Botswana risks exclusion from the digital global

Charles Manga Fombad

The explosive growth of electronic commerce, combined with the rapid changes in the information, computing and communications sectors have had a profound effect on the world economy and the process of globalisation. For underdeveloped countries like Botswana, it has opened up many possibilities but also created new and complex problems. To some optimists, the digital global information age has provided an opportunity for the much-vaunted African renaissance, a chance for the continent to leapfrog over some of the enormous barriers of underdevelopment and claim a place in a post-industrial global economy. But there are others who see in these developments not only the further widening of the gap between the rich North and the poor South, but the possibility of a permanent banishment of the poor countries to the periphery of international economic life.

Since the mid-1980s, the Botswana Government has been investing heavily
in the acquisition of sophisticated telecommunications infrastructure
and has established a data communication networks across a range of ministries,
departments, parastatal organisations and public utilities. Although the
Government is presently the largest contributor to investments in IT and
communications systems, there are signs that the private sector is increasingly
playing an important role both as a provider and user of ICT goods and
services. There are a number of factors that appear to be the driving
force behind this change:
1. Globalisation, economic restructuring and regulatory reforms threaten
the industries that the country has relied upon to generate its wealth.
The ability to acquire, process, and use business information has now
become a critical factor not only in the very survival of these industries
but also in the country sustaining its impressive economic growth.
2. The Telecommunications Act, 1996, has committed Botswana to an enhanced
private sector involvement within a deregulated competitive environment
allowing new market entrants to compete in the provision of infrastructure,
network and value added services.
3. The Government has restructured and decentralised its computer operations
allowing individual ministries and departments, at central and local level,
to form their own partnerships and contracts with the private sector.
This has increased the opportunities for the provision of IT systems.
4. The educational system is being restructured to increase the opportunities
for technical, managerial and computer - related courses. A major programme
of computerisation in schools will lead to increasing levels of computer
literacy amongst the working population.
5. Finally, Botswana’s Vision 2016, a document setting out the country’s
agenda of action up to 2016, recognises the importance of information
and of the need to develop an efficient information system and networks
for the support of research, education, development and communication
with the rest of the world. It makes a strong commitment to the development
of competitive industries utilising the most modern technology, including
the implementation of IT across all industrial and service sectors (Presidential
Task Force for Long Term Vision for Botswana, 1997).
There is a strong belief amongst policy makers that substantial and increasing
levels of investments in ICTs will bring about growth, efficiency and
productivity gains within the industrial and commercial sectors, as well
as a range of social benefits across the wider economy. This belief is
reinforced by developments in the industrialised and newly industrialising
countries of the Far East, whose success is considered to have been based
largely on high technology export – driven growth and rapid expansion
of information intensive industries (Duncombe, 1998). The new ‘Industrial
Development Policy for Botswana’ (1998), states a need for a comprehensive
science and technology policy, though there is no clearly stated recognition
of the strategic importance of ICTs in the process of industrial and commercial
development.
The need for and the opportunities for ICTs in Botswana are enormous.
The ability of entrepreneurs to access information relating to new market
opportunities is reduced due to the small and widely dispersed domestic
market. The geographical remoteness and inaccessibility of some parts
of the country is compounded by the poor soils. The resulting food insecurity
provides an area where new ways of acting through communications technology
has a central role to play in improving interaction. Electronic networking
can deliver vital information to farmers, extension workers and researchers
fighting poverty. Improved communication and data on the environment will
not only provide the basis on which to fight the longstanding problem
of drought but also help the tourist industry. The foreign investments
that the country needs to diversify its fragile industrial base can also
only come about if there is a modern communications base.
Africa’s information infrastructure has consistently been shown to
be the least developed in the world, with technical statistics showing
that the continent has the smallest number of telephone lines per capita,
the most restricted access to computer equipment, the most primitive information
networks and the most inaccessible media systems (UNDP, Human Development
Report, 2000). The picture for Botswana when compared with the general
situation in Africa is quite different as the table below shows.
Table 1. Selected Telecommunications and IT Indicators from Botswana compared
with the rest of Africa.

