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11. The Impact of Business Regulatory Quality on Private Sector Investment in Botswana

Author:
Kedibonye Sekakela
Publication Date:
03-2019
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
A market-friendly regulatory environment is key for private sector investment. In this paper, we examine the impact of business regulatory quality on private sector investment in Botswana. The paper finds that the business regulatory environment stimulates private sector investment in the long term and this phenomenon occurs when the quality of bureaucracy improves, among other factors. Other critical factors affecting private sector investment examined in this paper include; corporate credit, output and public infrastructure investment. Private sector investment responds positively to increases in corporate credit in the short term but not responsive in the long term. Economic activities support private sector investment positively but weak. On the other hand, public infrastructure investment crowds in(out) investment in the short and long term respectively. Policy wise, Botswana should further deepen its efforts towards creating a market-friendly regulatory environment and also consider how business regulatory quality interact with other policy variables for better investment and growth outcomes.
Topic:
Economics, Developing World, Regulation, Business, Investment, and Economic Development
Political Geography:
Africa and Botswana

12. Impacts of Access to ICTs on Employment Status in Botswana

Author:
Masedi K. Tshukudu
Publication Date:
03-2019
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
It is clear that technology has brought about significant changes in the livelihoods of people, creating new forms of employment and advancing the traditional forms of employment for individuals. Many countries continue to invest in Information and Communication Technologies (ICTs) with the view to tackling some of the economic challenges such as unemployment. Botswana like other African countries has made annual budgetary allocations towards ICT Infrastructure. Despite, the Government’s efforts to invest and improve access to ICT, the country still faces a high unemployment rate, particularly for the youth. This study therefore, investigates the impact that access to ICTs has on the employment of individuals in Botswana. In order to provide a detailed analysis of the impact of ICTs on employment we apply a probit model for binary choice responses to being employed or not being employed, using the data from the 2014 Botswana Household Access and Individual use of Information Communication Technology Survey carried out by the Statistics Botswana. The empirical results provide evidence that access to ICTs collectively has a positive impact on employment in Botswana. However, disaggregating the ICTs forms presents slightly different results, e-skill training and access to the internet in Botswana are not significant in explaining an individual’s employment status, this may be associated with low uptake of internet and ICTs skills by individuals in Botswana. The policy message from this study is that there is a need for aggressive implementation of collective ICT. [In addition, there is need to improve collective ICTs infrastructure to create more employment].
Topic:
Development, Economics, Science and Technology, Communications, Information Age, and Economic Development
Political Geography:
Africa and Botswana

13. Financial Inclusion and its Impact on Employment Creation in Botswana

Author:
Koketso Molefhi
Publication Date:
03-2019
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
The study examines the impact of financial inclusion on employment creation in Botswana using quarterly time series data for the period 2004-2016. Using Autoregressive Distributed Lag (ARDL) model, we find that availability of bank branches, ownership of bank account and borrowing from the commercial bank have a positive impact on employment creation in the short run. Similarly, in the long run, availability of bank branches, ownership of bank account has a positive relationship with employment creation in the long run. Depositors with commercial banks has a negative bearing on employment creation, both in the short run and in the long run. Therefore, policies should be aimed at ensuring easy access into the financial sector by way of reducing costs associated with account opening as well as creating affordable deposit and borrowing windows to the financially excluded groups.
Topic:
Economics, Labor Issues, Employment, Finance, Financial Markets, and Macroeconomics
Political Geography:
Africa and Botswana

14. Competitiveness-of ACP Sugar Exports in Global Markets

Author:
Tebogo Seleka and Thula Dlamini
Publication Date:
03-2018
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
We employ the Normalized Revealed Comparative Advantage (NRCA) index on data for the period 1961-2013 to examine the competitiveness of the African, Caribbean and Pacific (ACP) countries in the global sugar market. Results indicate that the majority of the ACP states had comparative advantage in the global sugar market during the period 1961-2013. However, most of these countries also experienced declining comparative advantage, except for a few African countries that emerged from initial states of extreme comparative disadvantage to marginal comparative (dis)advantage. This occurred despite the fact that these countries enjoyed tariff free access to the highly protected EU market. Mauritius, followed by Fiji, Guyana and Jamaica, recorded the strongest comparative advantage among the ACP countries. However, it recorded weaker comparative advantage than the leading comparator non-ACP countries of Australia, Brazil and Thailand, which experienced considerable increases in comparative advantage over the considered period. Overall, there has been convergence in comparative advantage among ACP states since the signing of the Lomé convention in 1975.
Topic:
Development, Economics, Exports, Macroeconomics, and Economic Development
Political Geography:
Africa and Botswana

