How Botswana is failing to turn tourism into economic diversification

A new study by Botswana Institute for Development Policy Analysis (BIDPA) has revealed how Botswana is failing to fully exploit tourism as a vehicle for economic diversification despite possessing a wealth of wildlife, natural resources and a reputation for peace and stability.

The study titled The Impact of Economic Growth in Botswana, says Botswana’s tourism industry remains uncompetitive when compared with regional destinations such as Seychelles and Mauritius, raising questions about the country’s ability to use the sector to reduce its long-standing dependence on minerals.

According to the study, Botswana has a significant comparative advantage in tourism, with its game reserves, national parks, wildlife and wetlands providing the foundation for a globally attractive tourism industry.

However, it argues that this potential has not translated into meaningful economic diversification.

‘Botswana’s tourism sector is not competitive compared to other regional countries (e.g. Seychelles and Mauritius), despite the country’s comparative advantage, abundance of wildlife and being peaceful in nature,’ the study says.

It identifies insufficient investment as one of the major factors holding the sector back, arguing that inadequate investment has prevented Botswana’s tourism industry from becoming sufficiently competitive in the global market.

The study contrasts Botswana’s performance with that of Seychelles and Mauritius saying the two countries have made significant investments in tourism, allowing the sector to make a substantial contribution to economic growth.

‘Other regional countries, including Seychelles and Mauritius, have made significant investments in tourism which has resulted in the sector contributing immensely to economic growth,’ the study states.

The findings come as Botswana continues to grapple with the challenge of diversifying an economy heavily dependent on minerals, particularly diamonds.

The study argues that tourism could provide one of the most immediate avenues for diversification because it is labour-intensive and has strong linkages with other sectors of the economy.

It says expanding tourism could create employment, particularly for young people and communities in rural areas, while simultaneously supporting businesses involved in food supply, accommodation, transport, internet services and other local services.

‘Promoting tourism development is considered as a key strategy that can lead to economic upliftment, export diversification and employment creation, further leading to poverty reduction,’ the study says. BIDPA says Botswana needs to significantly improve the quality of infrastructure and services supporting the tourism industry.

It points to housing, accommodation capacity, internet connectivity and roads as among the factors that can determine whether the country is competitive as an international tourism destination.

‘Service quality needs to be encouraged in Botswana’s tourism sector,’ the study says, warning that infrastructure and other supporting services need to meet high standards if Botswana is to compete successfully in the global tourism market.

The study also calls for greater investment in hospitality skills, arguing that Botswana needs a workforce capable of delivering the service standards expected by international tourists.

It recommends product diversification so that Botswana does not rely too heavily on traditional wildlife and safari offerings, while also calling for a clear tourism market strategy.

The study argues that if government is serious about using tourism to drive economic diversification, it must commit more resources to the sector.

‘If the objective of government is to promote economic diversification through tourism, the policy should strengthen and commit more resources to tourism development in order to expand the sector and increase demand for its products,’ it says.

It further calls for a more conducive environment for private-sector investment, arguing that greater investment would help expand the tourism industry and increase its contribution to economic growth and exports.

BIDPA also recommends policies focused on environmental conservation, reducing tourism leakages and empowering citizens to participate more actively in the sector.

The issue of tourism leakages is particularly important because a larger tourism industry does not automatically mean that most of the money generated remains in Botswana. The study argues that policies should ensure greater participation by citizens and local businesses so that tourism revenue circulates more extensively within the domestic economy.

The study concludes that Botswana is well positioned to become a major tourism destination but is failing to fully convert its natural advantages into economic gains.

It argues that developing tourism would not only generate foreign exchange and exports but also stimulate activity across multiple sectors.

‘Tourism also has strong economic linkages with other sectors, therefore, its development will also benefit other sectors, for example, local service providers such as food, internet, accommodation, transport and others,’ the study says.

Govt seeks P85 billion bond ceiling to absorb pension money

Parliament has been asked to raise the ceiling on Botswana’s government bond issuance programme from P55 billion to P85 billion, with Finance Minister Ndaba Gaolathe insisting the increase is about financing flexibility rather than a plan to borrow more.

Gaolathe told legislators that the proposed ceiling should not be interpreted as a borrowing target or an intention to use the full amount. Instead, it would set the maximum value of government securities that may be outstanding at any given time.

