There is a school of
thought that posits that before an economy can transform from being factor
driven to an innovation driven economy, it has to pass through not only an
industrialization phase but also the second stage of an efficient economy that
endeavors to eliminate waste or perform better with less costs. Khumoetsile
Kgosidialwa argues that, “Botswana seems to be way ahead of itself and somehow
forgetting that the country is a factor driven economy that needs to encourage
efficient use of scarce resources before it becomes an innovative economy.”
He contends that, “Botswana
cannot be in a position to become an innovation hub before it eliminates
unnecessary bureaucracies that create waste and renders the economy
inefficient. Fortunately, Botswana’s challenge is not money but how money is
used to transform the economy, create jobs and eradicate poverty.”
The counter argument
to the linear approach to a knowledge-based economy observes that innovation
itself entails efficient and effective use of resources. Proponents point to
the Tiger Economies as examples of economies that leapfrogged the industrial
stage of development in their transition to knowledge-based economies. The
trajectory of Ireland’s economic development is used to illustrate how the
Celtic Tiger transitioned from an agrarian economy to a modern knowledge-based
economy in just over half a century.
Contemporary thought
asserts that the old economy paradigm of efficient resource accumulation only
will not suffice and may even fail. Instead, intangible assets like human
resources and intellectual capital are outstripping traditional assets such as
land and labour as the dominant drivers of
growth.
Back home, Botswana managed
to defy convention and beat the odds, going against popular post-independent African
trends. The country averted the African resource
curse following the discovery of diamonds and transformed itself from one of
the poorest countries in Africa to become a development success story.
However, The World
Bank report of 2016 states that, “In contrast to the country’s impressive
economic growth, good governance and prudent macroeconomic and fiscal
management, the country faces high levels of poverty and inequality as well as
low human development indicators.”
The slowdown in overseas
economies, particularly Asia, has resulted in low commodity prices and a
daunting forecast that mineral revenue will continue to decline substantially
over the next two decades. The outlook for commodity prices is arguably the
worst it has been since the 2008 global economic meltdown, and China’s slow
recovery and soaring input costs for domestic commodity extracts is not helping
matters.
In an effort to
diversify the economy and create a knowledge-based economy, the Government of
Botswana established new institutions such as Botswana Innovation Hub, Botswana
Institute of Technology Research and Innovation (BITRI), Botswana International
University of Science and Technology (BUIST) and the University of Botswana’s
new teaching Hospital to promote research, technology transfer and innovation.
Botswana Innovation
Hub has been set up as an innovative and networked organisation that promotes technology,
entrepreneurship and commercialisation on a purpose built Science and
Technology Park which will contribute towards
diversifying the economy and transitioning to a knowledge-based economy. In
growing the national innovation ecosystem, the company in collaboration with the Ministry of Infrastructure,
Science and Technology and the African Innovation Foundation (AIF) hosted the
Innovation Prize for Africa (IPA) 2016 at the Gaborone International Convention
Centre (GICC) in June, 2016.
The IPA is a
flagship program of the AIF which recognizes, rewards and mobilizes African
innovators through promotion of home-grown, market-driven solutions that address
intractable challenges in agriculture, health and well-being, manufacturing and
service industry, ICT’s and environment, energy and water.
“Hosting the award ceremony and celebrating African ingenuity in Gaborone
afforded Botswana the opportunity to showcase its commitment to putting
innovation at the center of its development strategy,” said Minister of
Infrastructure, Science and Technology, Honorable Nonofo Molefhi.
For his part Botswana Innovation Hub CEO Alan Boshwaen said, “Batswana
innovators will benefit from the networks, cooperation, collaborations and
business opportunities that have been presented by IPA 2016. The awareness,
exposure and confidence to participate in the continental competition will
embolden local innovators and foster the national innovation ecosystem for
years to come.”
Cluster Development Director at Botswana Innovation Hub, Dr Budzanani
Tacheba said, “One of the important pre-conditions for the development of the
knowledge-based economy is local, regional and international cooperation, IPA
2016 has brought together the right partners around opportunities for impact.”
He went on to say that worldwide, Research and Development do not receive
sufficient funding and hosting the IPA
2016 demonstrated the importance to invest in R&D. “Research burns money to
produce knowledge and businesses use the knowledge to make money,” he said.
In his keynote
address at the prestigious award ceremony, His Excellency the President Lt.
Gen. Dr. Seretse Khama Ian Khama said, “We should mark the beginning of a new
era, in which we embrace knowledge and rewarding of innovation towards national
competitiveness.” The President emphasized that the legacy of the IPA 2016 will
be the enhancement of the national innovation ecosystem.
