<\/p>\n
The Economic Competitiveness and Transformation Support Programme will strengthen public finances, increase private-sector investment and expand assistance to micro, small and medium-sized enterprises.<\/p>\n
<\/p>\n
The programme targets an increase in non-mining tax revenue to 11.8% of gross domestic product by 2027\/28 and private investment to 30% by 2028.<\/p>\n
<\/p>\n
Botswana\u2019s economy contracted by 2.8% in 2024 and 0.7% in 2025 amid a prolonged downturn in the diamond market.<\/p>\n
<\/p>\n
Diamonds account for about 30% of gross domestic product and nearly 80% of exports. Higher energy costs linked to the Middle East conflict have added pressure. \u201cBotswana has clearly defined its priorities in National Development Plan 12 and Botswana\u2019s Transformation Programme,\u201d AfDB Deputy Director-General for Southern Africa and Country Manager Moono Mupotola said.<\/p>\n
<\/p>\n
\u201cOur role is to help finance the adjustment while protecting those least able to bear its costs.\u201d<\/p>\n
<\/p>\n
The programme supports the temporary suspension of fuel, road and security-of-supply levies, limiting the fuel-price increase to about $0.04 a litre.<\/p>\n
<\/p>\n
The intervention is expected to lower inflation by 1.6 percentage points and reduce pressure on transport and food costs.<\/p>\n
<\/p>\n
Supplementary payments will also support an estimated 279 000 pensioners, disability-grant recipients, destitute households and home-based care patients for three months.<\/p>\n
<\/p>\n
Botswana plans to increase household electricity access from 79.5% in 2025\/26 to universal coverage by 2030. A competitive renewable-energy auction will invite private investment in solar and wind generation.<\/p>\n
<\/p>\n
The Francistown fuel depot will be expanded from 38 million litres to 98 million litres to strengthen supply security.<\/p>\n
<\/p>\n
Land reforms are expected to provide 4 300 additional families with secure titles, allowing property to be used as collateral.<\/p>\n
<\/p>\n
The programme targets 3 292 active small businesses and 3 935 direct jobs by 2027\/28. Women-owned businesses are expected to account for 93% of supported enterprises.<\/p>\n
<\/p>\n
E-procurement reforms could reduce procurement costs by between 5% and 15%.<\/p>\n
<\/p>\n
The operation will also support a pipeline of 186 projects valued at approximately $38.5 billion, with a long-term target of creating 512 000 jobs by 2036.<\/p>\n
<\/p>\n
The OPEC Fund will provide another $170 million in co-financing.<\/p>\n
<\/p>\n
–AfDB\/ChannelAfrica–<\/p>\n","protected":false},"featured_media":41527,"template":"","meta":{"_acf_changed":false,"_members_access_role":[],"_members_access_error":"","_links_to":"","_links_to_target":""},"news-type":[44],"class_list":["post-48946","news","type-news","status-publish","has-post-thumbnail","hentry","news-type-finance","entry"],"acf":{"short_description":"Botswana will receive a $503.75 million African Development Bank (AfDB) loan to cushion the energy shock, support economic reforms and create jobs, particularly for women and young people.","published_date":"","news_description":"","form_embed":"","author":"","image_caption":""},"_links":{"self":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/48946","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news"}],"about":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/types\/news"}],"version-history":[{"count":2,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/48946\/revisions"}],"predecessor-version":[{"id":48948,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news\/48946\/revisions\/48948"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/media\/41527"}],"wp:attachment":[{"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/media?parent=48946"}],"wp:term":[{"taxonomy":"news-type","embeddable":true,"href":"https:\/\/www.channelafrica.co.za\/channelafrica\/wp-json\/wp\/v2\/news-type?post=48946"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}