MABOGO-DINKU MEDIA LAUNCH CEO SPEECH

Ladies and Gentlemen, Good Afternoon

I realise it has been a while we have called you in this form to share with you how as the Agency we are progressing. But I can confirm that nonetheless, we are an organisation in positive progress. At times we need to work on what is worth the news before we call you. I am convinced that today, it is one of those moments.

1. It is worth reminding all at the foremost that; CEDA is an organisation that has been has been in existence for  13 years since 2003
2. It is also worth emphasising that the creation of CEDA was the Government’s response to advance Entrepreneurship development through the provision of financial solutions to SMMEs
3. In a way, CEDA undertakes a developmental role in providing access to funding towards SMMEs
4. We have over time played this role through various solutions and along the way created sustainable businesses whilst strengthening others in existence amidst the challenges inherent within a Development Financial Institutions primarily supporting start-up businesses within the SMME category.
5. As the Agency continuously assesses its impact and product uptake, it came to the realisation that it is experiencing low uptake by micro enterprises.
6. As the Agency is mandated to serve the development of SMME in totality, in order to improve the imbalance or uptake by micro enterprises, we instituted a study to examine all products particularly to micro enterprises with a view to determine the reasons for low uptake and possible solutions to improve the uptake.
7. The Study was concluded last year February, 2015 which conclusively directed towards the need to create a customised microfinance solution for Micro enterprises.
8. Primarily, the study identified that the design of our current requirements to access funding, limit the capacity of micro enterprises to fulfil or meet such requirements.
9. In view of this conclusion, the Agency has since then been developing a microfinance product of which today we are excited to usher you a product ready for the micro enterprises in the form of ,Mabogo-Dinku.

10. Upon conclusion of the development of Mabogo-Dinku, the Agency identified the following five (5) key benefits;
    
    1.  Poverty Alleviation
    2. Financial Inclusion
    3. Economic empowerment
    4. Job Creation
    5. Women and Youth empowerment
    6. Poverty Alleviation;

It has been found that microfinance alleviate poverty by improving the poor`s income and help them to diversify their source of income and also accumulate assets.

Financial Inclusion;

Due to the conventional requirements by Financiers, most micro enterprises are unable to access financial services and therefore without a dedicated microfinace product like Mabogo-Dinku, they remain excluded from the Financial Services system.

Economic Empowerment;

Being financially excluded, deprives one from access to financial solutions and by extension sustenance capacity. Mabogo-Dinku will create a condition that helps the micro entrepreneurs to earn a living and sustain themselves economically

Job Creation;

The engagement of many Batswana in micro enterprises effectively creates employment for them and any other persons they need to undertake the business. These jobs are normally long-lasting as micro enterprises are known to be resilient from negative macro-economic effects as they tend to provide basic day to day needs.

Women and Youth empowerment

Whilst Mabogo-Dinku will be offered across gender, Microfinance products have been found to be effective in uplifting women and youth economically. Mabogo-Dinku will therefore ensure an increase in operating income which is important for women and youth economic empowerment through raising their own capital thereby having a significant control over their lives.

11.Mabogo-Dinku as a microfinance product will be delivered through Group Methodology.

12. Group Methodology provides that as an individual running a micro enterprise, you ought to structurally belong to a group with other individuals operating their own businesses in order to undertake activities that will provide you with conditions to access Mabogo-Dinku.
13. Unlike other CEDA products, the engagement and activities of this product, follow clients where they have chosen to assemble according to their convenience
14.  In order to ensure equitable and dedicated distribution of Mabogo-Dinku, we have put in place a dedicated unit resourced with Microfinance Officers across all our ten (10) offices, to ensure that this service is available in all our offices.
15. Mabogo-Dinku is not just about offering small loans to micro enterprises but it has been designed with unique features enumerated as follows;

• Simplified application documentation – No detailed Business Plan required
• No collateral/ tangible security required
• Shorter turnaround time
• Group mentoring and training support platform
• Encourages savings culture
• Flexible repayments of up to weekly
• Loan repayments done at any Botswana Post Agency across the country or CEDA Offices

16. As the Agency, we launch Mabogo-Dinku with a high-level of confidence that it will provide greater social and economic impact to the many Batswana who work very hard to create income for themselves and sustain the livelihood of their families.
17. We are further gratified with the approach at which Mabogo-Dinku has been designed to inculcate the culture of savings supported with a group system to harness the efforts of men and women bravely waking up almost every day to engage in various trading activities.       
18. Whilst this product will not be a panacea to all the needs of our enterprises at the bottom of the pyramid, Batswana micro enterprises will for the first time experience a relevant product created with them in mind.
19. As I move towards the end of my speech, i wish to sincerely express my gratitude to you the Media fraternity in responding positively to our Media launch invite and wish to emphasize that; the choice of you being the first to be introduced Mabogo-Dinku, emanates from the understanding that you are the critical medium to spread Mabogo-Dinku to all Batswana, for its success.   
20. I will at this point in time hand over to the Chief Operations Officer to narrate to you, the operational details of how this product will be served.

I thank you for your kindest attention.