...... 12 INFRASTRUCTURE DEVELOPMENT ...... 12 iii Crop Production and Protection ...... 12 SOCIAL PROTECTION ...... 13 MoA Infrastructure ...... 13 RESEARCH ...... 14 Research Support Programme ...... 14 ICT DEVELOPMENT ...... 14 MoA Computerisation ...... 14 MINISTRY OF BASIC EDUCATION ...... 15 THEMATIC AREAS: ECONOMY AND EMPLOYMENT; SOCIAL UPLIFTMENT ICT DEVELOPMENT ...... 15 MoBE Computerisation ...... 15 INFRASTRUCTURE DEVELOPMENT ...... 15 Secondary Education ...... 15 SOCIAL PROTECTION ...... 16 Special Education ...... 16 RESEARCH ...... 16 MoBE Consultancies ...... 16 Botswana Examination Council (BEC) ...... 17 MINISTRY OF INVESTMENT, TRADE AND INDUSTRY ...... 18 THEMATIC AREA: ECONOMY AND EMPLOYMENT INFRASTRUCTURE DEVELOPMENT ...... 18 MITI Infrastructure Development ...... 18 ICT DEVELOPMENT ...... 18 MITI Computerisation ...... 18 TRANSPARENCY AND ACCOUNTABILITY ...... 18 Doing Business Reforms ...... 18 MINISTRY OF LOCAL GOVERNMENT AND RURAL DEVELOPMENT ...... 20 THEMATIC AREAS: SOCIAL UPLIFTMENT; SUSTAINABLE ENVIRONMENT; GORVENMENT SAFETY AND SECURITY SOCIAL PROTECTION ...... 20 Social Welfare Programmes ...... 20 INFRASTRUCTURE DEVELOPMENT ...... 21 Local Government Infrastructure Investment and Services ...... 21 SOCIAL PROTECTION ...... 21 Development of Primary Education Service ...... 21 RULE OF LAW ...... 22 Tribal Administration Infrastructure Development ...... 22 MINISTRY OF MINERAL RESOURCES, GREEN TECHNOLOGY AND ENERGY SECURITY ……….…...... 23 THEMATIC AREAS: ECONOMY AND EMPLOYMENT; SUSTAINABLE ENVIRONMENT INFRASTRUCTURE DEVELOPMENT ...... 23 Power Generation and Distribution ...... 23 Rural Village Electriﬁcation and Network Extension ...... 23 Botswana Power Corporation Support ...... 24 Coal Evacuation Rail Corridor ...... 24 SUSTAINABLE ENVIRONMENT ...... 24 Mineral Resources Exploration ...... 24 MINISTRY OF HEALTH AND WELLNESS ...... 25 THEMATIC AREAS: SOCIAL UPLIFTMENT, ECONOMIC AND EMPLOYMENT SOCIAL PROTECTION ...... 25 iv MoHW Consultancies ...... 25 Primary Health Care Services ...... 25 Hospital Services ...... 26 HIV/AIDS Programmes ...... 27 ICT DEVELOPMENT ...... 27 MoHW Computerisation……………………………………………………………………...... 27 SOCIAL PROTECTION ...... 28 MoHW Fleet Expansion ...... 28 Institute of Health Sciences ...... 28 ADMINISTRATION OF JUSTICE ...... 29 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY RULE OF LAW ...... 29 AOJ Infrastructure ...... 29 AOJ Computerisation ...... 30 ATTORNEY GENERAL’S CHAMBERS ...... 31 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY RULE OF LAW ...... 31 AGC Infrastructure ...... 31 Development of AGC Services ...... 31 MINISTRY OF INTERNATIONAL AFFAIRS AND COOPERATION ...... 32 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY TERRITORIAL INTEGRITY ...... 32 MIAC Infrastructure ...... 32 INDEPENDENT ELECTORAL COMMISSION ...... 33 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY TRANSPARENCY AND ACCOUNTABILITY ...... 33 Facilitation of Elections ...... 33 OFFICE OF THE OMBUDSMAN...... 34 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY TRANSPARENCY AND ACCOUNTABILITY ...... 34 Ombudsman Infrastructure ...... 34 MINISTRY OF LAND MANAGEMENT, WATER AND SANITATION SERVICES ...... 35 THEMATIC AREA: ECONOMY AND EMPLOYMENT INFRASTRUCTURE DEVELOPMENT ...... 35 Land Development ...... 35 MLWS Facilities ...... 35 Sustainable Land Management ...... 35 Water Supply Pipelines ...... 36 Water Supply and Sanitation Networks ...... 37 MINISTRY OF ENVIRONMENT, NATURAL RESOURCES, CONSERVATION AND TOURISM ...... 