GABORONE, Botswana, December 2019 — Botswana Development Corporation (BDC) has continued to be an economic force in the Botswana financial services sector having delivered impressive returns for the financial year ended 30 June 2019. The Corporation presented its results to stakeholders at Cresta Lodge recently.
“The Corporation’s overall financial performance for the year remained positive and the financial position remains strong with income and asset ratios in good condition. Liquidity and capital ratios also remain robust and supportive of the business drive to deliver on strategic goals. Interest income was the main contributor to overall positive performance reflecting a positive shift in asset structure from equity-based assets to more debt-based assets,” said BDC Acting Managing Director, Moatlhodi Lekaukau.
Key highlights for the financial year ended 30 June 2019 include the following:
- Company Operating Profit ofP277 Million representing a 40% YOY growth
- Growth in net worth of the business by P700 million to a record P2.1 billion, the first time in 49 Years. Total assets and Net worth both experienced a 12% YOY growth owing to increase in investment assets.
- Group total assets showed a16% YOY growth to a record P4.8 billion largely due to strong growth in the value of investment assets
- Disbursed P742 million to new project venturesduring FY19, exceeding the P705 million bold target
- Concluded first major international transaction 1,700 new jobs created in the period.Over 5,000 jobs sustainedacross Group of companies.
- Sustained our investment-grade credit rating of Baa2 / Stable by Moody’s Investors Service during (reaffirmed in September 2019), BDC is the first local company to achieve such a ranking. A key underpin of the issuer rating is the strong company solvency and liquidity position.
Looking ahead, BDC has solidified a bold new direction bed rocked upon maximising long-term value for the shareholder and creating sustainable wealth for future generations by deeply integrating Botswana into the global economy through investments and partnerships. BDC’s strategic ambition overall is to explore ventures that further build and enhance Botswana industries that transform the economy and make high returns contributing towards the Vision 2036 ambition to realise a high-income country standing.
“We are confident to remain profitable into the next financial year where growth will largely be driven by enhancing our portfolio to generate higher returns. BDC will continue to explore both the local and international markets to facilitate our requisite long-term funding requirements and strategic targets to position Botswana’s standing as an investment destination of choice. We are thankful to our staff, clients, partners, our shareholders and wider Stakeholders for their continued support,” concluded Lekaukau.