Botswana has launched construction of a P25.5 billion mixed-use development near Sir Seretse Khama International Airport, marking one of the country’s largest private-sector-led investments as authorities seek new sources of growth beyond diamonds.
Dubbed New Botswana City, the project is being developed through a partnership between Botswana Development Corporation (BDC) and UAE-based ALBADDAD Holding. The development’s estimated cost is equivalent to roughly 10 percent of Botswana’s 2024 gross domestic product, underscoring the scale of the bet being placed on trade, tourism and business services as future growth drivers.
The project will be anchored by a 124,000-square-metre exhibition and convention centre, which developers say will position Botswana as a regional destination for conferences, trade exhibitions and business tourism. Plans also include commercial districts, hotels, residential developments and retail facilities.
The investment comes at a time when Botswana is grappling with the economic fallout from weak diamond demand, which has hit export earnings, government revenues and economic growth. Officials increasingly view diversification as critical to reducing the country’s dependence on mining.
BDC’s contribution to the project is land within the airport special economic zone. In return, the state-owned investment agency will receive a ring-fenced five percent equity stake, allowing government participation without assuming the full financing burden of the development.
The developers estimate the project could support between 14,000 and 21,000 jobs during construction and up to 37,500 direct and indirect jobs once fully operational.
The development is expected to support Botswana’s competitiveness under the African Continental Free Trade Area by providing a trusted platform for trade conversations, investment delegations, exhibitions,
conventions and business tourism. Regionally, it strengthens the case for Botswana as a serious SADC trade, business tourism and investment platform, with supporting demand for transport, logistics and local supply chains.