15. Enhancing public budgeting transparency in Botswana: Why and how

Author:
Gape Kaboyakgosi
Publication Date:
09-2011
Content Type:
Policy Brief
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
This policy brief discusses the need to make Botswana’s budget process more transparent. Transparent or open budgets both facilitate and support timely, relevant public access to budget information, enhancing citizen participation in the budgetary process. Transparent budgets also strengthen the role and independence of oversight institutions such as Parliament and Supreme Audit Institution (SAI)-or the Office of the Auditor General. The objective of this brief is to advocate for the opening up of Botswana’s budgetary process, hence the paper concludes by making recommendations on how to enhance budget transparency in Botswana.
Topic:
Economics, Governance, Budget, Local, and State Funding
Political Geography:
Africa and Botswana

16. Factors Underlying Communal Beef Cattle Marketing Decisions in Botswana: The Role of Public and Private Transfers

Author:
Tebogo Seleka and David Mmopelwa
Publication Date:
08-2011
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
This article examines factors underlying communal beef cattle marketing at a household level in Botswana, with emphasis placed on the role of public and private transfers. Results show that public and private transfers (pensions, remittances, government food rations, and food supplies from friends and relatives) discourage cattle marketing. Thus, while they are important sources of household food security, cash and food transfers may adversely impact on beef export performance in Botswana. It is therefore fundamental that public transfer programmes are well targeted to needy and poor households, in order to minimize their adverse effects on the cattle industry. On the positive side, the paper argues that public transfer programmes may assist poor farmers rebuild their cattle and other livestock inventory, contributing to transition out of inter-generational poverty.
Topic:
Development, Economics, Public Policy, Economic Development, Private Sector, and Cattle
Political Geography:
Africa and Botswana

17. Competition and Trade Policy: The Case of the Botswana Poultry Industry

Author:
Masedi Motswapong and Roman Grynberg
Publication Date:
09-2011
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
The poultry sector is the most successful example of import substitution in Botswana with the country having achieved national self sufficiency. The paper describes the value chain in the industry and shows how, given the small size of the market, a high degree of market concentration exists. There is an estimate of the loss of consumer surplus from the current trade regime. The paper raises issues regarding the fundamental tension between competition and industrial policy in a small developing country. As the larger firms in the poultry industry move towards export readiness after 32 years of protection, the question of a new trade and industry regime is considered.
Topic:
Development, Economics, Economic Development, Trade Policy, Strategic Competition, and Industry
Political Geography:
Africa and Botswana

18. Institutions and Economic Performance in Africa: A Comparative Analysis of Mauritius

Author:
Julius Kiiza
Publication Date:
07-2006
Content Type:
Working Paper
Institution:
United Nations University
Abstract:
This paper examines the relationship between institution building and economic performance in Mauritius, Botswana and Uganda. The rationale for comparing these cases is simple. While the three have been super-economic stars in their own right, they have achieved substantially different outcomes. Mauritius has achieved Asia-type rapid growth, backed by the structural transformation of the economy from colonial commodity production (sugar) to postcolonial higher value-added industrial and information outcomes. Botswana has delivered rapid and sustained growth with no structural economic transformation. Uganda has attained rapid growth for a shorter postcolonial period (since 1992) and with no structural transformation. This paper contends that these cross-national differences largely arise from the presence of developmental nationalism plus Weberian bureaucracies in Mauritius and Botswana, and their absence in Uganda.
Topic:
Development, Economics, and Nationalism
Political Geography:
Uganda, Africa, Mauritius, and Botswana