39 THEMATIC AREAS: SUSTAINABLE ENVIRONMENT; ECONOMY AND EMPLOYMENT SUSTAINABLE ENVIRONMENT ...... 39 Broadening the Tourism Base ...... 39 MENT Infrastructure ...... 40 ICT DEVELOPMENT ...... 40 MENT Computerisation...... 40 SUSTAINABLE ENVIRONMENT ...... 40 Wildlife Species Management ...... 40 Environmental Protection ...... 41 INDUSTRIAL COURT ...... 42 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY v RULE OF LAW ...... 42 IC Infrastructure ...... 42 MINISTRY OF YOUTH EMPOWERMENT, SPORT AND CULTURE DEVELOPMENT ...... 43 THEMATIC AREA: SOCIAL UPLIFTMENT SOCIAL PROTECTION ...... 43 Strengthening of MYSC Operations ...... 43 MYSC Infrastructure ...... 43 Development of Cultural Infrastructure and Programmes…………………………………...... 43 MINISTRY OF INFRASTRUCTURE AND HOUSING DEVELOPMENT ...... 44 THEMATIC AREAS: ECONOMY AND EMPLOYMENT; GORVENANCE, SAFETY AND SECURITY INFRASTRUCTURE DEVELOPMENT ...... 44 MIH Infrastructure and Maintenance ...... 44 SOCIAL PROTECTION ...... 44 Social and Affordable Housing ...... 44 MINISTRY OF TRANSPORT AND COMMUNICATIONS ...... 45 THEMATIC AREAS: ECONOMY AND EMPLOYMENT; GORVENANCE, SAFETY AND SECURITY ICT DEVELOPMENT ...... 45 Information and Communications Technology ...... 45 INFRASTRUCTURE DEVELOPMENT ...... 45 Roads Infrastructure ...... 45 Railways Infrastructure ...... 48 Civil Aviation Infrastructure ...... 48 MINISTRY OF DEFENCE, JUSTICE AND SECURITY ...... 50 THEMATIC AREA: GOVERNANCE, SAFETY AND SECURITY TERRITORIAL INTEGRITY ...... 50 MDJS Headquarters Services ...... 50 RULE OF LAW ...... 50 Strengthening of Botswana Police Services ...... 50 TRANSPARENCY AND ACCOUNTABILITY ...... 53 Strengthening of Prisons Services` ...... 53 TERRITORIAL INTEGRITY ...... 54 Strengthening of Botswana Defence Force Capabilities ...... 54 MINISTRY OF EMPLOYMENT, LABOUR PRODUCTIVITY AND SKILLS DEVELOPMENT .....55 THEMATIC AREA: ECONOMY AND EMPLOYMENT ICT DEVELOPMENT ...... 55 MELSD Computerisation ...... 55 INFRASTRUCTURE DEVELOPMENT ...... 55 Technical and Vocational Education ...... 55 MINISTRY OF TERTIARY EDUCATION, RESEARCH, SCIENCE AND TECHNOLOGY ...... 56 THEMATIC AREAS: ECONOMY AND EMPLOYMENT; SOCIAL UPLIFTMENT ICT DEVELOPMENT ...... 56 MOTE Computerisation ...... 56 RESEARCH ...... 56 Research and Development ...... 56 Detection and Disposal of Radioactive Materials ...... 57 INFRASTRUCTURE DEVELOPMENT ...... 57 MoTE Infrastructure and Maintenance ...... 57

ANNEXURE: A - C: PRIMARY SCHOOLS; TRIBAL ADMINISTRATION OFFICES AND CUSTOMARY COURTS; AND HEALTH FACILITIES

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57 ANNEXURE A: PRIMARY SCHOOLS BACKLOG ERADICATION PROJECTS (P '000) Primary Schools Backlog Eradication- Kgatleng 80,750 Primary Schools Backlog Eradication- Kgalagadi 36,089 Primary Schools Backlog Eradication- Kweneng 60,337 Primary Schools Backlog Eradication- Southern 63,479 Primary Schools Backlog Eradication- Chobe 32,768 Primary Schools Backlog Eradication-Francistown 71,965 Primary Schools Backlog Eradication- South East 34,101 Primary Schools Backlog Eradication- Central 206,592 Primary Schools Backlog Eradication- Selebi Phikwe 50,529 Primary Schools Backlog Eradication- North West 115,489 Primary Schools Backlog Eradication- Jwaneng 22,786 Primary Schools Backlog Eradication- North East 50,999 Primary Schools Backlog Eradication- Lobatse 8,686 Primary Schools Backlog Eradication- Ghanzi 41,020 Primary Schools Backlog Eradication- Gaborone 28,965 Primary Schools Backlog Eradication- Sowa 23,845 TOTAL PRIMARY SCHOOLS BACKLOG ERADICATION 928,400

