Botswana President Mokgweetsi Masisi has dangled a carrot
to Zimbabwean business tycoon, Strive Masiyiwa, saying his country was the
safest destination for his telecommunications investments.
Speaking at a town hall meeting with young entrepreneurs
alongside Econet founder, Masiyiwa, Masisi said unlike an unnamed African
country were payment to creditors and repatriation of profits to foreign
countries in the currencies of their choice was impossible, Botswana had a
stable economy and enjoyed ease of doing business.
“We are run, not just conveniently, but very well and we
work. We are open and this stability along with our addiction to the rule of
law makes us attractive for spring boarding from Botswana,” Masisi said.
“I will not name the other country, would you rather have
your business headquarters in country X somewhere else in Africa or in
Botswana? In terms of assuring yourself that what you put in the bank is yours
and will be there. In terms of assuring yourself and your creditors that you
will be able to pay them in whatever currency they need to be paid in, so these
advantages should be utilised to the fullest.”
Although the Botswana leader did not mention any country by
name, the advantages, he said his country had over this unnamed country are
challenges Zimbabwe has been battling with such as investors failing to
repatriate their profits due to a chronic shortage of foreign currency.
At the moment, Harare does not have a stable currency of
its own and uses the United States dollar and the temporary RTGS dollars with
Finance minister Mthuli Ncube, saying he expects a local currency within 12
months.
Masiyiwa has spread his investments all over the world and
yesterday announced that he plans to sell shares in Mascom to the public once
he completes the US$300 million purchase of MTN’s stake in Botswana’s largest
mobile operator.
MTN announced in March that it would sell its 53% share in
Mascom after failing to gain management or branding control.
If Masiyiwa completes the deal, he would control 60% of
Mascom, although he would first overcome resistance from 40% shareholder
Botswana Public Officers Pension Fund, the country’s largest pension fund.
“After a few months of negotiating, we reached a deal. I’m
paying them $300 million, which means they have done very well, as they
originally paid less than $70 million,” Masiyiwa said, ahead of a town hall
youth meeting with Masisi in Gaborone on Tuesday.
At the meeting, he promised to create opportunities for
youths and fibre up Botswana by working with young entrepreneurs in the
project.
Mascom was Masiyiwa’s first mobile operation when it
launched a service in 1998, months ahead of the launch of Econet Wireless
Zimbabwe. Masiyiwa says he had, in that original bid for a Botswana licence,
pledged to take Mascom public.
“During our original bid, I told the government of Botswana
that my vision was to take the company public once it was profitable. I wanted
to achieve something which I did in Zimbabwe and sell shares to thousands of
ordinary people. For the last 21 years, I have been unable to fulfil this
promise because my company did not control enough shares. Now I can keep that
promise.”
Masiyiwa is, however, hoping to convince the pension fund
to sell part of its shares – reportedly 10% of its stake – to workers. Newsday
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