The existing programme is nearing its limit, with domestic government securities outstanding at P48.3 billion at the end of March 2026, equivalent to about 88% of the current ceiling.

Government’s financing requirement for 2026/27 is estimated at P26.35 billion, with about P12 billion expected to be raised through domestic bonds. External financing remains important but can involve lengthy negotiations and conditions beyond government’s control.

Gaolathe also pointed to the Retirement Funds Act of 2022, which requires pension funds to increase domestic investment and reduce offshore holdings. The resulting repatriation of pension assets could increase demand for government securities, which provide relatively safe investment instruments while supporting domestic liquidity management.

The bond programme was established in 2004, initially when government was running surpluses, to develop the domestic capital market and provide long-term investment instruments for pension funds. Its ceiling was subsequently increased to P15 billion, P30 billion and P55 billion in 2024.

Gaolathe said reforms including monthly auctions, published borrowing calendars and liability-management operations had strengthened the market and investor demand remained strong.

He stressed that raising the ceiling would not authorise additional government spending. Actual borrowing, he said, would remain determined by the budget, debt management strategy and debt-sustainability framework.

The higher ceiling would therefore give government additional headroom to finance approved priorities without relying excessively on more expensive short-term borrowing.

World Bank Flags Botswana’s Essential Medicines Crisis

The World Bank has warned that Botswana’s public health system is facing a persistent essential medicines crisis. The bank says stockouts are being driven by systemic failures in forecasting, procurement, data management, warehousing and distribution.

The findings are contained in the Botswana Health Public Expenditure Review which paints a picture of a health system receiving relatively high budget allocations but struggling to convert public spending into reliable services for citizens. The report states bluntly that ‘challenges with stockouts of essential medicines in the public sector are a continuing concern.’

According to the World Bank, Central Medical Stores (CMS) tracks the availability of vital, essential and necessary medicines, but all three categories remained below the government’s 97 percent availability target during the three years for which data was available. The World Bank says previous assessments had already shown that CMS order-fill rates had been declining since 2014. The report identifies poor forecasting and quantification caused by poor-quality data, irrational medicine use, including prescribers’ preference for branded medicines, procurement processes that are not aligned with health-sector needs, and inadequate warehousing and distribution capacity.

The World Bank also takes aim at Botswana’s fragmented information management systems, warning that they may fail to provide government with timely, adequate and actionable information.

‘The absence of quality data undermines the ability of government and partners to plan, monitor, and evaluate health performance,’ the report states. The weaknesses extend to monitoring and accountability. The report highlights the lack of regular data-quality audits, inadequate capacity to synthesise and use strategic information and the absence of key structures such as a national monitoring and evaluation plan. District Health Management Teams also lack sufficient personnel dedicated to monitoring and evaluation, while accountability for programme data quality is largely concentrated among national-level programme leaders.

But the medicines crisis is only one symptom of what the World Bank describes as a broader problem of inefficiency in Botswana’s health expenditure. The report says weak budgeting and public financial management arrangements are contributing to poor performance, including weak links between annual work plans and budgets, insufficient decentralisation of spending responsibilities, poor budget execution and weaknesses in information used for planning. The World Bank cites evidence that in 2019 only 14 percent of the Vulnerable Groups Feeding Programme ration reached intended recipients, while in districts with the highest prevalence of moderate and severe underweight, the proportion was estimated to be as low as 7 percent.

Despite relatively high health allocations, Botswana’s public health expenditure is described as inefficient with recurring expenditure consuming 96 percent of total public health spending on average between 2017/18 and 2020/21, leaving development spending crowded out. The report also says spending is heavily skewed towards hospitals, which are generally less cost-effective than primary healthcare, while inadequate investment in medical equipment contributes to referrals to private providers locally and abroad.

Botswana is also spending heavily on private healthcare providers and specialists. Fees paid to private providers accounted for 7 percent of total public health expenditure, rising from about P524 million in 2017/18 to P958 million in 2021/22.The World Bank warns that the concentration of spending within the Ministry of Health further obscures accountability and makes it difficult to track resources against strategic health objectives. The report says the Department of Health Services Management accounted for about 87 percent of Ministry of Health expenditure, effectively creating what it describes as a ‘ministry within a ministry.’

More money, more problems for Rollers

One step forward, two steps back. That is the story of one of Botswana’s most followed football teams Township Rollers as it seeks to build from the ruins of administrations gone by.

