US agency to finance SMMEs

Pauline Dikuelo | Monday June 29, 2015 15:07

OPIC held a finance workshop through the invitation of the American Business Council (ABC) Botswana and the Botswana Investment and Trade Centre last week.

Speaking during the workshop, OPIC Vice President, Jim Polan said that he has realised that a lot of Batswana have viable business ideas, but lack financial resources to pursue their dreams.

He also added that they are looking forward to help develop the renewable energy sector in the country.

Polan added that they can financially assist local businesses, especially after realising that most of them are locked out of Citizen Entrepreneurship Development Agency (CEDA) and Local Entrepreneurship Authority (LEA) facilities.

“We have a rich background as we have supported different sectors like commercial, agriculture, retail and services as well microfinance industries in Africa.  We assist and promote long-term sustainable development,” said Polan.

According to Polan, they assist companies that have been operating for some time and have viable business plans that comply with Botswana’s environmental and business operational standards.

Since their operations, OPIC have invested about $200 billion in 4,000 projects worldwide.  In Sub-Saharan Africa they have invested $3.7 billion.

“Since 2009, OPIC has committed over $1.6 billion financing and insurance in the power sector in the continent,” he added.

United States (US) ambassador to Botswana, Earl Miller urged local businesses to take advantage of this facility.

“It is exciting to see Botswana move towards including Independent Power Producer operations and solar projects in its power generation mix.  The country has potential and harnessing of renewable and coal resources will further economic diversification,” said Miller.

He added that to support the government of Botswana, they have worked with the US non-profit initiative for Global Development to streamline and standardise bankable power purchase agreements.