Finance Insights with Tshoganetso

In its 2025 Macro Poverty Outlook, the World Bank warns that Botswana may breach its debt ceiling if fiscal deficits persist. Discover the causes, risks, and what it means for the economy. Botswana’s Debt Alarm Bells Are Ringing In its Macro Poverty Outlook 2025 , the World Bank has issued a sobering warning : "Unless fiscal deficits are reduced, there is a risk that the debt limit may be breached." This caution comes at a time when Botswana has secured two significant loans P4.1 billion from the African Development Bank (AfDB) and P3 billion from the Botswana Public Officers Pension Fund (BPOPF)  raising questions about the sustainability of the nation’s fiscal path. This development is not just another economic headline; it holds serious implications for the country’s macroeconomic stability, creditworthiness, and long-term development goals. What Is Botswana’s Debt Ceiling and Why Does It Matter? Understanding the Debt Ceiling Botswana’s debt ceiling is essentia...

Explore how Botswana’s labour laws may be limiting youth employment opportunities. Featuring expert insights, policy analysis, and reform recommendations. A Generation Left Behind Botswana’s youth are more educated than ever before but also more unemployed. With youth unemployment rising to  34.4% in 2023 , compared to a national average of 25.9%  1 , many are asking:  Are Botswana’s labour laws helping or hurting youth employment opportunities? Understanding Botswana’s Labour Laws A Framework Built for Stability, Not Flexibility Botswana’s labour laws are designed to protect workers’ rights and promote fair employment. However, critics argue that these laws are  rigid, outdated , and  ill-suited to the modern economy . “The current labour framework was built for a different era,” says  Neo Dimbungu , a development economist at the University of Botswana. “It prioritizes job security over job creation, which is problematic in a country with high youth unemp...

Discover why Botswana's graduates are still jobless despite increasing education levels. Explore the deep-rooted skills mismatch crisis and expert insights on how to fix it. A Paradox in Progress Botswana, a nation that has invested heavily in education since independence, is facing an ironic challenge: thousands of graduates are still jobless. Despite academic qualifications, young Batswana are struggling to find work. The core issue? A persistent and widening skills mismatch crisis in Botswana . According to recent labor force surveys, youth unemployment stands at over 36%, with graduates comprising a significant proportion. As the country strives to diversify its economy beyond diamonds, this disconnect between education and employment threatens long-term development. What Is a Skills Mismatch? A skills mismatch occurs when the skills possessed by workers (or graduates) do not align with the needs of employers. In Botswana, this mismatch manifests in three main forms: Vertical ...

Explore whether Botswana’s 2024/2025 budget truly serves the people or primarily benefits politicians. Featuring expert quotes, budget analysis, and reform suggestions. Budgeting for Whom? Botswana’s 2024/2025 national budget has been hailed as “transformational” by government officials. But many citizens and economists are asking a more critical question:  Is Botswana’s budget serving politicians or the people? With a 23.5% increase in spending and billions allocated to “Game-Changing Programmes,” the stakes are high. But so is public scepticism. Inside the 2024/2025 Budget: Priorities and Pitfalls Where the Money Is Going According to the Ministry of Finance  1 , the budget includes: P20.82 billion  for strategic investments P5.43 billion  for water and sanitation P3.71 billion  for roads and rail P2.63 billion  for food security P1.1 billion  for research and innovation “The numbers look impressive, but the real question is: who benefits?” asks...

Discover how Botswana can build a future-proof economy for the next generation through diversification, innovation, and inclusive growth. Featuring expert insights and actionable strategies. Botswana at a Turning Point Botswana, once one of Africa’s fastest-growing economies, is now grappling with slowing growth, rising inequality, and overdependence on diamonds. As the country faces a 3.1% economic contraction in 2024  1 , the question becomes urgent:  How can Botswana build a future-proof economy for the next generation? The Middle-Income Trap: A Warning Sign Botswana’s economic growth has slowed from over 7% annually in the early 2000s to just 3% in recent years  1 . The country appears to be caught in the  middle-income trap , where growth stagnates due to limited diversification and declining productivity. “Botswana’s economy has become less efficient over the past decade,” notes a recent World Bank report. “To escape the trap, the country needs sustained produc...