Botswana Development corporation (BDC)’s affinity for cash hit a brick wall last week after a Parliamentary Committee rejected a request for funding of P1 billion.
What is however interesting with the request is that the Corporation revealed that it intended to create 1000 jobs with the P1 billion, a declaration that shocked most of the Members of Parliament who deliberated on the request.
It is clear that Cabinet had Okayed the BDC’s request that government guarantees the P1 billion loan from African Development Bank.
The Member of Parliament for Mmadinare, Kefentse Mzwinila had asked a simple question as to how many jobs BDC intended to generate with the P1 billion request, the answer was 1000 openings. Phenyo Butale of Gaborone Central and Guma Moyo of Tati East were not convinced either.
From a deductive perspective this meant that BDC wants P1 million for every single job it intends to create. Members of the Parliamentary committee punched holes on the quality of the projects earmarked for this P1 billion based on the failure to demonstrate quality jobs commensurate with the money requested.
BDC through the Minister of Finance and Development Planning Kenneth Matambo asked Government to guarantee the African Development Bank (ADB) loan, as the investment arm seeks to expand its investment regionally and internationally. But the Parliamentary Committee shot down the proposed investments as a sign of lack of seriousness on the part of those who came u[p with them.
The Committee also wanted to understand the reason for acquiring the loan through AFD instead of local banks.
A history of failure
BDC has a very dark history when it comes to implementation. The Corporation blew away P1 billion of taxpayers’ money on a briefcase company it had engaged to develop the Palapye Glass Project. The company properties were later auctioned by a South African company to the lowest bidder, and only P10 million was recovered.
Efforts by the BDC to sell the Fengyue Glass Plant at a much high value hit a snag recently as it failed to sell at a P58 million tag price. The highest bidder even failed to pay and the engaged auctioneer, KPMG had to run around searching for the best among under bidders to take over the failed plant’s equipment. Rudy Schuhardt of Makoro Bricks was awarded the bid at P10 million after the highest bidders failed to pay.
Lack of citizen empowerment
In addition the BDC has always been accused of failing to empower citizens comprehensibly because most of their projects are either headed by foreigners, or owned by foreigners. The current Managing Director of the BDC, Bashi Gaetsaloe had promised to transform BDC and improve on its investments, but his latest proposal of P1 billion sliced among private companies including Letshego and Baisago University College left many disappointed.
Two years into office, Gaetsaloe has returned BDC to profitability after three consecutive years of it making losses. In December last year, BDC announced a P110 million profit before tax, and P247 million profit before tax at Group level (inclusive of subsidiaries). But his recent investment decisions could dent his somewhat positive start.
Upon his arrival, he announced that the new BDC model will come with a new requirement of skills and his intention is to build a new BDC operating under an appropriate and relevant mandate and business model with the right set of skills – but this is yet to show.
The P250 million National Petroleum Fund (NPF) saga that has been before court since 2017 seems to be losing its momentum with a high possibility of it being thrown out as defence lawyers unmask incompetency on the part of the Directorate of Public Prosecution (DPP).
The Gaborone High Court this week ruled that the decision by the State to prosecute Justice Zein Kebonang and his twin brother, Sadique Kebonang has been reviewed and set aside. The two brothers have now been cleared of the charges that where laid against them three years ago.
The United States (US) will on the 3rd of November 2020 chose between incumbent Donald Trump of the Republicans and former Vice President Joe Biden of the Democrats amid the coronavirus pandemics, which has affected how voting is conducted in the world’s biggest economy.
Trump (74) seeks re-election after trouncing Hillary Clinton in 2016, while Biden (77) is going for his first shot as Democratic nominee after previous unsuccessful spells.
US Presidents mostly succeed in their re-election bid, but there have been nine individuals who failed to garner a second term mandate, the latest being George W H. Bush, a Republican who served as the 41st US President between 1989 and 1993.
Dr Mark Rozell, a Dean of the School of Policy and Government at George Mason University in Arlington, Virginia describes the complex US electoral system that will deliver the winner at the 3rd November elections.
“The founders of our Republic de-centralised authority significantly in creating our constitutional system, which means that they gave an enormous amount of independent power and authority to State and local governments,” Dr Rozell told international media on Elections 2020 Virtual Reporting Tour.
