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Ms Pauline Monare Director, EDD, Ministry of Trade and Industry

European Union. Republic of Botswana.

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Ms Pauline Monare Director, EDD, Ministry of Trade and Industry

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  1. European Union Republic of Botswana Private Sector Development Programme, BotswanaA Government of Botswana initiative supported by the European Union and the Centre for the Development of EnterprisePrivate Sector Development in Botswana - Opportunities Date: 21 November 2013, 1330hrs Venue: Fairgrounds Conference & Exhibition Centre Ms Pauline Monare Director, EDD, Ministry of Trade and Industry

  2. Outline What is EDD? Strategic Approach What is Competitiveness? What determines Competitiveness? Key Factors of Productivity Link between PSDP & EDD

  3. EDD STRATEGY • Economic Diversification is one of the key strategic areas of focus for the Botswana economy. • Adopted by Government in 2010, the Economic Diversification Drive (EDD) Strategy puts emphasis on increased capacity for non-mineral exports and private sector led growth. • The EDD Short Term Strategy is based on the use of Government purchasing power to drive economic diversification, with total Government purchases through EDD procurement program recorded at P1.8 billionas at 31st March 2013; • The EDD Medium to Long-Term Strategy envisages diversification of the economy through the development of sustainable and globally competitive enterprises that need little or no Government protection and support.

  4. Strategic Approach - EDD MLT

  5. What is Competitiveness? – Prof M. Porter • Botswana is a competitive location to the extend that firms operating in Botswana are able to compete successfully in the global economy, while supporting high and rising wages and living standards for the average citizen. • Competiveness depends on improving long-run productivity with which firms can do business in the country: • Productivity of existing employees • High participation of working age citizens in the workforce

  6. What determines Competitiveness? • Country’s endowments, including • natural resources; • geographical location; • Population; and • country size, • Create a foundation for prosperity, but true prosperity arises from productivity in the useof endowments.

  7. MACROECONOMIC COMPETITIVENESS • Sound Monetary and Fiscal Policies; • Human Development; • Effective Political Institutions • Sets the economy-wide context for productivity to emerge, but it is not sufficient to ensure productivity.

  8. PRODUCTIVITY DEPENDS ON: • Improving the microeconomic capability of the economy and the sophistication of local competition revealed at the level of regions and clusters; • Microeconomic Competitiveness – driven by three factors: • Quality of the Business Environment; • State of Cluster Development; and • Sophistication of Company Operations and Strategy

  9. LINK BETWEEN PSDP AND EDD PSDP Result Area 1: Strengthen Capacity and Competitiveness of SMMEs and Community Based Organizations. PSDP Result Area 2: Improve service delivery of targeted Intermediary Organizations and Business Development Service Providers. PSDP Result Area 3: Business Environment – reduction of red tape and pilot of accessing finance.

  10. Thank you!

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