Botswana Stock Exchange (BSE) mentored Small and Medium Enterprises (BSE) through Tshipidi SMEs Board are showing resilience in the midst of economic hurdles presented by Covid-19 crisis.
Some of the local SMEs businesses that graduated from Tshipidi programme during the BSE July opening bell ceremony on Monday shared their businesses insights with backing from Tshipidi.
BSE CEO Thapelo Tsheole said the stock exchange has found it fit to rope in the SMEs into the Tshipidi board so as to capacitate the businesses as they find it hard to survive in the markets.
“The objective of Tshipidi mentorship programme is to provide practical training through a comprehensive and interactive programme that covers the key themes necessary to prepare and position a company to list on the BSE,” Tsheole said, stressing that the BSE will continue help SMEs.
Commenting on the market data Tsheole said equity market performance for period of January 3 to June 2020 total turnover stands at P363 million while the average daily turnover is P2.9 million.
Sharing his business insights, Director of Homec Investments Percy Raditladi said the huge rise in sales was recognised due to closure of the borders amid Covid-19 as local demand picked.
Raditladi said with the mentorship the business received from Tshipidi played a crucial role in maintaining business stability, adding that massive investments were made for online channels.
Tecla Evans-Mokone, founder of Glam collections – local manufacturer of home textiles – hailed the BSE for the mentorship, noting that mask production reserved for local businesses is profitable.
She also revealed that production capacity increased as closure of the borders boosted the consumption of manufactured goods though access to raw materials still remained a hindering block.
“We import the raw materials from as far as Pakistan and have been stuck in transit because of restriction in travel due to Covid-19. Textile sector is heavily impacted by the pandemic but with the help of the BSE we are managing to traverse through this crisis as we are still strong,” she said.
For his part, the Managing Director and founder of Earth vitamins, Thabo Molefe said the BSE Tshipidi programme assisted his company in financial management hence they still remain capitalised.
Economic blows
According to economic specialist and Credit Manager at BancABC, Pako Moshaga Covid-19 has dealt a blow to all levels of the business with the local SME sector also feeling the economic blow.
He said while government’s efforts to assist SMEs through LEA are well noted, they are skewed towards responding to crisis and show that there is need for up-skilling the business operators.
“SMEs need to be skilled and informed enough to be able to reasonably and independently keep their business afloat. While LEA is providing great coaching and mentoring services that speak to how one can run a profitable operation, bringing an enhanced risk element in the coaching would be beneficial,” Moshaga underscored; applauding BSE for its stern efforts of capacitating the SMEs.
He asserted that government’s intervention is critical; calling for a robust multi-prolonged approach. He said businesses that survive are those that can adapt in the face of challenging economic situations.