Beleaguered by debilitating debts, ‘Popa Popa’ or ‘the Blue Train,’ as the team is affectionately called, seemed to be building steam in the past couple of weeks. In the past few weeks alone, Rollers unveiled sponsorships and partnerships mounting to a couple of millions of Botswana pulas. These put the team in a position to pay some pressing debts and start rebuilding.

One of these debts, which haunted Rollers the most, was the P1.2 million in unpaid dues owed to former coach Abdelaziz Karkache. The debt, which is directly linked to the team’s recent past investor Tendai Sebata and the then team executive committee, led to a FIFA imposed transfer ban for Rollers.

With the team having lost a number of players, mostly first team starters, Rollers had to pay-up to allow for the team to register players. As expected, Rollers duly paid the debt and were preparing to start registering players.

But as the lyrics from one Notorious B.I.G’s ‘mo money, mo problems’ song go, ‘the more money we come across, the more problems we see.’ Now, two other debts and two new FIFA bans have put paid to Rollers plans.

The latest two transfer bans took effect from the 14th July 2026 and 28th August 2026 respectively. They emanate from the unpaid monies owed to two former players, South African forward Thabiso Mokenkoane and Congolese midfielder Ntambwe Wafauna Djo.

And if things continue as they are, more problems may be looming. Another former South African player, Thabo Rakhale, has also reportedly issued Rollers with a letter of demand over unpaid dues. In the demand letter, which came through the Football Union of South Africa, he has given the team ten days to resolve the matter or he also escalates his grievances to FIFA.

With the season already started and transfer bans now in place, Rollers will once again be compelled to pay up. This means dipping more into the already fast depleting pocket for Rollers. Failure to do such will mean the team will play the league season without needed players to compete. Speaking to this publication in the previous interview, team chairman Thapelo ‘Fish’ Pabalinga surmised that ‘these monies could have gone a long way in assisting Rollers prepare for the league.’

‘Unfortunately, whereas other teams are using their monies to build or strengthen to be more competitive, we find ourselves having to pay investor inherited debts. But it is what it is, we have to focus and get the team as ready as it can be for the coming season.’

In a press statement addressing the latest bans, Pabalinga said the team had already ‘engaged the legal representatives’ of the concerned players and is actively ‘working towards settling the outstanding debts.’

Of greater importance, the Rollers chairman says while they cannot wish away their past issues, they must however ‘learn from them and guard against such ever happening again in the future.’

With so many challenges to overcome, Pabalinga and committee will, more than ever before, have to rely on Rollers’ supporters’ backing. Whether it is showing gratitude to sponsors and partners, attending games, buying merchandise or helping in any way possible, supporters will have to be on board if the team is to rise again.

Bank rate held at 5.5%

The Bank of Botswana has kept its Monetary Policy Rate at 5.5 percent, opting against further tightening despite inflation remaining well above the central bank’s target range.

The decision was taken by the Monetary Policy Committee (MPC) on Thursday as inflation fell from 10.7 percent in June to 9.4 percent in July. The rate remains significantly above the Bank’s 3-6 percent medium-term objective.

Bank Governor, Lesego Mosekio said that the reserve bank expects inflation to remain above target until at least the first quarter of 2027, with fuel prices, higher electricity tariffs and related cost pressures identified as the main risks.

For businesses and consumers, the decision means borrowing costs are unlikely to ease quickly. The Bank also maintained the moratorium on commercial banks’ prime lending rates, while keeping the Standing Deposit Facility at 4.5 percent and the Standing Credit Facility at 6.5 percent.

The central bank’s decision comes against a weak domestic economic backdrop. Real GDP grew by just 0.2 percent in the year to March 2026, although the contraction in mining slowed and some non-mining sectors, including manufacturing and agriculture, recovered.

The Ministry of Finance is forecasting stronger growth of 3.1 percent for 2026, supported by an expected recovery in mining and continued expansion in non-mining sectors. The MPC, however, flagged risks ranging from geopolitical tensions and changing trade patterns to livestock disease and climate shocks.

The inflation forecast has been revised down, with the Bank now projecting an average of 7.9 percent for 2026 and 4.9 percent in 2027. The lower forecast is largely attributed to the reduction in domestic fuel prices. The next MPC meetings are scheduled for October 29 and December 3.

