Govt seeks P3.1 billion in August debt auction

The government plans to raise P3.1 billion from the domestic market on 28 August, continuing its heavy reliance on monthly debt auctions to finance the budget deficit.

The Bank of Botswana will conduct the auction on behalf of the Ministry of Finance under the existing P55 billion domestic note programme. The offering comprises P1.5 billion in three-month Treasury bills maturing on 2 December 2026, P1 billion in six-month bills maturing on 3 March 2027, and P600 million in reopened longer-term government bonds.

Treasury bills are short-term government securities issued at a discount and redeemed at face value on maturity, typically used for cash-flow management and refinancing. Bonds are longer-term instruments that pay periodic interest and are used to fund more structural budget needs.

The August sale follows a series of large auctions since the start of the 2026/27 financial year on 1 April. Government offered P3.9 billion in April, P3.8 billion in May, P2.8 billion in June and a record P5.1 billion in July, bringing total amounts offered in the first four months of the fiscal year to about P15.6 billion.

Borrowing costs have eased in recent months. The weighted average yield on three-month Treasury bills fell from 10.71 percent in April to 7.58 percent in the July auction, the fourth consecutive decline. Investor demand has remained strong, with bids regularly exceeding the amounts on offer by about three times.

The continued issuance comes against a projected P26.35 billion budget deficit for 2026/27, equivalent to 8.9 percent of GDP. Domestic government securities – comprising Treasury bills and bonds – stood at P48.3 billion at the end of March 2026, equivalent to about 88 percent of the current P55 billion domestic note programme ceiling. Public and publicly guaranteed debt reached P92.7 billion over the same period. Authorities have already raised the statutory debt ceiling from 40 percent to 60 percent of GDP, and the Ministry of Finance is now seeking parliamentary approval to increase the domestic note programme ceiling from P55 billion to P85 billion to create additional borrowing headroom.

’Turn Moshupa Stadium Into a Sports Hub’ – Kelebeng

Sport Minister Jacob Kelebeng has challenged residents of Moshupa to turn their newly opened community stadium into a busy centre for sport, talent development and fitness.

He said the facility must not become another public project that is neglected after opening. Kelebeng made the call on Thursday when officially opening the Moshupa Community Stadium. Kelebeng said the opening was not the end of the project, but the beginning of a bigger responsibility for the community. He said the stadium must be used to develop young players, support local clubs, host school sport and give residents a place to exercise and keep fit.

‘This stadium is a new home ground for our local clubs,’ he said. The facility is the first to be completed under Government’s Community Stadia Development Programme, which aims to improve sports infrastructure at district level. Kelebeng said the programme was designed to give communities access to safe and quality sporting facilities, adding that another 10 community stadiums are earmarked for construction under National Development Plan 12.

For Moshupa, the new stadium comes with a FIFA-standard artificial football pitch, multi-sport courts, dressing rooms, kiosks, public ablution facilities, a gravel athletics track and a covered mini-grandstand with 306 seats.

The facility is a major addition to the district’s sporting infrastructure. Kelebeng said its future would depend heavily on how it is managed. He warned against the common practice of building public facilities and later allowing them to deteriorate because of poor maintenance. ‘Deferring small repairs today creates massive costs tomorrow,’ he warned.

Meanwhile, the Minister called on the Moshupa District leadership, sports organisations, clubs and residents to take ownership of the facility and ensure it remains in good condition. He also wants the stadium to have a full sporting calendar, including intra-district competitions, sports festivals, school programmes and community fitness activities.

Kelebeng said the facility should also become a starting point for coaches, administrators and technical officials working to develop the next generation of athletes.

He directed the Department of Sport and Recreation to work with sports agencies and national federations to introduce sport development programmes at the stadium.

The Minister said Government’s responsibility was to create an enabling environment, but the community had a major role to play in making the investment worthwhile.

He thanked the Moshupa District Council, local authorities and residents for supporting the project and making land available. ‘The facility belongs to all of you,’ he said.

With the stadium now officially open, Kelebeng’s message is clear: Moshupa must use the facility, protect it and turn it into a centre for developing the next generation of sporting talent.

