FDI key to economic diversification �Anglo CEO

Boniface Keakabetse | Wednesday November 26, 2014 16:13

He stated this in his keynote address during the Botswana Confederation of Commerce, Industry and Manpower (BOCCIM) National Business conference, held every two years.

Cutifani said Botswana needed three key ingredients to drive its growth, which include building of its natural resources, strong institutions and sound policy frameworks. He further said Botswana was fortunate to have natural resources, which had benefited the country’s development.  “As you know, mineral resources are like any other natural resource, you can either use them well, or squander your endowment through short sighted and inadequate policy frame works and approaches” he said.

Anglo American own 80 percent of De Beers Diamond Company, which is an equal joint shareholder in Debswana with the government.

Cutifani revealed that Anglo American was ready to partner with government in evaluating the economic viability of natural resource projects, adding that they would ensure that the projects benefited broader society. He further explained that diversification beyond reliance on diamonds was crucial to Botswana’s economic growth noting that this could only happen through creation of alternative viable industries.  He stated that investment in road, rail, energy and information technology services from diamond revenues could be beneficial in attracting FDI.

He said the tourism sector could play a role in promoting Botswana to the rest of the world. He suggested that tourist centres in Botswana be supported with complimentary attractions and superior service that would competitively target its customer base.

Cutifani advised Botswana to strengthen its public institutions to develop standards and norms on par with those of most successful democracies in the world. He also advised the country to reduce the red tape to make it easy for small enterprises to thrive.  Cutifani revealed that Anglo American had partnered with the Botswana government, Debswana and De Beers though the Tokafala Enterprise Development initiative aimed at promoting and mentoring small-scale business owners in Botswana.