The role of small, micro and medium enterprises in employment creation in Botswana: the case of Gaborone

Abstract

This study examines the contributions of SMMEs to employment creation in Botswana, specifically in Gaborone. My own data survey of October/November (2010) and secondary data have been used. It has been revealed that SMME indeed contribute significantly to the employment of the urban population of Gaborone and this helps in the reduction of poverty, unemployment, crime reduction and also to improve government revenue, gross domestic product and the general well being of a society hence overly economic development. Since Gaborone is the major city in Botswana and forms the proxy of the role of SMMEs in employment creation in Botswana. The policy implications and recommendations are as follows. With the realisation of the fact that SMMEs contribute significantly to employment creation, there is need to provide a conducive environment that ensures the growth of SMMEs in the country. To ensure the growth of SMMEs, there is need to develop the culture of entrepreneurship in the nation, business owners also need training on management issues and the monitoring of such programmes is critical SMMEs because of their small sizes, cannot win in the competitive environment in which they operate, they are therefore encouraged to form cooperative groups and pool resources together and work together, to make stronger units that can compete efficiently on the global market.