San community seeks Commissioner’s intervention over ‘Police brutality’

Botswana Khweedom Council, an organization that advocates for Basarwa rights in the country has engaged Botswana Police Commissioner Dinah Marathe on what it deems as perpetual victimization and brutality from police officers.

This comes on the backdrop of a recent case where Baleki Kelentse, a middle aged man from the San community who lives in Dukwi village was allegedly beaten and injured by the police during investigations linking him to stock theft. According to a letter dated 17 August 2026 written to the Botswana Police Commissioner, Botswana Khweedom Council is demanding an independent, impartial and transparent investigation concerning the incident. The Council is also demanding the Police Commissioner to make findings on the circumstances that resulted in the injuries that were sustained by the victim.

‘Identify the police officers involved and determine whether their conduct complied with the Constitution, the law and Botswana Police Service procedures,’ reads the letter.

Among others, the Council is also demanding the Police Commissioner to take appropriate disciplinary action if wrong doing, excessive force or abuse of authority is abused and ensure that the victim and witnesses are protected.

The Council stated that as much as it recognizes the responsibility of the Botswana Police Service, it believes that everyone who is under investigations should be treated with dignity, respect and protection.

Speaking to the Sunday Standard in an interview last week Thursday, Botswana Khweedom Council Spokesperson Banyatsi Salutu said that they received a report from Kelentse last week who indicated that he had slaughtered his own cow after it had been injured by wild animals. He sold part of the meat in Nata village where his cattle-post is based and carried the remainder to his homestead in Dukwi.

‘Apparently the police went to his homestead in Dukwi, where they broke into his house and found part of the animal carcass. The man indicated that he had bought the cow in Zoroga village and had all the right documents to prove its ownership. The police seized the meat from his homestead and followed him to Zoroga village where he was at the time. They beat him in the course of their interrogations as they accused him of stock-theft. This is despite the fact that he produced proof of ownership,’ said Salutu.

Salutu said that the manner in which the police handled the victim is a sign of brutality and disregard for human rights hence they had to engage the Police Commissioner. He said this is not the first time that the law enforcement authorities harass members of the San Community adding that they are often exposed to victimization and human rights violations. He reiterated that being investigated for an alleged offence should never be regarded as justification for brutality, excessive use of force, intimidation or degrading treatment. As the Botswana government is currently embarking on improving the development, recognition, participation and protection of the San, Botswana Khweedom Council is of the view that these kind of incidents could impede the whole efforts. The San are the indigenous people of Botswana and have been marginalized over the years.

‘The consultations conducted across Botswana by the Inter-Ministerial Committee have created an important opportunity for government and indigenous people to work together towards addressing longstanding concerns,’ said Salutu

‘ We are however concerned that the alleged conduct of some government officials and law enforcement authorities may undermine this cooperation and the progress being made. We are however optimistic that this issue will be resolved as we managed to talk to the Deputy Police Commissioner through a telephone last week and he assured us they they will look into the matter and come back to us,’ he added.

Botswana is running out of young people

Botswana has spent decades worrying about how to create enough jobs for its young population. The country may soon have a different problem – not enough young people.

The shift is easy to miss because it is happening slowly, one family at a time. But the numbers point to a potentially profound change.

According to Statistics Botswana 2024 Vital Statistics Report, Botswana’s total fertility rate (TF) has fallen to 1.96 children per woman, below the widely used replacement-level benchmark of 2.1.

Statistics Botswana says the figure means that, if current fertility patterns remain unchanged, ‘a woman would be expected to have approximately two children during her reproductive lifetime.’ The agency says the TFR being below 2.1 suggests fertility is ‘close to, or slightly below, replacement level fertility.’

The finding places Botswana firmly within a broader demographic transition in which families are having fewer children than previous generations. The report recorded 40,525 births among 696,153 women of reproductive age in 2024. Fertility was highest among women aged 20 to 24, with an age-specific fertility rate of 95 births per 1,000 women, followed by women aged 25 to 29 at 92 per 1,000 and those aged 30 to 34 at 82 per 1,000.

This mean Botswana has crossed a demographic threshold that wealthier countries spent decades confronting, where each generation is no longer, on average, replacing itself. The consequences will not arrive next year. They will emerge over decades.

