Botswana Development Corporation Limited (BDC) has been given a new and challenging mandate of cross border financing which allows the Corporation to invest in viable projects outside the country.
This is according to information contained in the audited financial statement for the financial year ended 30th June 2012. The statement, signed by BDC Chairman Blackie Marole, and acting Managing Director, James Kamyuka, states that the Corporation is in the process of putting in place a P1 billion note issuance program.
The move is aimed at facilitating the Corporation’s investment in new viable mega projects aimed at contributing immensely to the economic diversification drive, reducing the national import substitution bill, citizen empowerment and generating employment for Batswana.
BDC recorded a profit after tax of P26.0 million in the year under review, an achievement given the tough trading conditions characterized by the global recession that still lingers.
“The Group has once again performed commendably with a profit after tax of P119.6 million achieved this year. This compares favourably to the previous performance which was boosted by the revaluation of investment properties,” reads the statement.
The statement also shows that BDC’s assets continue to grow at a healthy rate. The year under review saw assets reach P3.2 billion as opposed to P2.9 billion in the previous year translating to an 8 percent growth.
Many of BDC subsidiary companies were affected by the economic slowdown hence their restricted performance, though still commendable.
“The independent auditors, Deloitte & Touche, conducted their audit in accordance with International Standards on Auditing. They have issued a qualified audit opinion in line with an International Financial Reporting Standards whose detail and basis can be obtained from the annual report,” says the statement.
According to the statement, the Corporation’s Board of Directors has recommended the declaration and payment of a dividend amounting to P6.5 million for the financial year ended 30th June 2012.
The government owns 100 percent of the issued share capital of the Corporation and its role is to provide financial assistance to investors with commercially viable projects. The corporation is also there to support projects that generate sustainable employment for Batswana and add to the skills of the local workforce.
Also, it encourages citizen participation in business ventures. The BDC supports the development of viable businesses, which perform functions by the use of locally available resources and produce products for export or to substitute imports.