MINISTRY OF WORKS, TRANSPORT AND COMMUNICATION
6.2 PRIVATE INTERESTS ARE ENCOURAGED TO ASSUME GREATER
RESPONSIBILITY FOR DEVELOPMENT OF THE INDUSTRY.
Justification. The private sector will provide much needed business
expertise, know-how, entrepreneurship and additional funding to the
industry.
Implications. Barriers to entry into the telecommunications industry have
historically been high mainly due to legal obstacles and high initial
investment costs. The fact that the industry in Botswana is dominated by
a statutory monopolist, and thus a closed market with little outside
knowledge and know-how, will make it difficult for new entrants to gain
ground in a liberalised market. Recognising the often still dominant role
of the previous monopolist once the market is liberalised, many countries
have adopted measures to promote competition by making it easier for
new players to operate than for the incumbent operator.
In order to encourage new entrants and private investments into the
market, the market will be liberalized in such market segments as would
allow an expansion of the supply of telecommunications services and an
improved utilisation of the present telecommunications network at the
same time as being commercially attractive. BTC will be encouraged to
form partnerships in such markets to have access to additional business
expertise and know-how. On the other hand, provisions will be made in
the proposed new legislation which would prevent BTC to abuse its
present dominant position in the market. New entrants into the market
will also enjoy such tax advantages and incentive packages as would
normally apply to other industrial investors in Botswana.
Participation of citizen owned companies and individual citizens could
also be promoted by imposing limits to foreign equity in different market
segments and obligations in areas of employment of Batswana.
6.3 A TELECOMMUNICATIONS INDUSTRY CH`9RACTERISED BY
TRANSPARENCY IN DECISION MAKING AND DEVELOPMENT.
Justification. Transparency will promote confidence in potential
investors and is a prerequisite for private sector participation in the
industry.
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TELECOMMUNICATIONS POLICY FOR BOTSWANA