These PEs are synonymous with scandals. The country has lost billions of Pula in fraudulent procurements in these PEs. What is disheartening is the growing non-accountability of PE bosses and Ministers when things go fundamentally wrong. Many Batswana wonder what is wrong with their PEs.
Like many African countries, Botswana’s economy at independence was not really active. The country was poor and in addition to high poverty levels, unemployment and lack of access to services, there was no private sector to rely on for diversification of the economy and provision of some services. There were no commercial banks, no industries, no transport companies or any entity providing utilities. There were very few PEs at independence namely Botswana Meat Commission (BMC) and Botswana Savings Bank (BSB) inter alia. It is for this reason that parastatals, including those which are enterprises were formed. Since independence, and especially in the 1970s to 1980s, there has been a proliferation of parastatals with distinct mandates. The main reason for the mushrooming of parastatals was state intervention in economic development-a developmental state model that Botswana pursued after discovery of diamonds and other mineral deposits in recoverable quantities.