58 ANNEXURE B: CONSTRUCTION OF TRIBAL ADMINISTRATION OFFICES (P '000) Project Construction of Tribal Administration Offices- North West 2,414 Construction of Tribal Administration Offices- Kgalagadi 1,609 Construction of Tribal Administration Offices- Southern 3,814 Construction of Tribal Administration Offices- North East 1,550 Construction of Tribal Administration Offices- Gaborone 835 Construction of Tribal Administration Offices- Chobe 1,045 Construction of Tribal Administration Offices- Central 1,620 Construction of Tribal Administration Offices- Kweneng 2,564 Construction of Tribal Administration Offices- Ghanzi 925 Valuation of Property Rates Phase II 40,000 Construction & Supervision of Customary courts Mochudi 45,000 Construction &Supervision of Motswedi Customary courts-Lobatse 30,000 Construction & Supervision of Tatitown Customary Court Type III 30,000 Construction & Supervision of Maun Customary Court 20,000 Construction & Supervision of Molepolole Customary Court 20,000 Construction & Supervision of Ramotswa Customary Court 20,000 Construction & Supervision of Serowe Customary Court 20,000 Electrification of Tribal Adminstration Offices 37,000 Construction & supervision of Letlhakeng Customary Court 20,000 Construction of Tribal Administration Offices- North North West 32,000 Construction of Tribal Administration Offices- Kgalagadi 20,054 Construction of Tribal Administration Offices- Southern 32,000 Construction of Tribal Administration Offices- North East 30,640 Construction of Tribal Administration Offices- Gaborone 8,487 Construction of Tribal Administration Offices- Chobe 19,200 Construction of Tribal Administration Offices- Central 32,368 Construction of Tribal Administration Offices- Kweneng 32,368 Construction of Tribal Administration Offices- Ghanzi 31,500 Construction of Tribal Administration Offices- Kgatleng 20,975 TOTAL GOVERNANCE SAFETY & SECURITY 557,968

59 561 843 955.7 Gobojango, Kazungula,Hukuntsi, Takatokwane, Gaborone - West, Gaborone - West, Takatokwane, Nata, Middlepits, Mabutsane, Werda, Charleshill, Sebina, Sebina, Charleshill, Nata, Middlepits, Mabutsane, Werda, ANNEXURE C: LOCATION OF HEALTH FACILITIES (P '000) FACILITIES OF HEALTH LOCATION C: ANNEXURE Makgophana, Sebego (Kanye), Kudumatse, Mokobeng, Mosetse, Ngarange, Modipane, Kumakwane, Mogobane, Mogobane, Kumakwane, Modipane, Ngarange, Mokobeng, Mosetse, Kudumatse, (Kanye), Makgophana, Sebego Paje, Zwenshambe, (Goodhope), Tswaaneng Nxamasere, Ditshegwane, Molalatau, (Jwaneng), Maokane Gopong, Mekoro (S/Phikwe), New D'Kar, Gantsi, Gulubane, Toteng, (Mahalapye-Sefhare), Sekoma, Borotsi Xhaoga, Kasane, Makuta Semitwe, (Tutume), Mogorosi, Dibete, Mogapi, Mosolotshane, Matlhakola, Kauxwi, Madiba, Ratholo, Lehututu, 2), Semolale, Magapatona Jackalas Kaudwane, Malwelwe, Dutlwe, West), (Kweneng Sesung Marulamantsi (Serowe), Lorwana Boatlaname, Lerolwane, Digawana, (Boteti), (Tutume), Makalamabedi maternityProject : Construction and upgrading of with Healthposts and Clinics Radisele, (Ramotswa), Magope Nkoyaphiri, (Kweneng), Boswelakoko (Bobonong), Borotsi Ncojane, Mathangwane, Hunhukwe, Bokspits, (near Francistown), Mmankgodi, Borolong Moiyabana, Sepopa, Mmathethe, Mopipi, Serowe, Maokatumo Project :Construction without and upgrading of maternity and Clinics Healthposts Letlhakeng, Tonota, Sehithwa, Botshabelo, Shoshong, Tsetsebjwe, Mmathubudukwane, Kgwatlheng (Kanye), (Kanye), Kgwatlheng Mmathubudukwane, Tsetsebjwe, Shoshong, Botshabelo, Sehithwa, Tonota, Letlhakeng, Molapowabojang and Lerala Project : Construction of 1 Primary Hospitals: Level