With the construction industry also seriously affected by the general downturn in the economy, further domestic resources were committed in the financial year 1993/94 for the implementation of labor intensive programs by the Ministry of Lands and Housing through the districts. Significantly contributing to provision of employment and stimulation of the building materials industry, this sector provides much-needed housing as wellas factory and commercial space - literally building the nation.

Construction of the new Tswana Development Corporation offices at the Gaborone showgrounds. Inset: Scaffolding and cladding repair work on Debswana House in Gaborone.

The year under review was characterized by a slowdown in economic activity in the construction industry, a reduction in property values and a readjustment in rental rates. The industrial sales market declined with demand having been curtailed due to a reduction in cash liquidity, a reluctance of the traditional financiers to finance property investment and a continued rise in interest rates. Industrial rentals stabilized, reflecting only a modest increase in demand, while residential values declined significantly, with notable signs of oversupply. The meteoric rise in commercial property values ceased and only marginal increases were evident.

View of residential accomodation in Gaborone West. ->

LAND AND HOUSING

Emphasis in the land and housing sector is focused on cost recovery where appropriate, the targeting od subsidies to better assist those in need, the increased involvement of the private sector in service delivery and obtaining value for money in all expenditures. The Accelerated Land Servicing Program provides Botswana with enhanced access to serviced urban land, whether for residential, commercial or construction contracts worth in excess of P400 million by February 1994. During the Lobatse, Francistown and Kasane/Kazungula.

With respect to the program for self-help housing (SHHA), it has been anticipated that the government would introduce a new legal title in the form of a fixed period state grant instead of the existing certificate of rights. Following completion of the review of the self-help Housing Program in 1992, allocation of SHHA plots resumed early 1993/94, under the fixed period state grant form of tenure. This program for self-help housing is the government's policy for providing site-and-service plots to low income households. Such service includes installation of water-borne sewerage in all new developments, as well as the administrative framework, in order to ensure that the needs and goals of the scheme are met on a sustainable basis. SHHA plots, developed under the Accelerated Land Servicing and Housing Development Program and all serviced with water-borne sewerage, will be sold at affordable prices by incorporating an element of cross-subsidy from the sales of higher income plots. The government will further investigate the possibilities for technical and financial aid to promote access to mortgage finance by low income households.

Two workers on the construction site of the Botswana Telecommunications building.

During 1994/95 feasibility studies will be undertaken in order to develop a rural housing program to suit the specific needs of rural areas. Pilot projects for this program will be undertaken in Tsabong, Mahalapye and Maun during this plan period.

The Botswana Housing Corporation (BHC) has undertaken an intensive restructuring exercise involving both personnel and procedures. A very considerable portion of the housing delivery is now being undertaken by emergent citizen-owned companies, particularly in the Gaborone and Francistown areas (and shortly to be extended to Lobatse and other centers) - during the past year, of the over 1400 housing units under construction or due to be built in Gaborone, Francistown and Selebi-Phikwe, 85 percent will have been contracted to some 40 different citizen contractors, to a total value of over P50 million. Comparable figures for the 1994/95 period are expected to total approximately 5000 units either commenced or delivered.

Road construction taking place with grader and water truck in the Gaborone area.

As the corporation's housing stock increases, so does the liability to undertake its maintenance economically and expediently. Greater emphasis is being given to the development of the local private sector, and the entire organizational structure of this activity center is being revamped, with much of the routine maintenance contracted out to citizen-owned companies. In parallel with the increased importance on localization, the corporation is placing great emphasis on training at all levels in order to further reduce its reliance on expatriate personnel and the use of imported materials and equipment, as well as to improve the efficiency of all BHC's activities and services to the public. Dedicated to a period of considerable growth and development, the Botswana Housing Corporation foresees most particularly the achievement of its real objective - that of increased delivery of better and affordable housing for Botswana.

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