General data Botswana
1990
Africa
1990
Botswana
1996-1998
Africa
1996-1998
Main Telephone lines per 1000 21 11 56 14
Public Telephone per 1000 0.2 - 1.3 0.5
Cellular Mobile subscribers per 1000 0 0 15 5
Television per 1000 16 - 27 -
Personal Computers per 1000 0 NA 25 NA
Internet hosts per 1000     0.42
(1998)
0.27 (1998)

Source: UNDP, Human Development Report, 2000.
An International Telecommunications Union study of selected telecommunications
and IT indicators for the Southern African Development Community (SADC)
countries, shows that Botswana ranks second to South Africa with respect
to teledensity, Integrated Services Digital Network (ISDN) users and internet
users (World Telecommunications Indicator, ITU, 1998). In fact, Botswana
now has one of the most well developed telephone infrastructures on the
African continent. This has led to a dramatic growth of the Internet in
the country over the last four years, despite the state-owned Botswana
Telecommunications Corporation (BTC) remaining the sole external gateway
operator. The BTC provides the backbone to Internet service, whilst Abacus
and Info Botswana, a representative of Compuserve is the largest Internet
Service Provider (ISP). The other two main ISPs are GIA Botswana and Mega.
There are several Internet cafes around the country, especially in the
urban centres.
BTC’s monopoly in communication ended with the 1996 Telecommunications
Act, which provided for the establishment of an independent regulator,
the Botswana Telecommunications Authority (BTA). However, BTC still remains
a public enterprise competing with new private entrants with whom it can
operate joint ventures. The endorsement of a privatisation policy early
this year makes it possible that BTC can be privatised in the future.
BTC operates an advanced network with almost 100% digital exchanges and
an optical fibre transmission system around the whole country. The microwave
network is one of the most extensive in Africa, linking 50 automatic exchanges
and providing connections to South Africa, Zambia and Zimbabwe.
Telecommunications services available in Botswana include national and
international telephony, data networks, very small aperture terminal (VSAT),
private wires, leased circuits, toll free services, internet, paging,
public telephones, voice messaging, telex, packet switching, telegraph
and customer premises. At about 7 telephones for every 100 people in the
population, according to some recent statistics, this is currently one
of the highest in Africa (Eyitayo & Molefe, 2000).
A frame relay service together with an ISDN has also been introduced.
These services offer high quality networks, with enhanced capacity, by
utilising advanced telecommunications technologies capable of carrying
future multimedia services. Through integrating speech, data text and
video services and offering users end - to - end digital connectivity
through a standardised access point, ISDN offer users faster speeds, improved
communications quality and reduced operating costs. This has enabled numerous
facilities besides the Internet to be offered, such as, high quality sound
broadcasts, LAN interconnection/access, lease line backup, transaction
services, interactive multi-media, file transfer/file sharing and desktop
video conferencing (http://www.btc.bw/). The ISDN now offers an alternative
to couriers, post and expensive leased lines.
A direct link via satellite to the US providing a platform for users to
gain access to the information super highway to the rest of the world
has been provided through Botsgate to corporate users and local ISPs.
The corporate users include the Government of Botswana, the University
of Botswana, and the Botswana College of Agriculture. The trend is for
Botsgate to offer bandwidth to ISPs who will in turn service both individual
and corporate users. The fact that Botsgate, the Internet backbone, which
services all ISPs, is wholly owned by BTC raises concerns as to whether
there can be fair competition.
Through the use of the Internet, corporate, government, educational institutions,
business and individuals are getting connected to the rest of the world.
For example, at the University of Botswana and its affiliated institutions,
both academic and administrative staff members not only have personal
computers but also have direct links to the Internet and e-mail services
from their desks. Through the Government Computer Bureau, most government
departments and higher institutions have also been connected to the Internet
with ample access provided to staff. Other parastatals such the Bank of
Botswana, Water Utilities Corporation, and BTC are also major users of
the Internet.
