First Capital Bank, Debswana bridge financing gap for citizen businesses

Kabelo Boranabi | Monday August 24, 2026 06:00

The two institutions signed a Memorandum of Understanding (MoU) at First Capital Bank's head office in Gaborone on Wednesday, establishing a framework for qualifying Debswana suppliers to access financing to execute contracts. The partnership targets a common challenge facing growing businesses, which is the period between winning a contract and receiving payment. Through the arrangement, the Bank will provide financial solutions, including working capital, asset financing and term lending, to help businesses purchase equipment and materials, pay employees and meet other operational costs required to deliver contracts. Speaking at the signing ceremony, First Capital Bank Botswana CEO Lesego Osman said the partnership was about turning opportunity into meaningful economic participation.

He added the Bank's role would extend beyond financing, with entrepreneurs also requiring support in areas such as financial management, governance, compliance and working-capital management as they prepare to take on larger opportunities. Osman also said First Capital Bank Botswana wanted to position itself as a financial partner and adviser to businesses rather than simply a lender. The partnership builds on Debswana's Citizen Economic Empowerment Programme (CEEP), which seeks to increase citizen participation in the diamond mining company's supply chain and build the capacity of local enterprises. Debswana chief finance officer, Ian Modubule, revealed that between 2019 and 2025, the company had facilitated approximately P28.2 billion in spend with citizen-owned entities, while more than 19,000 jobs had been created. According to Modubule about P2 billion in financing had been mobilised through various financing organisations. He bemoaned that while citizen-owned businesses had demonstrated that they could win contracts and deliver quality work, some continued to struggle to grow because of limited access to capital at the right time and on suitable terms.

He said Debswana's ambition was not to create businesses that remained dependent on the mining company, but enterprises capable of supplying and competing beyond its ecosystem. Officials noted that First Capital Bank's regional footprint could support that ambition, with the bank also operating in Malawi, Zambia and Mozambique. The partnership also comes as Debswana seeks to broaden CEEP opportunities beyond the traditional mining supply chain, including through local manufacturing. Modubule said manufacturing and other growth sectors would require patient, well-structured capital if citizen businesses were to take advantage of emerging opportunities. Both institutions stressed that the MoU itself would not be the measure of success. Instead, success would be reflected in businesses receiving financing, contracts being successfully executed, equipment being acquired, jobs being created and citizen-owned enterprises developing the capacity to grow beyond individual contracts.

For First Capital Bank, the objective is to ensure that financing and business support help entrepreneurs convert Debswana-created opportunities into sustainable enterprises. While for Debswana, the partnership represents another step towards ensuring that economic opportunities generated through its supply chain translate into stronger citizen businesses, employment and broader economic participation. The MoU therefore, marks the beginning of a collaboration whose real impact will be measured not by the document signed, but by what happens to citizen-owned businesses after they secure the opportunity.