BMC slaughters more cattle despite FMD

The Botswana Meat Commission (BMC) has slaughtered significantly more cattle at its Lobatse plant this year despite continued disruption to the livestock sector caused by Foot and Mouth Disease (FMD).

The plant processed 12,378 cattle between January and July 2026, an increase of 6,892 head compared with the same period last year.

The rise comes as restrictions on cattle movement and other disease-control measures continue to disrupt supply chains and limit the movement of livestock in affected areas.

Lobatse Mayor Aron Mosimanegape Ganakgomo said the continued threat of FMD placed greater responsibility on farmers and livestock owners to comply with movement restrictions and cooperate with veterinary authorities. The increase in slaughtering comes as the BMC pushes ahead with several projects at Lobatse, although some remain some distance from completion.

The new cattle entrance is 95 percent complete, while the Meat Value Addition and Secondary Processing Plant is 63 percent complete. The Lobatse Tannery is 89 percent complete and is expected to be commissioned in September.

The projects are intended to expand processing capacity and allow more livestock products to be processed locally. The tannery, for example, could increase the domestic processing of hides, rather than leaving them as a largely unprocessed by-product.

For the beef industry, however, the immediate challenge remains FMD. The government has allocated P97 million towards containing the outbreak, including vaccination and other interventions, while movement restrictions have been imposed in affected areas.

The stronger slaughter numbers at Lobatse therefore come against a difficult operating backdrop. Whether the increase can be sustained will depend partly on the availability of cattle and the extent to which disease-control measures continue to restrict movement.

With Botswana’s beef industry already facing disease and market-access pressures, the performance of the Lobatse plant offers a useful measure of how much activity remains possible under the current constraints.

World Bank questions Botswana’s handling of HIV billions

Botswana’s heavy spending on HIV/AIDS has failed to translate consistently into better health outcomes across the country. This is the finding by the World Bank which raises questions about resource allocation, programme management and the efficiency of the country’s HIV response by Botswana.

The assessment is contained in the World Bank’s Botswana Health Public Expenditure Review. It warns that Botswana’s health system is suffering from low efficiency, with the HIV/AIDS programme providing some of the clearest evidence of weaknesses in the way public resources are converted into health outcomes. According to the report, there is a weak correlation between HIV expenditure at district level and actual results, including HIV awareness, condom use, the proportion of people receiving treatment and HIV prevalence. The World Bank says the findings raise the possibility of inefficiencies and disparities in the implementation of HIV programmes across districts, despite Botswana’s substantial investment in the fight against HIV/AIDS.

‘With higher investment in HIV programs, one would expect greater HIV awareness, more people on treatment, and lower HIV prevalence. However, this link does not seem to hold true across all districts in Botswana,’ the report states. The finding is striking because Botswana has long invested heavily in combating HIV/AIDS making the disconnect between expenditure and outcomes a major concern for policymakers. The World Bank points to Kweneng and Greater Gaborone as examples.

The two districts recorded some of the highest HIV expenditure, yet their performance on key indicators was far from exceptional. The report says they recorded average levels of HIV awareness and treatment coverage, while condom use was among the lowest reported.

The report identifies several possible explanations, including poor resource distribution, differences in programme management effectiveness, varying local health determinants and inconsistencies in data quality. The World Bank also found that Botswana spends more on HIV/AIDS programmes than its regional peers, suggesting significant room to improve efficiency. Evidence from the National AIDS Spending Assessment (NASA), according to the report, shows that Botswana’s spending on key inputs per patient receiving antiretroviral treatment is higher than in countries including Zambia, Mozambique and South Africa. This means Botswana is spending more to achieve outcomes that should warrant closer scrutiny of procurement, treatment protocols and the design of its HIV services. The World Bank recommends examining procurement arrangements for antiretroviral medicines, including the possibility of pooled procurement, reviewing patient testing guidelines and reassessing the HIV/AIDS Basic Services Package.

The report also warns that Botswana’s HIV response remains vulnerable because of its dependence on external funding.In 2019/20, external sources accounted for 37 percent of total HIV/AIDS expenditure, compared with 61 percent from domestic public sources.The United States President’s Emergency Plan for AIDS Relief (PEPFAR) alone accounted for 30 percent, 32 percent and 33 percent of total HIV/AIDS financing in the 2017/18, 2018/19 and 2019/20 financial years respectively.