Electronic commerce is already a reality in Botswana through the use of
the telephone and credit cards, electronic payment and money transfer
systems and smart cards. Through the Internet and online services, this
has expanded into other areas. In the banking sector, Barclays Bank of
Botswana, the largest bank in the country, now offers telephone banking
while another bank, the Standard Chartered Bank, plans to allow customers
to have access to their account details via the Internet. There is also
extensive use of the Internet in other business sectors.
A number of e-commerce companies have recently been set up. One of them,
E-Biz, is negotiating with utility companies in Botswana so that people
can settle their monthly bills with these companies over the internet,
either from their homes or their offices. Another, Business Advertiser
(Bizad) was also established this year. Bizad offers a wide range of e-commerce
services such as, commerce enablement, security services, secure transportation
and processing of business transactions over the Internet and managing
the electronic transactions process as it flows between customers. It
also operates a business directory, job centre, discussion forum and a
local information page on its website ( http://www.bizad.bw/).
With the 15,000 to 20,000 Internet users and more than 200 local web sites
(excluding personal web pages), e-commerce is likely to expand enormously
in coming years (Eyitayo & Molefe, 2000).
Challenges to full integration into the digital global information system
Many studies have shown the inextricable relationship between economic
development and investment in computing technology. Rising levels of computing
expenditures have been associated with higher levels of economic performance
(Talero & Gaudette, 1996). The large sums of money that the Botswana
Government has spent in the last few years on the latest ICTs may be seen
as recognition of the importance of information and communication and
the desire to enter the digital global economy. In doing so, Botswana
has significantly overcome one of the most fundamental problems that underdeveloped
countries face, that of network infrastructure. Nevertheless, there remain
some quite serious problems that impact negatively on the effective and
efficient use of these resources to keep Botswana within the mainstream
of the digital global economy. These limitations could be summarised as
follows:
1. Although the Botswana Government, the BTC and BTA are well aware of
ICT issues, there is no comprehensive, clearly articulated national strategy
or plan with defined goals for country’s digital economy future.
There is also no co-ordinated national programme to promote the awareness
and effective use of ICTs, particularly within the business sector apart
from some isolated initiatives undertaken by some NGOs (Duncombe, 1998).
The ambitious goals expressed in Vision 2016 remain hopes and aspirations
with no plan or strategy laid down on how they will be achieved.
2. The high investments in ICTs are against a background of paradoxes
and contradictions. In spite of Botswana’s enviable economic record,
it remains a society of glaring inequalities of income and wealth (Good,
1993). The considerable number of poor and uneducated people who cannot
afford the necessary appliances such as computers, modems and voice and
video conferencing equipment mitigates the vision of digital prosperity.
Despite the high Internet connectivity, dial-up charges combined with
telephone costs keep Internet access well beyond the reach of the ordinary
Motswana (citizen of Botswana). If the new ICT drive is to be effective
in meeting the learning-for-development needs of the country, then access
to the necessary tools must be made available on a mass basis as a matter
of public policy.
3. The general IT awareness and literacy within the country is still too
low, especially in the far-flung rural areas. Although a revised National
Policy on Education has placed increased emphasis on technical and vocational
training and broadened the curriculum to include new subjects such as
computer studies, business studies and design and technology, the number
of schools offering these subjects are still too few and there is a critical
shortage of teachers in this area. In fact, only privately owned English
medium schools, accessible only to the children of the rich on account
of their high tuition fees, have computers and do offer some of these
courses.
4. In the business sector, a recent study on the role of ICTs in small
and medium enterprise development in the country recently highlighted
a series of difficulties. One of this was that a large proportion of business
owners are lacking in the necessary ICT skills required to sustain their
businesses within a competitive environment. Some of these business entrepreneurs
were disinclined to spending either time or money on improving on their
ICT skills and would rather depend on informal assistance from family
and friends and advice through business contacts. Even within larger and
more established businesses, the study concluded that there was the lack
of advanced skill and knowledge necessary to appreciate either the requirements
or the possibilities presented by the ICT revolution.