For a country of just over two million people, the implications could extend far beyond family policy. They could affect the size of the labour force, the tax base, pension systems, healthcare, immigration and ultimately the growth model on which Botswana’s post-diamond economy depends.

Botswana’s demographic transformation has been remarkable. The country’s fertility rate was above six children per woman in the early post independence period. The 2022 Population and Housing Census recorded a national TFR of 2.90, already less than half the level recorded in 1981. But the national average concealed a much more advanced transition in urban Botswana.

The 2022 Census found fertility of only 1,96 among women living in towns, while the rate was 2.79 in urban villages and 3.93 in rural areas.

In South East District, fertility was already just 1.93, the lowest among the country’s districts. In contrast, North West recorded 3.73.

That geographical divide may offer a glimpse of Botswana’s future. The country is not experiencing one fertility transition. It is experiencing several at once. Urban educated women are already having substantially fewer children than women in rural communities.

The 2022 Census found a clear relationship between education and fertility. Women with primary education had a TFR of 4.28, compared with 2.16 among women with tertiary education.

Rail freight revenue rises faster than volumes

Botswana’s rail freight business generated stronger returns in the first quarter of 2026, with revenue growing faster than cargo volumes as a surge in transit traffic reshaped the mix of goods moving through the network.

According to a report compiled by Statistics Botswana, during the first quarter of 2026, Rail freight volumes increased 4.9 percent to 171,715 tonnes from 163,681 tonnes in the previous quarter, while revenue rose 7.5 percent to P42.9 million from P39.9 million.

The performance was driven largely by transit traffic, which more than doubled, rising 108.8 percent. Transit cargo nevertheless represented only 18.8 percent of total freight, behind exports at 31 percent, local traffic at 25.5 percent and imports at 24.7 percent.

The stronger revenue growth highlights the value of the traffic mix. Transit freight generated average revenue of P395 a tonne, considerably above local traffic at P275.72. Imports generated P29.37 a tonne, while exports brought in only P13.22.

That disparity gives Botswana’s rail network a potentially important commercial incentive to attract more transit cargo, even if such traffic remains smaller in volume terms.

The figures also show the limits of relying on traditional freight categories. Exports and imports together accounted for more than half of volumes, but produced substantially lower revenue per tonne than transit traffic.

For a railway operating in a regional market, the opportunity may therefore lie less in simply increasing tonnage and more in capturing cargo that can command higher yields. The first-quarter figures offer an early indication of that shift, although it remains to be seen whether the sharp increase in transit traffic can be sustained.

SA power reforms put BPC costs in spotlight

Botswana Power Corporation (BPC) could face greater pressure on electricity procurement costs as South Africa reforms its power market, potentially changing how electricity is priced and traded across the region.

South Africa’s Cabinet has approved for public comment a revised electricity pricing policy that seeks to make tariffs more cost-reflective and separate charges for generation, transmission, distribution and retail.

The reforms are intended to move South Africa towards a more competitive electricity market, with greater participation by independent generators and traders.

For Botswana, the changes matter because BPC remains exposed to South African electricity prices despite growing domestic generation.

BPC chief executive David Kgoboko recently told a government assurance committee that the corporation buys electricity from South Africa, Namibia, Mozambique and Zambia at prevailing industry rates, while domestic tariffs do not fully recover supply costs.

BPC’s 2024 integrated report showed power-import expenditure more than doubled to P3.676 billion from P1.641 billion, contributing to a post-tax loss of P1.842 billion.

Botswana has reduced its reliance on imports, with electricity imports falling 61.8 percent year-on-year to 220,305 MWh in the first quarter of 2026. Eskom nevertheless supplied 80.9 percent of those imports.

The reforms could eventually benefit Botswana if greater competition and investment increase regional electricity availability. But the transition could also introduce greater price volatility as South Africa moves towards a more market-based system.

The pressure comes as BPC remains reliant on government support. Minerals and Energy Minister Bogolo Kenewendo said government provided about P2.5 billion to BPC during 2025/26 period.

South Africa has also approved an 8.76 percent increase for Eskom direct customers for 2026/27, while municipal tariffs will rise by 9.01 percent.

Botswana Tennis Reaps Benefits of Hosting International Events

Botswana Tennis Association (BTA) is reaping the benefits of hosting international tournaments for its upcoming young aces.

