the monitor

Time to end informal sector fronting

As per a story published elsewhere on our pages, Francistown, once a beacon of economic activity, now faces a troubling issue that threatens the integrity of its informal sector: fronting. This practice, where local business owners act as intermediaries for foreign traders, particularly Zimbabweans, has become alarmingly prevalent.

The Francistown Umbrella Informal Sector chairperson, David Mbulawa, has highlighted this growing concern, revealing that many local traders are using their licences to facilitate the entry of foreign goods into the market at a fee.

Fronting undermines the very fabric of our local economy. It allows foreign traders to exploit the system designed to benefit Batswana, using local licences to cross borders and sell goods at prices intended for local traders. This not only distorts market dynamics but also deprives genuine local entrepreneurship opportunities to thrive. The goods, once across the border, are sold by local traders on behalf of foreigners, who in turn pay them for this service. This arrangement often comes to light only when disputes arise between foreign traders and local licence holders.

Editor's Comment
Gov't must guard against cadre deployment

As the Botswana National Front (BNF) discusses a policy to place suitably qualified members in strategic positions, the guiding consideration should remain whether an individual is the best person to serve the country. There is nothing wrong with qualified party members applying for public positions. Political affiliation should neither disqualify a capable candidate nor give them an advantage over others. Every Motswana deserves a fair...

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