The World Bank calculates that replacing PEPFAR funding would require Botswana to increase its own expenditure by about 50 thebe for every P1 currently spent on HIV/AIDS. With Botswana facing slower economic growth, fiscal pressures and declining mineral revenues, the report warns that such a burden could prove difficult to sustain.

The World Bank further questions the government’s ability to translate approved HIV/AIDS budgets into actual funding. On average, only 68 percent of the approved HIV/AIDS budget under the Ministry of Health was released during the period reviewed. This compares sharply with the National AIDS and Health Promotion Agency (NAHPA), which received about 96 percent of its allocated funding over the same period. The discrepancy, according to the World Bank, creates serious challenges for effective budget execution and ultimately service delivery. Ironically, despite weak releases, overall HIV/AIDS budget execution averaged 93 percent during the period under review.

The report says NAHPA’s lower execution rate was partly linked to its practice of sub-warranting funds to other implementing organisations, potentially creating inefficiencies where additional funding depends on performance reports.

DCEC – Salakae case entangled in murky web

Fresh information suggests that the Directorate on Corruption and Economic Crime (DCEC) case against former minister Noah Salakae, Tau Grading (Pty) Ltd, its directors and lawyer may be deeply personal as key players with a tangled history collide in court.

It has emerged that the lead investigator in the corruption case acted as a lawyer for the accused persons before joining the DCEC to investigate them.

The revelation is just one strand in an increasingly tangled web of lawyers, politicians, vehicles and alleged favors.

At the heart of the storm is Thabo Malambane, DCEC deputy Director General and attorney.

Malambane is part of the team that investigated corruption allegations against Salakae, Tau Grading founder Rudy Lemcke, Chief Executive Officer (CEO) Hugo Lemcke, Chief Accountant Seby Jose, Permanent Secretary Ken Ketshajwang and lawyer Mompati Sepego.

The state alleges that Tau Grading bribed Salakae with P1.6 million, a Toyota Fortuner, as well as bush clearing services for the award of the P1.5billion Ghanzi-New Xade road construction project.

Before joining DCEC, Malambane allegedly acted as a lawyer for Salakae and Tau Grading.

Malambane was part of the team that investigated allegations that Tau Grading bribed Salakae with a Toyota Fortuner. The allegations followed revelations that Salakae had been using a Fortuner purchased by Tau Grading.

Sunday Standard investigations have uncovered another intriguing vehicle link, suggesting that Malambane also benefited from a similar favour by Tau Grading.

A few weeks before joining the DCEC, Malambane drove around in a Toyota Hilux double cab bearing registration B111BPD.

A Sunday Standard ownership search with the Department of Road Transport and Safety (DRTS) revealed that the car is registered under Maun Quarries.

A further CIPA search revealed that Maun Quarries shareholders are Christian Rudolf Lemcke and Hugo Johannes Lemcke.

The cross directorship between Maun Quaries and Tau Grading suggests that the two are sister companies.

In another curious development, it emerged that around the time Tau Grading allegedly allowed Salakae to use its Toyota Fortuner in the run up to the 2024 parliamentary elections, the company also provided his political opponent, BDP candidate John Thite with a Toyota Hi-lux twin cab.

Both men were competing for the same parliamentary seat. Both benefited from vehicles provided by Tau Grading. Among those who backed Salakae’s candidacy was Malambane.

Whatever happened between Salakae, Tau Grading and Malambane is now the subject of fierce speculation. But one thing is beyond doubt, the relationship has turned bitter. In Parliament last week, Salakae launched a blistering attack on what he called ‘ a notorious senior officer’ at DCEC. He accused the officer of sponsoring corruption allegations against him. Then came another broadside. At a kgotla meeting in Ghanzi, Salakae made reference to ‘ the young officer from DCEC’ and vowed to take him on in court,

The extraordinary public confrontation has transformed what might otherwise have been a straightforward corruption investigation into a much wider controversy.

On Friday, the controversy branched off into a political scene as the Broadhurst Magistrates Court was packed to the rafters by two busloads of Salakae’s political supporters.

Hundreds of supporters who drove the more than 600km overnight from Ghanzi arrived in court Friday morning wearing T-shirts emblazoned with Salakae’S face on the front and ‘ eseng mogo Salaka’ (Don’t touch Salakae) written across the back. The dramatic show of support suggested the corruption case hsas already become deeply political.