This is demonstrated by the improvement in world rankings for the country’s young tennis players from the first ITF J30 Gaborone alone. More improvements in rankings are expected when new rankings are published early this coming week.

Speaking in an interview with this publication, BTA vice president technical Nonofo Othusitse said the return on investment is visible. During the recent ITF J30 Gaborone, Botswana had eight (8) boys and seven (7) girls in the main draw. Most of the players were under the age of 14 years.

‘Two of our players emerged as World Tennis Tour Juniors doubles champions. That is Martin Seetso (boys) and Angel Chakanyuka (girls). Two other players, 13-year-old Reene Sebego and 14-year-old Rerotlhe Kgannyeng gained their first ever international rankings.’

Of greater importance, a number of our players are improving their rankings. Martin Seetso jumped 440 places to move to a world ranking of 2222 while Angel jumped 206 places to 1691 ranking.

‘We are happy with the performances. We have two Champions and a number of players improving their rankings. If you look at the round robins some of our players won 2 matches out of 3.’

‘We are expecting to see an improvement in terms of players performances in both singles and doubles. We are expecting more players to improve their rankings. The ROI is definitely there.’

This was all achieved while at the same time reducing expenses for parents who pay from the pocket to take their young players to compete in international tournaments.

‘When we host, we offset international travel cost for our players. This can be a limiting factor for most players. So, with six tournaments hosted, we ensure that at minimum our players get to play 6 tournaments a year.’

Due to the improvement in the rankings for young local players, Botswana has maintained her position in the CAT Nations Trophy. Botswana is currently ranked 8th in Africa in the 2026 African Tennis (CAT) Nations Rankings. In the Southern African region, the country is ranked third, just behind neighbours South Africa and Zimbabwe.

The rankings are compiled from the results of players in the African Junior Championships across the U14, U16 and U18 age groups. The rankings take into account both singles and doubles performances.

Nonofo says the improvement in rankings for the players and the country points to a good investment made to help sports stars. He pointed out that the rankings also show ‘the country’s consistency in terms of participation and competing in the Continental championships.’

Away from the players, the BTA vice president technical says hosting helps the BTA to build capacity. From hosting, ‘administrators and officials are gaining necessary skills and experience.’

‘When hosting, we give our officials an opportunity to organise and run these events. We are therefore building capacity in terms of administrative and technical officials.’

He elaborated that as Botswana tennis, they dream of hosting ATP and WTA events in the future. As such, having as many administratively and technically capable officials will ease the processes of hosting.

Vehicle market hits the brakes

Botswana’s vehicle market started 2026 on a weaker footing, with first-time registrations falling sharply and the composition of purchases pointing to a market still heavily reliant on imported used cars.

A total of 8,119 vehicles were registered for the first time in the first quarter, down 18.3 percent from 9,942 in the final quarter of 2025, according to Statistics Botswana. The decline was recorded across most vehicle categories, with the exception of trucks.

The latest figures extend a downward trend from the high levels recorded in 2024 and early 2025. First-time registrations stood at 11,583 in the first quarter of 2025, meaning the latest quarterly total was substantially lower year on year.

Passenger cars continued to dominate the market, accounting for 74.7 percent of registrations. Vans represented 7.7 percent and trucks 5.5 percent. The composition of imports is equally notable. Used vehicles accounted for 79.6 percent of all first-time registrations, while new vehicles represented just 20.3 percent.

Japan remained the dominant source, supplying 70.3 percent of all first-time registrations. Almost all Japanese vehicles – 99.4 percent – were used. South Africa, meanwhile, accounted for 18.8 percent, with new vehicles making up 76.1 percent of its registrations.

The figures underline the continued importance of the second-hand vehicle trade to Botswana’s automotive market.

For dealers and other businesses exposed to vehicle demand, the latest decline raises questions over whether the slowdown is temporary or indicative of a more sustained cooling in household and business demand.

GIA rebounds in H1:2026

The Government Investment Account (GIA) has staged a sharp recovery in the first half of 2026, rising nearly 88 percent to P3.13 billion by June, although the account remained highly volatile amid persistent pressure on government finances.