Unlike parliamentary democracies, like Botswana the United States does not have all of the national government elected in one year. They do not have what is commonly called mandate elections where the entire federal government is elected all in one election cycle giving a “mandate” to a particular political party to lead, and instead US have what are called staggered elections, elections over time.
The two house Congress, members of the House of Representatives have two-year long terms of office. Every two years the entire House of Representatives is up for re-election, but senators serve for six years and one third of the Senate is elected every two years.
For this election cycle, US citizens will be electing the President and Vice
President, the entire House of Representatives and one third of the open or contested seats in the Senate, whereas two thirds are still fulfilling the remainder of their terms beyond this year.
An important facet of US electoral system to understand given the federalism nature of the republic, the US elect presidents State by State, therefore they do not have a national popular vote for the presidency.
“We have a national popular vote total that says that Hillary Clinton got three million more votes than Donald Trump or in Year 2000 that Al Gore got a half million more votes than George W. Bush, but we have what is called a State by State winner takes all system where each State is assigned a number of electors to our Electoral College and the candidate who wins the popular vote within each State takes 100 percent of the electors to the Electoral College,” explained Dr Rozell.
“And that is why mathematically, it is possible for someone to win the popular vote but lose the presidency.”
Dr Rozell indicated that in 2016, Hillary Clinton won very large popular majorities in some big population States like California, but the system allows a candidate to only have to win a State by one vote to win a 100 percent of its electors, the margin does not matter.
“Donald Trump won many more States by smaller margins, hence he got an Electoral College majority.”
Another interesting features by the way of US constitutional system, according to Dr Rozell, but extremely rare, is what is called the faithless elector.
“That’s the elector to the Electoral College who says, ‘I’m not going to vote the popular vote in my State, I think my State made a bad decision and I’m going to break with the popular vote,’’ Dr Rozell said.
“That’s constitutionally a very complicated matter in our federalism system because although the federal constitution says electors may exercise discretion, most States have passed State laws making it illegal for any elector to the Electoral College to break faith with the popular vote of that State, it is a criminal act that can be penalized if one is to do that. And we just had an important Supreme Court case that upheld the right of the states to impose and to enforce this restriction”
There are 538 electors at the Electoral College, 270 is the magic number, the candidate who gets 270 or more becomes President of the United States.
If however there are more candidates, and this happens extremely rarely, and a third candidate got some electors to the Electoral College denying the two major party candidates, either one getting a majority, nobody gets 270 or more, then the election goes to the House of Representatives and the House of Representatives votes among the top three vote getters as to who should be the next President.
“You’d have to go back to the early 19th century to have such a scenario, and that’s not going to happen this year unless there is a statistical oddity, which would be a perfect statistical tie of 269 to 269 which could happen but you can just imagine how incredibly unlikely that is,” stated Dr Rozell.
BLUE STATES vs RED STATES
Since the 2000 United States presidential election, red states and blue states have referred to states of the United States whose voters predominantly choose either the Republican Party (red) or Democratic Party (blue) presidential candidates.
Many states have populations that are so heavily concentrated in the Democratic party or the Republican party that there is really no competition in those states.
California is a heavily Democratic State, so is New York and Maryland. It is given that Joe Biden will win those states. Meanwhile Texas, Florida and Alabama are republicans. So, the candidates will spent no time campaigning in those states because it is already a given.
However there are swing states, where there is a competition between about five and 10 states total in each election cycle that make a difference, and that is where the candidates end up spending almost all of their time.
“So it ends up making a national contest for the presidency actually look like several state-wide contests with candidates spending a lot of time talking about State and local issues in those parts of the country,” said Dr Rozell.
High Commissioner of the Federal Government of Nigeria to Botswana, His Excellency Umar Zainab Salisu, has challenged President Dr Mokgweetsi Masisi to move swiftly and lobby Africa’s richest man, Nigerian Billionaire, Aliko Dangote to invest in Botswana.
Speaking during a meeting with President Masisi at Office of President on Thursday Zainab Salisu said Dangote has expressed massive interest in setting up billion dollar industries in Botswana. “We have a lot of investors who wish to come and invest in Botswana , when we look at Botswana we don’t see Botswana itself , but we are lured by its geographic location , being in the centre of Southern Africa presents a good opportunity for strategic penetration into other markets of the region,” said Salisu.