Projects line up for P640M S/Phikwe bailout

The MoU allows government to tap into a Re-Employment Account, which is a fund housing BCL Mine and Tati Nickel's repayments of loans lent out by the EU's SYSMIN facility dating back to 1991. Under the facility, the EU lent out 84 million euros (P760.2 million at current rates) between 1991 and 2009 to support BCL Mine and Tati Nickel. Repayments are made to the Re-Employment Account.

While both government and the EU have generally been agreed that the Re-Employment Account is for economic diversification, Friday's MoU paves way for funding of Selebi-Phikwe's diversification drive. Outgoing EU Head of Delegation of the European Union to Botswana, Paul Malin, said agreement had been reached with government on the modalities of the fund and how Botswana would use the Account.