All the key players in what promises to be a brutal marathon trial share a deeply entangled history.

THE 2013 MURDER CASE

In February 2013, while he was still Principal Magistrate in Ghanzi, Malambane sparked a national outcry when he granted unconditional bail to two murder suspects-Tshiamo Kalalelo and Mmika Mpe-less than 14 days after they were arrested for the gruesome murder, robbery and rape of their employer, Johanna Reinette Vorster.

Hours after Malambane granted them bail, the two accused were re-arrested in a separate stock theft case.

In protest, Malambane demanded answers why the matter was secretly moved from his docket in Ghanzi to a court in Gaborone without his consent. Viewing this as administrative overreach and an assault on his judicial independence, Malambane boycotted all cases before his court until he received an explanation.

He was subsequently summarily dismissed from the bench for gross misconduct and insubordination after he refused an order from the Acting Chief Justice to resume his judicial duties. He unsuccessfully challenged his dismissal at the Court of Appeal (CoA) in 2021.

Incidentally, attorney Charles Tlagae, who is part of the current Tau Grading defence team, was the family lawyer for the slain Reinett Vorster and her husband Leon Vorster at the time.

THE TAU GRADING CONNECTION

After his dismissal from the judiciary, Malambane stayed in Ghanzi and continued to practice as a private lawyer. Sunday Standard is informed that Tau Grading was one of his major clients over the years. Tau Grading employees have indicated that Malambane has represented the company as a lawyer.

SALAKAE and TAU GRADING

The relationship between Salakae and Tau Grading dates back to 2013, when current General Manager John Motsumi introduced him to Head of Finance Jose Seby.

Motsumi would then become Salakae’s Campaign Manager in the 2014 general elections, which he successfully contested against then Member of Parliament (MP) Johnny Swartz.

Salake lost to John Thiite by only 176 votes in 2019. At the time, both candidates maintained a close relationship with Tau Grading and continued to enjoy its support.

In October 2024, just two weeks before the general elections, Tau Grading borrowed Salakae a Toyota Fortuner for use during his elections campaign. The same courtesy was extended to his opponent, John Thiite, who was also lent a Toyota Hilux Double.

However, sources have indicated that Salakae returned the Fortuner to Tau Grading in September 2025.

THE BNF WINDFALL

Salakae’s prosecution is widely viewed as a continuation of the factional fights within the ruling Botswana National Front (BNF). The Ghanzi North MP is regarded as a fierce critic of some close allies of President Duma Boko. Reference is routinely made to Salakae’s explosive letter announcing his resignation from the BNF Central Committee, in which he alleged that the party was run by Boko’s bodyguards. Meanwhile, Salakae’s loyalists shot salvos at the BNF leadership during the Monday kgotla meeting. Councillor Soso Saidoo has been summoned for a disciplinary hearing after he publicly declared that the charges against Salakae were fueled by internal party politics and described BNF Vice President Moeti Mohwasa as ‘evil.’

Sunday Standard is informed that the BNF is also a beneficiary of Tau Grading’s benevolence. Party insiders have revealed that Tau Grading paid for over 20 buses to transport activists to the party national congress in Palapye and further paid for transport (10 buses) and food (P100,000) at the BNF national conference in Jwaneng. However, Tau Grading General Manager John Motsumi has denied any knowledge of such funding.

‘I am not aware of any funding of that nature from Tau Grading to BNF,’ he said in response to questions from Sunday Standard.

I Know What You Did Last Summer

In politics, yesterday’s executioner can become tomorrow’s accused. That is what makes the possible addition of former minister and Permanent Secretary to the President Eric Molale to the Noah Salakae corruption case so politically intriguing.

On the surface, it is another corruption prosecution involving a multibillion-pula government tender. Beneath that, however, lies a story stretching back more than a decade, a story involving a dismissal letter, a defiant magistrate and the long memory of Botswana’s public institutions.

Today, Salakae and several co-accused stand before the courts over allegations linked to the P1.5 billion Ghanzi-New Xade road project. Prosecutors allege that Tau Grading and its officials offered Salakae a P1.6 million cash bribe, a Toyota Fortuner and bush-clearing services in exchange for influence over the award of the contract. The allegations remain untested in court and all accused persons are presumed innocent.