The GIA, held with the Bank of Botswana, increased from P1.66 billion in January after plunging to a record low of just P106.5 million in February – its lowest level in more than two decades. It subsequently surged to about P8.7 billion in March following the central bank’s P7.3 billion dividend payment, before falling to P6.1 billion in April and P3.13 billion by June.

The recovery coincided with a broader strengthening of Botswana’s foreign exchange reserves. Total foreign assets increased 10.4 percent to P59.12 billion at the end of June from P53.56 billion in January. In US dollar terms, reserves rose 6.1 percent to $4.16 billion.

Over the year to June, foreign assets climbed 31.5 percent from P44.96 billion, although the stronger Pula also supported the Pula-denominated increase. The Transactions Balances Tranche, representing the more liquid portion of reserves, rose to P12.70 billion from P9.67 billion, while the Pula Fund increased to P30.82 billion.

Another key improvement was the full repayment of the government’s temporary advance from the central bank. The facility stood at P3.20 billion in January but had been cleared by June, removing a significant sign of immediate fiscal cash-flow stress.

However, the improvement comes as Botswana continues to grapple with weak diamond revenues. Government remains reliant on borrowing and SACU transfers, meaning the stronger reserves and GIA provide relief but do not yet signal a durable turnaround in the country’s fiscal position.

Dozens of children exposed to rodent-Infested food

A considerable number of children are feared to have been exposed to a food safety risk after dead rodents were reportedly found inside packaged Tsabana products.

Tsabana is a government-supplied food product manufactured by Sefalana Holding Company Limited’s subsidiary, Foods Botswana (Pty) Ltd.

The discovery has triggered an urgent food safety alert and raised serious questions about food safety controls at the Serowe-based manufacturer.

Foods Botswana is wholly owned by Sefalana Holding Company Limited, a company listed on the Botswana Stock Exchange.

The company produces Tsabana and Malutu exclusively for the government feeding scheme.

The affected product is 2.5kg Tsabana with batch number A16326 which was manufactured on 12 June 2026 and due to expire on 12 October 2026.

A savingram issued by the Kweneng District Council on 3 August 2026 described the matter as an ‘urgent food safety alert.’

The document states that dead rodents were identified in a packaged Tsabana product manufactured by Foods Botswana at Newtown Ward, Serowe.

‘This savingram serves as an urgent notification of a suspected food safety alert requiring coordinated multi urgency action,’ the council states.

Sources at the government enclave have expressed concern because Tsabana is produced for the government feeding programme. The product is distributed to children through public feeding schemes.

The Kweneng District Council called for immediate action to determine whether the affected batch had already reached other districts.

‘As a precautionary action, your esteemed office is requested to engage with all District Councils to establish availability of the food product in their jurisdiction,’ the savingram states.

Kweneng District Council also indicated that it was engaging Foods Botswana to obtain information on the distribution and traceability of the affected batch.

Reports also indicate that the incident has raised questions about how a dead rodent could allegedly end up inside sealed food packaging. It also raises questions about the effectiveness of hygiene, pest control, inspection and quality assurance systems at the manufacturing plant.The savingram calls for a coordinated response and immediate tracing of the affected product.

Contacted for comment, the Ministry of Health referred questions to the Ministry of Local Government and Traditional Affairs.

Ministry of Health spokesperson Christopher Nyanga told Sunday Standard that the matter was already being handled by the latter ministry.

‘We have noted your enquiry; however we advise that you engage the Ministry of Local Government and Traditional Affairs, which is currently seized with the matter at hand and is best placed to provide the relevant information and clarification,’ Nyanga said.

He said the Ministry of Health would only act after receiving a report from the responsible ministry.

‘The Ministry of Health will, at a later stage, receive a report from the Ministry of Local Government and Traditional Affairs whereupon any action or advice as to the way forward, could be made,’ he said.

Despite repeated attempts by Sunday Standard to obtain the company’s response, Sefalana had not responded by press time. The company was asked to explain how the alleged contamination occurred, whether the affected batch had been recalled, how much of the batch was produced and distributed, and whether other products had been affected. It was also asked to clarify what pest-control and quality assurance measures were in place at Foods Botswana’s Serowe facility.

The Ministry of Local Government and Rural affairs also had not responded by press time.