Household lending drops P2 Billion as borrowing costs stay high

Botswana’s commercial banks recorded a P2 billion decline in household lending in May 2026, reflecting the ongoing pressure of elevated borrowing costs. According to the latest Botswana Economic and Financial Statistics report from Bank Botswana, total annual bank lending fell by 0.2 percent in May, a sharp contrast to the 2.5 percent growth seen in January. The household sector was the primary driver of this downturn. Lending to households dropped 3.6 percent to P55 billion...

Botswana’s mining FDI hit P47.8B in 2024

Foreign direct investment (FDI) in Botswana’s mining sector surged to P47.8 billion in 2024, marking a P15 billion increase from the previous year, according to an update from the Bank of Botswana. The mining sector dominated FDI inflows, accounting for 48.8 percent of the country’s total investment, up from 37.5 percent in 2023, highlighting its growing appeal to investors. The wholesale and retail trade sector ranked as the second-largest recipient, drawing P25.8 billion in FDI....

Botswana’s export earnings drop by P5.4 Billion in early 2026

Botswana is facing challenges in sustaining its export recovery, with new data revealing a P5.4 billion decline in export earnings during the first five months of 2026. According to figures released last week by Statistics Botswana, the government’s official statistics agency, export revenues totaled P25.6 billion between January and May 2026. This marks a 17.3 percent decrease, P5.4 billion less, compared to the P31 billion recorded during the same period in 2025. Diamonds accounted for...

Fixed investment weakness threatens Botswana’s economic recovery in 2026

Botswana’s investment in fixed assets, including infrastructure, transport equipment, and plant machinery, fell sharply in the first quarter of 2026, raising concerns about the pace of the country’s economic rebound. According to the latest figures from Statistics Botswana, fixed asset investment dropped by P1.2 billion, from P11.6 billion in the first quarter of 2025 to P10.4 billion in the same period this year. A closer look at the data reveals that spending on plant machinery...

Power import bill may ease as local electricity supply strengthens

Botswana’s costly reliance on imported electricity could ease this year, thanks to a boost in power generated locally during the first quarter of 2026. For years, the country’s heavy dependence on power imports, largely driven by ongoing issues at the Morupule B Power Plant, has pushed Botswana’s import bill to steep heights. In 2024, the nation spent more than P1.7 billion on electricity imports and was projected to shell out around P2.32 billion in the...

Fiscal challenges set to deepen as the cost of Gov’t debt climbs

Botswana is facing growing fiscal pressures, with worries mounting that the cost of servicing government debt could spike this year. The culprits? A weakening Pula and rising interest rates. Recent figures from the Bank of Botswana reveal some positive signs in the government’s finances during the first 11 months of the 2025/2026 financial year (April 2025 – March 2026). Government revenues hit P63.23 billion, up by P4.19 billion from the P59.02 billion recorded in the...

Botswana’s new solar project targets export markets

Shumba Energy Limited, a company listed on the Botswana Stock Exchange, has officially begun construction on a major solar power plant poised to supply electricity domestically and export energy across Southern Africa. The Tati Solar project, a 100-megawatt solar photovoltaic facility, is set on roughly 160 hectares near Francistown and aims to enter commercial operation by 2027. According to a recent market update from the Botswana Stock Exchange, Shumba Energy holds a 75 percent stake...

BSE reports profit growth to P20.6 Million

The Botswana Stock Exchange (BSE), a government-owned regulator, has announced an improved financial performance for the year 2025, recording revenues of P78.8 million and a profit after tax of P20.6 million. Among state-owned enterprises, the BSE stood out as one of the few that remained profitable last year. It declared dividends of P2.5 million and is now focused on executing a new strategy aimed at increasing its revenue tenfold by 2030. The exchange’s revenue rose...