So far, yet so close: Botswana’s transition to KBE
While Botswana’s journey towards a Knowledge- Based Economy ( KBE) dates back to as early as National Development Plan ( NDP 7), the country is far from attaining the ideal that is now aligned to the national Vision 2036 aspiration to transition to high- income status by 2036.
Botswana Institute for Development Policy Analysis ( BIDPA) Senior Research Fellow, Dr. Gloria Somolekae says some of the challenges associated with the transition to a KBE manifests in poor implementation, under- resourcing of institutions, and overlapping mandates.
Dr. Somolekae, who was speaking during the launch of a study titled ‘ Preconditions for Botswana’s Transition to a Knowledge- Based Economy’, said in 2011, the United Nations Educational, Scientific and Cultural Organisation ( UNESCO) team when revising the Botswana Science and Technology Policy of 1998 noted among the lapses, fragmented and scattered science and technology activities across sector ministries, uncoordinated research and development activities, inadequate scientific infrastructure, scarce human resources, a lack of experienced scientists and the lack of structure for science and technology.
However, since NDP 7, government stepped up efforts to work on the economic diversification agenda, including laying the foundation for the transition to a KBE.
During NDP 8, the government set up the Ministry of Communications, Science and Technology through the National Commission on Science and Technology and during NDP 9, the government facilitated the establishment of the Department of Research, Science and Technology with its three institutions namely, Botswana Technology Centre ( BOTEC), Rural Industries Promotions Company ( RIPCO) and National Food Technology Research Centre ( NFTEC).
It was also under NDP 9 that Botswana International University of Science and Technology ( BIUST) was established.
“During the same period, feasibility study and plan for the establishment of the Botswana Innovation Hub was completed,” she said, adding that under NDP 10, the Hub was finally established.
The establishment of Botswana Communication Regulatory Authority ( BOCRA), Botswana Institute for Technology Research and Innovation ( BITRI), and investment in the Eastern African Submarine Cable System and the West Africa undersea fibre optic cable system were all done under NDP 10.
Others include the establishment of the Ministry of Tertiary Education, Research, Science and Technology in 2016 with the mandate of transforming Botswana from a resource- based to a KBE.
Under the current NDP 11, the Innovation Fund was set up, and highspeed internet Smart Botswana and other digitisation milestones have been achieved.
Dr. Somolekae noted that many countries across the world have embarked on the KBE journey at different points in their developmental history. She explained that while Botswana looks up to countries that have made strides in this transition there is no single formula to achieve KBE.
“Each country carves its own path, there is no rule book. Each country learns as it progresses and self corrects,” she said, adding that a lot has been learned through this journey and achievements in policy development and setting up of institutions have been made.
The newly- launched BIDPA study is expected to inform the economic and governance architecture, suggest innovative financing options and a change management agenda for the envisaged economic transition to a high- income country by 2036.
According to the BIPDA Board Chairperson of the Research Committee, Dr. Kealeboga Masalila, the promotion of a KBE is integral to the economic transformation and policy reform agenda for Botswana, especially in alignment with the national Vision 2036 aspiration to transition to highincome status by 2036 and the requisite growth trajectory.
The Study will focus on four elements; it will assess the country’s readiness to embrace a KBE, review the progress made thus far including the adaptation of best practices and identify lessons on what Botswana needs to do to successfully transition to a knowledge- based economy.
It is also expected to highlight policy implications and make recommendations on the way forward, as well as develop the KBE strategy and its related implementation, monitoring, and evaluation plan.
Dr. Masalila said these four elements should go a long way in increasing prospects for relevant contributions by all involved, as well as effective beneficial implementation.
The study should impact three important areas. Firstly, the elevation of the infusion and adaptation of knowledge as being integral to industrialisation in both product and service sectors, particularly in positively influencing productivity and competitiveness.
Secondly, it should bring innovation in financing options allowing for the viable and profitable harnessing of domestically mobilised resources for local industrialisation.
Lastly, change management agenda for the envisaged economic transition to the high- income country by 2036.
“To the extent at which the study achieves this, it will support the important work of bridging the gap between where we are today and where we want to be,” Dr. Masalila said.
He said that where Botswana now indicates that there is a need for a significant increase in economic growth rate for Botswana to achieve the requisite Gross National Income ( GNI) per capita income of US$ 12 500 or above per annum for high- income status by 2036. Currently, Botswana is an uppermiddle- income economy at a GNI per capita of US$ 8 000.
Dr. Masalila added that this growth must be inclusive and that there should be a meaningful reduction in the unemployment rate, poverty incidence, and inequality.
“Even as we elevate and promote a KBE, we need to consider and project the critical areas where greater impact is possible and crucial to propel economic diversification and inclusive growth”.
According to Dr. Masalila, who is also Bank of Botswana Deputy Governor, the case for digital adaptation and knowledge acquisition as part of a KBE is evident in recognising information and communication technology as an enabler for all economic activities, in addition to being a growth industry.
He said the export orientation of the economy involving the integration of the domestic industry into the global value chains is also critical.
In the area of money and capital markets, Dr. Masalila said beyond finance, the greater impact is derived when there is an infusing of cutting- edge skills and creativity to both mobilise resources and deploy them profitably to the benefit of investors and industrial growth.
“London, New York, Hong Kong and closer to home Johannesburg, offer historical examples where creativity in the mobilisation and deployment of finance, helped to build strong and lasting industries,” he said, adding that the multi- billion pension funds sector can come in handy.
Internally, he believes that government institutions must be at the same level as the rest of society with respect to knowledge, commitment to the reform agenda, and development aspirations.