5. On the whole, there is still an awful lot of ignorance about the full
potentials of the new ICTs. For example, since the University of Botswana
supplied all academic staff with personal computers, little has been done
to ensure that they are computer literate and can exploit to the fullest
the opportunities that the free e-mail and access to the Internet provides.
Future prospects
Botswana has most of what it needs to become fully integrated into the
digital global economy - the financial means to invest in ICTs, abundant
mineral resources, political stability, and an open, democratic and accountable
public institutions. Its vision for the future promises that by 2016,
‘the people of Botswana will be able to use and apply the potential
of computer equipment in many aspects of everyday life’ and that
the country ‘ will have sought and acquired the best available information
technology and have become a regional leader in the production and dissemination
of information’ (Presidential Task Group for a Long Term Vision for
Botswana, 1997). These goals are not too ambitious for a country with
Botswana’s resources.
However, if there is any clear lesson that can be drawn from Botswana’s
short experience with ICTs, it is that heavy investments and development
of a sophisticated telecommunications infrastructure alone cannot help
a country adjust to the information economy without adequate ‘content’
building. The structural planning and adjustments that have to be made
is so profound that nothing can be left to chance or improvisation. Even
the United States, which is noted for its aversion to industrial planning,
is formulating a national strategy for deploying an information infrastructure
(Talero & Gaudette, 1996).
In May 1999 a Department of Commerce Conference was held to review recent
research on the implications of the digital economy and examine the agenda
for future research ( http://www.digitaleconomy.gov/).
The President later directed the National Economic Council, in consultation
with executive branch agencies to analyse the economic impact of the Internet
and e-commerce in the US and internationally and consider new indicators
for the future. The Indian Government set up a National task force in
1998 to work out a national strategy. National strategies that recognise
the importance of information for development have appeared in other countries
such as Turkey, Singapore, Korea, Netherlands, Canada and closer to home,
South Africa and Mauritius.
The digital revolution has only just begun and there is apparently no
limit or any end in sight. Developments are so fast that there is no time
for hesitation or half measures. It is contended that Botswana and all
other underdeveloped countries that have not done so should as a matter
of priority formulate a national plan based on the identified needs and
priorities of the country. This should clearly articulate the short, medium,
and long-term goals of the country and strategies for accomplishing these
goals. There is also need for a study on the potential impact of the Internet
and e-commerce and the best way in which Botswana can maximise its benefits
from integration with the emerging digital global economy. For now, these
remain complex matters that many Batswana see or feel but are yet to fully
understand how to exploit them or lack the means to do so.
The above is a shortened version of a paper given at the International
Conference on ‘E-Work Location in a Digital Economy’, Budapest,
Hungary, 24-25 October 2000.
References
Bizad, wysiwyg://3 http://www.bizad.bw/
Duncombe, R .(1998) The Role of Information and Communication Technology
in Small and Medium Enterprise Development in Botswana. Results of a Pilot
Project. Botswana Institute for Development and Policy Analysis Working
Paper, Gaborone.
E-Biz, H ttp://www.e-biz.co.bw/
Eyitayo,A.O.& Molefe,O.(2000) ‘Botswana: Rapid internet growth
over the last four years. Http:// www.balancing.act-Africa.com/balancing -act30html
Good, K. (1993) ‘At the Ends of the Ladder: Radical Inequality in
Botswana’, Journal of Modern African Studies, 30(1), 127.
Presidential Task Group for a long Term Vision for Botswana, (1997) A
Framework for a long Term Vision for Botswana, Republic of Botswana, Gaborone.
Talero, E. & Gaudette, P. (1996) Harnessing Information for Development
- Proposal for a World Bank Group Strategy. Http://www.worldbank.org/html/fpd/harnessing/index.html
UNDP, (2000) Human Development Report 2000. New York, Oxford University
Press.
Charles Manga Fombad (PhD) is Senior Lecturer in Law at the University
of Botswana. He was Senior Lecturer in Law at the University of Yaoundé
2, Cameroon, 1988-97 in which country he was also Visiting Professor of
Law at the universities of Buea and Dschang. His main areas of research
include media laws, practices and policies, constitutional developments
and good governance.

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