BOTSWANA HOUSING GUARANTY

Evaluation covers the period 6/1/76-4/30/79 and was based on a review of AID/W and USAID files, project personnel interviews, and site visits. Despite its shortfalls, the project is progressing toward its planned purposes. The project is 2-4 months behind schedule because the European Economic Community (EEC), another project donor, was at first loathe to use South African companies for the water supply contracts. After a costly delay, the EEC relented. Sladden International is 2-3 months late in constructing project road, drainage, and sewerage systems. As a result, self-help plots are incomplete, postponing plot allocations and building material loans. These delays have prevented the allocation of more than $60,000 of $900,000 targeted for building material loans. The designing of schools, health clinics, and commercial centers has just begun. Increased building material costs has pushed housing unit costs beyond authorized loan limits. Another project shortfall is the inability or unwillingness of the Government of Botswana (GOB) to provide enough Batswana to staff its critical senior housing-related positions, lessening the project"s long-term impact upon such institutions. It is recommended that the Implementation Agreement be amended to raise the construction advance, to channel unused infrastructure loan funds into building material loans, and to use building material loans to construct low-cost model houses and sanitation facilities. It is also recommended that the Water Utilities Corporation and its contractors be encouraged to expedite their work; that high priority be given to completing schools, hospitals, and commercial centers; that GOB provide adequate personnel to be trained in shelter management functions; that the Town Treasurer"s staff and accounting procedures be upgraded to improve service charge collection; and that monthly service charges be increased to recover full housing costs and eliminate all housing subsidies.