The case has already become politically charged. Salakae has publicly accused a senior DCEC official of pursuing him for personal reasons and later directed his criticism at Deputy Director Thabo Malambane, a former magistrate who rose through private legal practice to become one of the most senior anti-corruption investigators.

Yet if Molale is ultimately added to the charge sheet, the spotlight may shift from Salakae’s allegations to a far older chapter.

For it was Molale who signed the letter that ended Malambane’s judicial career. The story begins in Ghanzi in 2013. Then Principal Magistrate Thabo Malambane found himself at the centre of national controversy after granting unconditional bail to two men accused of the murder of Ghanzi farmer Reinett Vorster. The decision provoked outrage. Matters escalated when the suspects were subsequently re-arrested on separate charges and a related case was transferred from Ghanzi to Gaborone without Malambane’s approval. Viewing the move as interference with judicial independence, he boycotted court proceedings and demanded answers from his superiors.

The standoff ended badly. The Acting Chief Justice ordered him to return to work. Malambane refused. The dispute quickly evolved from a disagreement over judicial independence into a confrontation over authority itself. Government concluded that Malambane’s conduct amounted to insubordination.

On April 2, 2014, President Ian Khama decided to dismiss him. The man tasked with delivering the decision was Erik Molale. In a letter signed in his capacity as Permanent Secretary to the President, Molale informed Malambane that Khama had considered his explanations and determined that his refusal to obey a lawful order constituted gross misconduct justifying summary dismissal. The letter ended Malambane’s career on the bench with immediate effect.

At the time, few would have imagined that the paths of the two men would cross again in such dramatic fashion. Malambane remained in Ghanzi after his dismissal and established himself as a private attorney. Years later he would re-emerge in public service, joining the Directorate on Corruption and Economic Crime and eventually rising to become deputy director.

Molale, meanwhile, went on to become a cabinet minister before retiring from public service.

Now fate appears to have brought them back into the same story. The corruption investigation that has engulfed Salakae and Tau Grading originated within the DCEC before being handed to the Directorate of Public Prosecutions. The prosecution recently informed the court that another suspect is expected to be added to the case. Sources indicate that person is likely to be Molale.

Whether Molale is eventually charged, and whether any charge can be sustained, remains a matter for the prosecution and ultimately the courts. The evidence, not history, will determine guilt or innocence. Salakae’s supporters have sought to portray the case as a product of personal vendettas. So far, they have offered no evidence linking the charges to the alleged personal differences between Malambane and the accused persons.

Yet the symbolism surrounding Molale and Malambane is impossible to ignore. Twelve summers ago, one man signed a letter ending the other’s career. Today, the man who received that letter occupies a senior position in the institution whose investigation may help place the retired former Permanent Secretary and cabinet minister before a criminal court. Is Malambane finally having his revenge?

Business confidence remains weak

Botswana’s business community expects the economy to recover modestly this year, but the outlook remains clouded by weak demand, constrained government spending and high financing costs.

The Bank of Botswana’s June Business Expectations Survey shows firms expect national output to expand by 2.1 percent in 2026, following a 0.7 percent contraction in 2025. Growth of 1.3 percent is expected in the second quarter and 1.8 percent in the third quarter.

Despite the expected recovery, businesses remain cautious about near-term conditions. Firms in construction and real estate, finance, retail, accommodation, transport and communication, and manufacturing were pessimistic about the second quarter.

The concerns extend into the third quarter, with pessimism reported among retail, accommodation, transport and communication, construction and real estate, and agriculture firms. Mining and quarrying businesses were neutral.

The survey points to Botswana’s weak fiscal position as an important drag on activity. Lower government revenue, partly linked to weaker diamond export earnings, has constrained cash flows and limited government spending. Businesses also cited the exchange rate as a concern because of the economy’s heavy reliance on imported inputs.

Cost of finance was identified as the biggest factor hurting business operations during the second quarter. High borrowing costs, collateral requirements and cautious bank lending were cited as constraints. Some firms are responding by relying more heavily on retained earnings: their share rose to 53 percent from 50 percent in the previous quarter, while preference for loans fell from 43 percent to 28 percent.

The outlook improves further ahead. Firms are optimistic about conditions over the 12 months to June 2027, particularly in manufacturing, construction and real estate, retail and related services.

Export-oriented firms are already more positive, suggesting the weaker pula may be improving their competitiveness. Overall, the survey presents a recovery that remains tentative.