30 Oct 2025

Vice President and Minister of Finance, Ndaba Gaolathe has underscored the importance of expanding Botswana’s capital markets and fostering a culture of listing among local enterprises.

Speaking during an engagement with prospective issuers in Gaborone yesterday, Mr Gaolathe said companies that go public do more than access capital as listing transforms a business from being privately managed to publicly accountable, bringing both opportunity and discipline.

He said Botswana Stock Exchange (BSE) continued to lead in developing the country’s capital markets and shaping the national conversation on inclusive, cost-effective capital-raising for all enterprises.

He said this event marked a renewed effort to strengthen dialogue between government and the private sector, particularly those considering listing on the BSE, adding that Botswana stood at a defining moment, as the global economic landscape was rapidly evolving with new technologies, market disruptions, and shifts in capital flows reshaping competitiveness.

Mr Gaolathe noted that the key challenge was to ensure the country’s economy remained resilient, innovative, and future-focused. Public investment alone, he stressed, would not suffice, hence the need for a strong, confident, and dynamic private sector to collaborate with the public sector in driving innovation, growth and job creation.

He pointed out that the future depended on collective capacity to diversify the economy, expand exports, and nurture globally competitive enterprises.

Mr Gaolathe reaffirmed government’s support for BSE initiatives encouraging listings by multinationals, state-owned enterprises, and small and medium-sized enterprises (SMEs). Among the intiatives, he highlighted the Tshipidi

Mentorship Programme, which equips entrepreneurs with skills and governance frameworks necessary for listing readiness, expanding the pool of potential issuers and ensuring the capital market serves as a driver of inclusive growth.

He further revealed that the BSE was strengthening its global partnerships through collaborations with the London Stock Exchange Group and the Luxembourg Stock Exchange partnerships aimed at connecting Botswana’s capital markets to leading global financial ecosystems, enabling dual listings, sustainable finance, and digital innovation.

Mr Gaolathe said government was undertaking regulatory reforms, digital transformation, and policy adjustments to enhance the ease of doing business and ensure a robust, inclusive financial system.

A key focus, he said, was unlocking domestic capital, particularly from pension funds, which now exceed P150 billion in assets under management.

Despite this wealth, a significant portion was invested outside Botswana he said.

While a significant portion is invested abroad, government is moving to balance investment ratios at 50:50 between onshore and offshore markets.

However, he acknowledged the challenges faced by smaller enterprises, including fears of losing citizen ownership under the Public Procurement Regulatory Authority and called for creative solutions to make listing a viable path to growth.

He urged the financial sector to consider greater allocations to emerging enterprises, emphasising that the country’s development cannot rely solely on scale but must also recognise potential.

Mr Gaolathe also emphasised the need to reduce listing costs and compliance burdens for SMEs through proportionate solutions, simplified reporting, and targeted incentives as part of a broader effort to stimulate investment, productivity, and job creation. ENDS