- Attributes loss to the delay of Icon building
- Consultancy fees double to P2.7m
The Botswana Innovation Hub whose primary mandate is to develop and operate an integrated Science and Technology Park is running at a deficit of P58 million, this is according to their consolidated annual financial statements for the year that ended 31 March 2018.
According to the annual report, the delay in the completion of the (BIH) Icon Building has negatively impacted on the BIH group financial performance. Construction of the building commenced in August 2014 and was expected to be fully completed in August 2016.
Furthermore, other factors contributing to the organization’s deficit are the employee costs which has increased with P 1.8 million from the 2017 reporting period. Previously, staff costs stood at P25 milion in 2017 but as of 31 March 2018 the costs shot to P27 million.
BIH has also spent over P 1 million on phone calls.
The P 1.1million telephone and fax bill in the 2018 fiscal period was a significant rise from the P 947 428 spent in 2017 reporting period.
As if it is not enough the organization’s consulting and professional fees have increased with over P1.1 million from the P1.5 million spent in 2017 full year to a staggering P2.7 million 2018.
BIH aims to provide innovative ventures and has two subsidiaries in Botswana Innovation Hub Properties and Botswana Innovation Hub Investments. BIH supports start-ups and existing local companies as well as attracts international companies and institutions to develop and grow competitive technology driven and knowledge based businesses.
Meanwhile the Southern Africa Innovation Support (SAIS) has injected P 12 million into Botswana Innovation Hub (BIH), the CEO’s statement on the BIH annual reports reads.
According to the CEO’s statement the money will go towards projects that include those to be delivered by local consortia companies over the next 18 to 24 months. “It is always encouraging when we see our efforts to establish beneficial partnerships bear fruit,” reads the statement.